Lowe Eco Dev Co. Awarded $45 Million by U.S. Treasury Under New Markets Tax Credit Program

Edited: Jennifer Brenner
Source: Lowe Economic Development Co.

Lowe Economic Development Company, an affiliate of Los Angeles-based Lowe Enterprises, has been awarded $45 million in New Market Tax Credits (NMTC) from the U. S. Department of the Treasury. Lowe will couple the NMTC allocation with its existing urban infill fund, Lowe California Community Fund, to finance a mix of housing, commercial and retail developments in underserved Southern California communities.

“We are gratified to be awarded this allocation and to bring home to Los Angeles and Southern California crucial funding that will allow us to invest in and develop projects that will bring housing, services and jobs to neighborhoods in need of an economic jolt,” said Rick Newman, president of Lowe Enterprises Real Estate Group-West. “We have identified several projects throughout the region that now can become a reality and create desperately needed jobs. These projects are even more critical to revitalizing communities given the ongoing economic challenges.”

The goal of the NMTC program is to promote private-sector investment in distressed communities to stimulate economic growth. Lowe was one of 99 awardees selected from 249 applicants nationwide, and one of only five in Los Angeles in the latest allocations. This is the first NMTC allocation for Lowe Economic Development Company, a for-profit real estate investment and development group formed in 2007 to support redevelopment in low-income and distressed communities.

Lowe is focusing on real estate investments and developments in qualified communities in Los Angeles, Orange and San Diego counties. The program reinforces Lowe’s continuing commitment to urban infill mixed-use investments and developments that serve the needs of emerging areas. Qualified communities are identified by the Community Development Financial Institutions Fund, the division of the U.S. Treasury that administers the NMTC.

Lowe is national real estate investment, development and management firm. Over the past 37 years, it has developed, acquired or managed more than $16 billion of real estate assets nationwide. Through its investment management affiliate, the firm currently manages $3 billion in real estate assets on behalf of institutional and investment clients and is actively seeking investment opportunities in mixed-use, multifamily and retail properties in infill locations, as well as mezzanine debt and preferred equity investment in all property types.