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Portland Community Development
Projects to Receive Nearly $200 Million in Tax Credits
May 5, 2004
Washington, DC – Today,
Senators Gordon Smith and Ron Wyden announced that three Portland
community development programs have been awarded federal tax credits
totaling almost $200 million to invest in Oregon’s low-income
communities under the New Markets Tax Credit (NMTC) Program. The
awards will be announced officially tomorrow, May 6.
“This is a great
example of how private enterprise can be used in the public interest,”
Smith said. “These credits will make it possible to restore
historic buildings, revive the economy, and rejuvenate distressed
communities.”
“New Markets program
tax credits will help bring new economic life and new investment
to areas of Portland that are too often overlooked,” said
Wyden. “I was pleased to work on a bipartisan basis to secure
these tax credits, and believe they will provide Oregon with the
kind of economic boost that Congress and the president had in
mind back in 2000 when we created the New Markets program.”
The Portland Development Commission
will receive $100 million in tax credits to provide real estate
loans for mixed-use developments, community facilities, housing
and office buildings in extremely distressed areas in Portland.
Likewise, the Historic Rehabilitation Fund, with an allocation
of $24 million will provide loans to redevelop historic properties
located in Portland. Priority will be given to projects that are
likely to encourage further investment in adjacent areas. Finally,
the Hospitality Fund will use $72.5 million of tax credits to
rehabilitate a historic property in Portland’s inner city
to use as a hotel. This investment will lead to revitalization
of the surrounding area, likely leading to the creation of thousands
of jobs.
The New Markets Tax Credit Program
is administered by the U.S. Department of Treasury and promotes
investment in low-income communities. Senators Smith and Wyden
have actively supported Oregon’s awardees throughout the
application and award process which began in 2001.
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