Harrison Properties Uses New Market Tax Credit Financing for Department of Economic Security Renovations at 19th Avenue and Cholla

PHOENIX, Ariz. (January 26, 2016) -- The Phoenix Community Development and Investment Corporation (PCDIC) is pleased to announce in partnership with Mutual of Omaha Bank it has closed a New Market Tax Credit (NMTC) loan with Harrison Properties based in Phoenix, AZ.

Harrison Properties, LLC, owns, leases, and managers over 10 million square feet of commercial and industrial properties in Arizona, Utah and New Mexico.  NMTC financing was used to redevelop an existing 65,000 square foot property that was formerly an indoor athletic facility that will now be used by the State of Arizona’s Department of Economic Security (AZDES). The building was nearly vacant, in bad disrepair and covered in graffiti. Major renovations were needed that included a new roof, build-out of office spaces, break rooms, lighting, landscaping, a new parking lot, and exterior façade.

“Mutual of Omaha Bank is pleased to partner with PCDIC in helping with the redevelopment of low-income areas and assisting businesses who serve these areas” Kevin Halloran, AZ Market President, said. This project is particularly exciting because it allows AZDES to consolidate operations and improve efficiencies in service delivery to the local marketplace.”

As noted by Kurt Sheppard, PCDIC Board member and CEO of Valle Del Sol, “One of the goals of the New Market Tax Credit Program is to eliminate blight and improve the lives of individuals by providing community good and services, such as medical and health care.  This project meets those objectives by allowing the service provider, AZDES to assist and care for Arizonans in need within our community”.

As noted in AZDES 2015 Annual Report, “ the department has approximately 8,000 contracts and agreements with nonprofit and for-profit organizations, governmental agencies, Tribal governments, and other community partners throughout Arizona. These contracts provide services to Arizonans across the human service delivery continuum and critical operational support to the Department and its colleagues.”

The PCDIC NMTC Program seeks to provide below market rate commercial real estate loans to developers, small businesses, and mission-focused non-profits to encourage neighborhood revitalization and stabilization in qualified low income communities in Maricopa County.   While the NMTC program supports a range of economic development strategies, the NMTC program is highly effective in attracting private sector investment to Maricopa County NMTC census tracts, characterized as highly stressed demographics.

About Phoenix Community Development and Investment Corporation (PCDIC)

PCDIC is a local 501(C)3 nonprofit which targets commercial real estate loans within Maricopa County to encourage private sector investment in qualified low-income communities. Since 2002, PCDIC has received $263MM in NMTC allocations which has been used to provide 29 projects valued at $791MM with $336MM in NMTC financing. Projects include local non-profits, hospitality, retail, industrial, commercial offices and medical facilities which can be found at phoenixnewmarkets.com/projects.  PCDIC has attracted more than $455MM in additional private investment, created 9,390 new jobs, 3,877 constructions jobs and retained 171 jobs in Phoenix, AZ.

For more information visit PhoenixNewMarkets.com or contact us.

About Mutual of Omaha Bank

Mutual of Omaha Bank was established in 2007, with banking offices in key markets across the country. Owned by Mutual of Omaha, its core banking products include Commercial Banking, Commercial Real Estate, E-Banking, and Association Banking. With assets of $7 Billion, Mutual of Omaha Bank is well positioned to continue quality growth while meeting the banking needs of its clients.

Mutual of Omaha Bank Contact: Edward Celaya, Ed.Celaya@mutualofomahabank.com, (480) 458-2025