ProjectThroughout the 70-year history of the Boys & Girls Club of Cabarrus County (the Club), they have expanded services and facilities to meet the needs of children in the County. In 2018, they found themselves at capacity, turning away hundreds of children annually from valuable services and empowerment—an unacceptable position for the staff and Board. They embarked on an aggressive $7.5 million capital campaign to expand their facility by 29,112 square feet to provide:
With the new space, the Club will be able to provide services to 750 members daily and over 2,200 annually, almost doubling their capacity. They will also be able to expand their network of Title I Schools they support from 17 currently to all 22 in Cabarrus County. All of this will now be possible in a low-income community that has a poverty rate of 34.90%, median family income of only 51.56% and unemployment of 16.10%. Importantly, the new facility will allow the Club to expand their elementary 21st Century Community Learning Center Program into middle school as well. The 21st Century Community Learning Center Program is administered through the North Carolina Department of Public Instruction and provides federal funding for organizations like Boys & Girls Clubs to better serve the children, families and schools in their community. FinancingThe approximately $10.3 million dollar project was financed utilizing a bridge loan from Reinvestment Fund to advance proceeds of their $7.5 million capital campaign through a self-leveraged structure, NMTC equity from Wells Fargo and $9.5 million of New Markets Tax Credit Allocation provided by CAHEC New Markets, LLC. |
TOTAL PROJECT COST: NMTC ALLOCATION: FINANCING COMPLETE: PROJECT SPONSOR: CDE: NMTC INVESTOR: LEVERAGED LENDER: ADDRESS: CENSUS TRACT: COMMUNITY OUTCOMES: LOW-INCOME COMMUNITY: |
“We were trying to do this project and the costs went up constantly. We kept looking at other financing resources, and at one point we were considering only completing half of the development and then doing another fundraising campaign. There’s only so much money the community can give. What was great about the NMTC support is that we could add all the space; this was able to take us over the top and let us finish the expansion in one go instead of waiting another five years.”
– Valerie Melton | Executive Director, B&G Club of Cabarrus County
