Ed Murray, Mayor
SUBJECT: Seattle wins $11 million in federal New Markets Tax Credits
2/24/2011 2:45:00 PM
Joe Mirabella (206)684-4008
Seattle wins $11 million in federal New Markets Tax Credits
SEATTLE - Today the United States Treasury announced that the City of Seattle received an award of $11 million in federal New Markets Tax Credits. These credits will be invested in commercial and mixed-use projects in neighborhoods where the economic need is greatest, as determined by the federal government. Potential areas for investment under this program include much of the Rainier Valley, parts of Capitol Hill and the Central District, Pioneer Square and Chinatown/International District, select North Seattle neighborhoods, and manufacturing and industrial centers.
"These tax credits give us an important tool to help local businesses create jobs and build toward the future," said Mayor Mike McGinn. "This is one of the ways we are answering President Obama's call to win the future. Our Office of Economic Development deserves thanks for pursuing these funds to help build a better Seattle."
This marks the second consecutive annual award of New Markets Tax Credits for the City. With this award, the City currently has a total of $41 million in remaining New Markets Tax Credit funding. To date, the City has committed $10 million for Phase 2 of the Pike Place Market Redevelopment project. This will finance tenant improvements and temporary relocation assistance for small businesses impacted by the renovations at the Market.
This funding is an important part of the Seattle Jobs Plan, which Mayor McGinn described in his 2011 State of the City Address earlier this week. In his speech, the mayor talked about the impact on residents, businesses, and neighborhoods of economic assistance funded by the Seattle Jobs Plan:
"Our Seattle Jobs Plan has delivered $32.5 million in new financing to 79 businesses, retaining or creating 630 jobs. For example, West Seattle Thriftway received a $1.9 million loan to improve energy efficiency in their store, helping lower costs and keeping existing jobs in place.
When Abdirizak Dodi needed a wheelchair accessible taxi, we extended him a $35,000 loan enabling Mr. Dodi to accomplish his goal of operating and managing his own taxi. That's a good job for him, and it directs services to seniors and individuals with disabilities.
In Southeast Seattle, Farmers Market and Grocery received a $25,000 loan through the City's Healthy Foods Here program, helping this corner grocery store expand its product offerings and attract more customers from the surrounding neighborhoods. 15 more grocery stores will participate in this Healthy Foods Here incentive program."
You can read the entire text of McGinn's update on Seattle's economy and job creation efforts on his office blog: http://mayormcginn.seattle.gov/2011sotc/.
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