Manufacturer expands in Dallas using $5.4 million in New Market Tax Credit allocation
Client need
A Dallas-based, privately held technology service provider and manufacturer experienced a 66% increase in sales from 2011 to 2013. To keep pace with demand, they needed to hire additional employees and having outgrown its current space, the company began the process of acquiring and renovating two vacant properties directly across the street from their main facility.
With its current facility and the two new buildings it was looking to purchase, the company was committed to remaining located in the same community. To assist with the project’s financing, the company sought assistance from Baker Tilly Capital to obtain a New Markets Tax Credit (NMTC) allocation.
Baker Tilly Capital solution
Baker Tilly Capital worked closely with the NMTC investor, the community development entity and the client to restructure and recapitalize the facility. Our team highlighted the significant job creation of 241 new permanent positions, in addition to maintaining the current 401 jobs.
Result
With our team’s assistance, the facilities renovation project successfully secured nearly $5.4 million in New Markets Tax Credit allocations to help fund the project. The new manufacturing facility allows the company the ability to add jobs with future growth to meet the demands of the market.
For more information on this deal, or to learn how Baker Tilly Capital specialists can help, contact our team.