SunTrust, Now Truist announced today that it will provide an $8 million bridge loan and $3.6 million of New Markets Tax Credit (NMTC) equity through SunTrust Community Capital to the YMCA of Metro Atlanta to support construction of the Woodson Park YMCA. The NMTCs were provided through a partnership with Nonprofit Finance Fund (NFF), a Community Development Financial Institution contributing an additional $9 million in NMTCs.
The project is a new 18,920 square foot YMCA facility in the Grove Park neighborhood of Atlanta, jointly developed through a unique partnership between Atlanta Public Schools (APS), The Grove Park Foundation, and the YMCA of Metro Atlanta. Specifically, the project is being developed adjacent to APS’ new Woodson Park Academy, which serves approximately 850 K-8 students. The new YMCA will feature space for YMCA programming, a new Federally Qualified Health Center, and additional space for general health and community planning. Ultimately, this project will result in the creation of 18 new jobs.
“The Woodson Park YMCA is a key component of the broader Grove Park Initiative – a strategic approach towards breaking the cycle of poverty by bringing together schooling, housing, wellness, and other key investments focused on a single neighborhood. SunTrust’s long partnership with the YMCA enabled us to bring together a tailored financial strategy to help them build this facility that will be enjoyed by the entire Grove Park community,” said Ron Alston, senior vice president for Not-for-Profit and Government Banking at SunTrust.
The new YMCA facility will serve 150 low-income children annually with group exercise classes and after school programming, including science, technology, engineering and arts curriculum and day camps, as well as create 65-90 accredited Head Start seats. Head Start programs are available at no cost and provide comprehensive care including health, education, parent involvement, and social services. In addition, the Federally Qualified Health Center will provide primary care services on a sliding fee scale based on a patient’s ability to pay.
"The YMCA facility exemplifies how New Markets Tax Credits spur projects that address community priorities,” said Norah McVeigh, managing director of financing at NFF. “Families will benefit by having high-quality education, early and after-school care, and health care close at hand."
SunTrust Community Capital is a national leader in the NMTC program, having closed on approximately $1.4 billion in Qualified Equity Investments. SunTrust Community Development Enterprises, LLC has received nine awards of NMTC allocation, totaling $578 million.
About Truist
Truist Financial Corporation (NYSE: TFC) is a purpose-driven company dedicated to building a better future for its clients, teammates and communities. With 275 years of combined BB&T and SunTrust history, Truist is one of the nation’s largest financial services holding companies offering a wide range of services including retail, small business and commercial banking; asset management; capital markets; commercial real estate; corporate and institutional banking; insurance; mortgage; payments; specialized lending and wealth management. Headquartered in Charlotte, North Carolina, Truist serves approximately 10 million households with leading market share in many high-growth markets in the country. Learn more at Truist.com.
About Nonprofit Finance Fund
Nonprofit Finance Fund® (NFF®) works toward a more equitable, responsive, and valued social sector. We provide financing and consulting to help nonprofits and their funders better connect money to mission results. We are a community development financial institution (CDFI) applying 40 years of experience to today’s toughest social challenges, and we share what we learn to speed progress. NFF manages over $352 million. Since 1980, we have provided almost $890 million in financing and access to additional capital in support of over $2.8 billion in projects for thousands of organizations nationwide. Learn more at www.nff.org.
