New Markets Tax Credits in Action: Building a Comprehensive Development Strategy
Across the United States, communities are working to overcome decades of disinvestment, workforce challenges, population loss, and aging infrastructure. While every community’s story is different, one thing remains consistent: transformative projects often require patient, flexible capital to move from vision to reality.
The most transformative investments happening across the country are rarely driven by a single funding source or incentive program. They succeed because public incentives, site selection strategy, workforce planning, community partnerships, and innovative financing, such as New Markets Tax Credits, are researched, sourced and aligned. At Steadfast City, that reality is shaping the next chapter of our work. We increasingly see opportunities to create greater value for clients by integrating incentives strategy and capital stack development from the very beginning of a project. That means evaluating every project holistically and determining which tools can have the greatest impact. In some cases, traditional credits and incentives programs alone are enough to move a project forward. In others, New Markets Tax Credits (NMTCs) can provide the catalytic investment necessary to unlock transformational outcomes.
A more comprehensive model helps clients evaluate every available tool while ensuring communities receive the greatest possible return on investment. And nowhere is that impact clearer than in several projects currently advancing across the country.
Rebuilding a Manufacturing Legacy in Webster City, Iowa
In Webster City, Iowa, Edible Garden is transforming a former Electrolux manufacturing facility into a state-of-the-art ready-to-drink dairy protein beverage production plant. The 400,000-square-foot facility represents more than a manufacturing investment. It is a chance to restore a major employment center that has sat underutilized since the closure of Electrolux’ operations more than a decade ago. The project will generate 42 new jobs and retain existing employment while establishing a technology-driven manufacturing platform capable of producing approximately 120 million beverage units annually. The facility will incorporate advanced food science, automation, and sustainable packaging practices while creating a workforce pipeline through partnerships with Iowa State University, Iowa Central Community College, and industry training providers.
The significance extends beyond the facility itself. When Electrolux closed its doors, Hamilton County experienced unemployment rates approaching 10%. This investment represents a new chapter for Webster City, demonstrating how NMTCs can help communities reclaim valuable industrial assets and create pathways to long-term economic resilience.
Strengthening Downtown Revitalization Through The Josephine Hotel
In downtown St. Louis, The Josephine Hotel represents an innovative example of how hospitality projects can generate meaningful community outcomes. Located in a deeply distressed census tract, the $105 million Kimpton-branded development will create 97 jobs while serving as a catalyst for additional investment in a part of downtown that continues to recover from economic disruption and population loss. The project will include 175 hotel rooms, event space, and destination dining that can attract visitors, support local businesses, and increase activity in the urban core. What makes The Josephine especially compelling is its commitment to community partnership. Through an agreement with St. Louis Public Schools, the hotel will provide emergency shelter accommodations for housing-insecure families and students during times of critical need. The development also offers employee-focused benefits including transportation assistance and meal support, helping ensure that the jobs created are both accessible and sustainable. This is the type of project that demonstrates how NMTC investments can support both economic development and social impact. The Josephine is not simply creating a hotel; it is helping restore confidence in downtown St. Louis while expanding resources for vulnerable residents.
Supporting Educational Equity Through Nine PBS
Community development is about more than buildings. It is also about ensuring that residents have access to education, information, and opportunities that improve long-term outcomes. Nine PBS serves more than 95% of the St. Louis metropolitan region through educational programming, community engagement, and trusted public media. Its planned headquarters renovation will modernize approximately 55,000 square feet of space, replacing aging building systems while expanding the organization’s ability to serve as a community gathering place and learning hub. The organization’s current impact is already substantial. Each year, Nine PBS supports more than 27,000 early learners, over 4,100 caregivers, and nearly 1,000 educators through educational programming and professional development initiatives. Workforce training opportunities have reached more than 160 educators, while community engagement programming serves thousands of residents annually. NMTC financing would allow Nine PBS to expand public programming, increase educational reach, strengthen community partnerships, and create additional content focused on local needs and opportunities. The project highlights how community facilities can serve as critical infrastructure for workforce readiness, educational advancement, and civic engagement.
The Common Thread: Future of Development Requires More Than One Tool
The projects highlighted here share a common theme: they began with a development challenge, not a financing structure. A former manufacturing facility needed a new purpose. A downtown district needed renewed investment. Families needed childcare. Students, educators, and caregivers needed educational resources. Communities needed jobs, services, and opportunities. For allocation providers seeking meaningful impact, these are exactly the types of projects the NMTC program was designed to support. Each represents a community-driven vision with measurable outcomes and lasting economic benefits. Together, they illustrate how strategic investment, incentives, site selection, and community development finance work hand-in-hand to create stronger outcomes for both clients and communities.
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Learn more about our active NMTC projects or how our team can source programs and incentive opportunities to produce the best economic outcomes for your project.
