2023 Year in Review
Dear Stakeholders,
With 2023 in the books, it’s instructive to reflect on how far we’ve come. The 2023 fiscal year resulted in the strongest revenue and strongest jump in net position MCC has seen in recent history. Whether it's strong improvement from new development properties coming online, a fifth consecutive NMTC award, or new capital flowing into our CDFI for lending, the organization is performing incredibly well. That said, it’s important to look at the greater context of our operating environment. Michigan has a desperate need for affordable and workforce housing in nearly every market in the state. Housing Cost Burden as well as the ALICE population size are at an all-time high. Housing production and sales volume remain low by historical standards. These conditions, combined with tightening credit markets and pressure from CRE on our local and regional bank partners have created a perfect storm. High demand for services from CDFI’s and CDC’s as well as very limited resources will absolutely have impacts on the communities we serve.
It’s important to keep the individuals, families, and communities we serve at the center of our work. We are here for them and when we advocate for MCC, we are advocating for them and for Michigan.
I would like to extend my heartfelt thanks on behalf of our board and staff to all our stakeholders and supporters who make this important work possible. We take our work as stewards of resources very seriously and look forward to continuing to create a waterfall of positive impacts across the State.
Eric Hanna
President & CEO
MCC Impact Highlights
2023
New Markets Tax Credits Deployed
$44,000,000
$352,000,000
Commercial Square Feet Built Or Rehabbed
661,766
3,482,271
Residential Units Financed
182
1,514
Permanent Jobs Created or Retained
527
5,408
Loan Volume
$3,191,617
$13,175,836
2005-2023
Total Capital Investment
$111,461,272
$1,381,366,931
Real Estate Development
2023
Square Feet Developed
8,000
384,128
Residential Units Created
6
429
Commercial/Office Square Feet Developed
—
33,640
2005-2023
Total Capital Investment
$1,970,350
$91,797,471
Single-Family Homes Sold as of March 2024
32
Total Occupancy as of March 2024
98%
Tenant Income Distribution – All Properties
17%
61%
22%
Over 120% AMI
61%–120% AMI
Under 60% AMI
New Markets Tax Credits
2005-2023
2023
NMTCs Deployed
$44,000,000
$352,000,000
Square Footage Built
Or Rehabbed
653,766
3,425,071
Jobs Created or Retained
527
5,340
Housing Units
176
838
Projects Closed
5
41
Private Investment Leveraged
$109,199,305
$1,213,235,508
MCC Property Insurance
2018-2023
Average Number of Doors Insured
9,187
Cumulative Claims Paid
$698,382
Cumulative Premiums
$1,485,069
CDFI Lending
2018-2023
2023
Loan Volume
$3,191,617
$13,175,836
Leveraged Investment
$40,587,198
$127,952,378
Communities Impacted
2
10
Housing Units
50
297
Net Asset Ratio as of March 2024
79.9%
Loan Prospects 2024
$34M
2023 Financials
Total Assets
$89,646,710
Total Revenue
$13,811,490
Liquidity
$13,620,871
Net Position
$20,273,162
Net Result
$2,045,484
Net Asset Ratio
(Consolidated)
22.6%
Employees
18
MCC Revenue
Real Estate Development
$5,020,787
MCC Property Insurance
$414,024
New Market Tax Credits
$3,065,058
Lending
$5,483,195
MCC Rent Trend from 2018 to 2023
LENDING SPOTLIGHT
FLINT
DIRECT LOAN
$2,900,000
$40,587,198
total capital investment
DEVELOPER
URC & HWD HARRISON, INC
-
Developers Uptown Reinvestment Corporation (URC) and HWD Harrison, Inc. are undertaking an approximately $41 million mixed-use, four-story development in downtown Flint with the support of a $2.9 million loan and $16 million in New Markets Tax Credit allocation from Michigan Community Capital (MCC)
-
Revitalizes a long-vacant, blighted property into a 110,000-square-foot building that will include a physical rehabilitation facility, more than 7,700 square feet of office space, 50 apartments, and a full-service, fully accessible YMCA
-
The 50 new rental units feature a mix of studio, one-, and two-bedroom apartments, all of which will be priced at rents affordable to households earning 80% of the Area Median Income or below
Harrison Block/YMCA
NMTC INVESTMENT SPOTLIGHT
Goodwill Green Works
DETROIT
NMTC ALLOCATION
$6,500,000
$6,662,500
total capital investment
DEVELOPER
GOODWILL'S GREEN WORKS (GGW)
-
Allocation utilized for working capital/operating expenses and the purchase of equipment to support the growth of GGW’s sustainable appliance recycling social enterprise that occupies a 94,000 square-foot facility
-
Goodwill’s Green Works provides employment opportunities to “hard-to-employ” Detroit residents, particularly the formerly incarcerated and chronically unemployed
-
Employees recycle and repurpose industrial and household waste materials including cable wiring, transformers, and refrigerators, diverting over 19 million pounds from the landfill in 2022
-
Efforts of the expansion support the Mayor’s Workforce Development Board’s goal of helping 40,000 more Detroiters secure employment
NMTC INVESTMENT SPOTLIGHT
Mel Trotter Ministries
GRAND RAPIDS
NMTC ALLOCATION
$8,000,000
$27,252,114
total capital investment
DEVELOPER
MEL TROTTER MINISTRIES
-
Mel Trotter Ministries (“Mel Trotter”) and Next Step of West Michigan (“Next Step”, a program of Mel Trotter Ministries) lead a three-site project to help people living in poverty achieve economic stability through access to employment and complementary resources
-
130 Garden Street: Construction of a 15,000 SQFT manufacturing facility leased to Jireh Metal Products, a minority-owned tier one supplier to the furniture, automotive, and hardware industries
-
101 Garden Street: Renovation of a two-story, 20,730 SQFT vacant building into a mixed-use facility with space for Next Step’s skilled job training program, construction employment offices, and community space on the ground floor with ten transitional workforce housing units above
-
225 Commerce Avenue: Renovation and expansion of Mel Trotter’s existing facility to include 116 units of transitional housing and 400 emergency shelter beds with resident common areas
NMTC INVESTMENT SPOTLIGHT
Vantage Plastics
BAY CITY
NMTC ALLOCATION
$6,500,000
$24,967,993
total capital investment
DEVELOPER
VANTAGE PLASTICS
-
Since starting in 1996 with the purchase of a small thermoforming facility in Standish, Vantage Plastics has grown into a family of six companies that employs over 250 Michigan residents
-
The 325,000-SQFT newly constructed manufacturing and warehouse facility will house equipment for injection molding, extrusion, and thermoforming machines needed to expand production capacity and meet demand
-
Project includes 215,000 SQFT of space for Vantage’s plastic thermoforming and injection molding operations; 100,000 square feet of space to produce custom thermoplastic polyolefin sheet stock by Vantage subsidiary Airpark Plastics; and 10,000-square feet of office space for staff
-
The project is anticipated to create 108 new, full-time jobs
DEVELOPMENT SPOTLIGHT
Carriage Town
CARRIAGE TOWN FLINT
EQUITY INVESTMENT
$1,271,534
$1,970,350
total capital investment
2
Duplexes ( four units) &
2
Single-Family Homes
-
MCC & Uptown Reinvestment Corporation partnered to bring the first new construction, for-sale homes to the city of Flint in a decade
-
Redevelops three land bank-owned lots in the historic Carriage Town neighborhood
-
Creates a small condo association. Six total units; two duplexes, and two single-family homes
-
Utilizes funding from the Community Development Finance Institution Fund, Charles Stewart Mott Foundation, and brownfield tax increment financing
PARTNERS & FUNDERS
Uptown Reinvestment Corporation, Genesee County Land Bank (GCLB), City of Flint, Flint Brownfield Redevelopment Authority, Charles Stewart Mott Foundation, CDFI Fund
DEVELOPMENT SPOTLIGHT
Robinson Landing
GRAND HAVEN
EQUITY INVESTMENT
$4,000,000
$8,000,000
total capital investment
30
Residential Units
16
Homes priced under $200,000
-
Redeveoped 7.5 acres of city-owned property into a mixed-income, owner-occupied neighborhood
-
16 homes are in a Community Land Trust (CLT) created by the City of Grand Haven
-
CLT homes offered between $140,000 and $214,000; income restrictions on purchasing
-
14 market value homes offered between $260,000 and $315,000; no income restrictions for purchasing
-
29 homes sold as of March 2024
PARTNERS & FUNDERS
City of Grand Haven, Ottawa County Land Bank, Grand Haven Area Community Foundation, Dart Bank, Grand Haven Area Community Land Trust, Housing Next, Northern Trust
LOOKING AHEAD
PRE-DEVELOPMENT
Sawmill Lofts
GRAYLING
EQUITY INVESTMENT
$2,400,000
$15,400,000
projected capital investment
40
Residential Units
-
Sawmill Lofts will break ground in the Fall of 2024
-
The project will bring 40 middle-income apartments and 4,000 square feet of commercial space to Downtown Grayling in a new, five-story, 50,000 square foot building
-
The apartments will be income restricted to 120% of the Area Median Income for 10 years
-
The project will utilize the new TIF for Housing tool in a 30- year brownfield tax increment financing plan
PARTNERS & FUNDERS
Michigan Department of Environment, Great Lakes and Energy, Michigan State Housing Development Authority, the Michigan Economic Development Corporation, City of Grayling, and Crawford County
LOOKING AHEAD
PRE-DEVELOPMENT
Cadillac Lofts II
CADILLAC
EQUITY INVESTMENT
$3,000,000
$15,500,000
projected capital investment
50
Residential Units
-
Phase II of Cadillac Lofts will seek local approvals in Q2 2024
-
This phase will mirror the first Cadillac Lofts building constructed in 2019 and bring an additional 50 middleincome apartments and 1,500 square feet of commercial to downtown Cadillac
PARTNERS & FUNDERS
Michigan Department of Environment, Great Lakes and Energy, and the City of Cadillac
Governing Board
Jim Ananich
President | GREATER FLINT HEALTH COALITION
Member Since June 2023
Doug Barcy
Senior Vice President | PNC BANK
Member Since June 2021
Karl Dorshimer
President & CEO | LANSING ECONOMIC DEVELOPMENT CORPORATION
Member Since February 2012
Eric Hanna
President & CEO | MICHIGAN COMMUNITY CAPITAL
Member Since June 2020
Brad Heffner
Associate General Counsel | MICHIGAN ECONOMIC DEVELOPMENT CORPORATION
Member Since May 2023
Richard Hosey III
Owner | HOSEY DEVELOPMENT
Member Since January 2010
Mark McDaniel
President & CEO | CINNAIRE CORPORATION
Member Since January 2010
Mark Morante
Retired Economic Development Professional
Member Since October 2005
Stephanie Osterland
CEO | HABITAT FOR HUMANITY DETROIT
Member Since September 2023
Elissa Sangalli
President & CEO | NORTHERN INITIATIVES
Member Since June 2020
Jamie Schriner
Program Officer | WK KELLOGG FOUNDATION
Member Since November 2010
Mary Seaberg-King
Retired CDFI Professional
Member Since February 2012
Marcia Ventura
Senior Vice President | INVEST DETROIT
Member Since February 2019
Kara Wood
Executive Director | GRAND ACTION 2.0
Member Since April 2009
MCC Staff
Elle Albert
Administrative Professional
Liz Alexandrian
Vice President of Lending
Marilyn Chrumka
Vice President of Development
Vern Darke
Maintenance Manager, LOFTS ON ROWE
Stacy Esbrook
Managing Director of Policy & Impacts
Mike Gall
Controller
Eric Hanna
President & Chief Executive Officer
David Hendley
Portfolio Manager
Rhett Huyck
Director of Property Management
Annie Jenkins
Chief Operations Officer & Chief Financial Officer
Rebecca McGregor
Community Manager, CADILLAC LOFTS
Brandon Miller
Director of Property Maintenance
Frank Parish
Maintenance Manager, BROADWAY LOFTS & LANSING PROPERTIES
Toni Robertson
Community Manager, BRIDGE STREET LOFTS & MIDTOWN CITYZEN
Stacy Rose
Community Manager, BROADWAY LOFTS
Eric Spearman
Maintenance Manager, BRIDGE STREET LOFTS & MIDTOWN CITYZEN
Abbey Wilson
Director of Marketing & Communications
Alyssa Zank
Community Manager, LOFTS ON ROWE
Investors
Thank you to our partners, funders, and communities across the state.
CDFI Fund
Charles Stewart Mott Foundation
Grand Haven Area Community Foundation
Huntington
JPMorgan Chase
Key Bank
Michigan Economic Development Corporation
Michigan State Housing Development Authority
Northern Trust
Old National Bank
Pennies from Heaven Foundation
PNC Bank
U.S. Bank