DOWNLOAD PDF

 

UB Community Development LLC Announces Funding for Buc-ee’s Store in Auburn, Alabama

Atmore, AL – UB Community Development, LLC (UBCD), a community development partner of United Bank, announced today that it has closed a $7 million New Markets Tax Credit transaction with Buc-ee’s, Ltd., a Texas-based chain of convenience stores and gas stations with locations in Texas, Georgia, Florida and Alabama.

The 53,250-square-foot Buc-ee’s Auburn will be located on approximately 35 acres at the northeast quadrant of Interstate 85 near Exit 50. It will have 144 retail fuel pumps, electric charging stations and more than 437 parking spaces. This will be the fourth Buc-ee’s convenience store in Alabama and will create over 175 jobs in the Auburn community. The popular gas station and travel center is known for its unique food offerings, merchandise and large clean restrooms. Other features will include a bakery, deli, coffee bar and an expanded retail area.

“Having the opportunity to assist in bringing another Buc-ee’s to Alabama and knowing that it will create over 175 well-paying jobs for our fellow Alabamians is very gratifying. Buc-ee’s will be an excellent corporate citizen and we look forward to watching this transformative project come to fruition,” said Alex Jones, President of UB Community Development.

UB Community Development was recently awarded a $65 million New Markets Tax Credit (NMTC) allocation by the Department of the Treasury. The award was the result of United Bank’s ongoing commitment to enhancing the economic vitality of low-income communities in Alabama and Northeast Florida and marked the fourth allocation the company has received. The NMTC Program attracts private capital into low-income communities by awarding investors tax credits against their federal income tax in exchange for making investments in qualified projects.

UBCD uses the NMTC program to help fund small businesses and finance projects related to education, healthcare, manufacturing, hospitality, non-profits and community centers. The projects funded from UBCD’s NMTCs are creating jobs, providing goods, services, and housing options, and improving access to healthcare across the region.

For more information about UB Community Development, or for help planning your next funding project, contact Alex Jones, President, UB Community Development at (251) 446-6017 or email alex.jones@unitedbank.com.

About United Bank
United Bank is a $1,000,000,000 financial institution that has enjoyed 117 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Semmes, and Summerdale in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com. Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving the communities around us, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

DOWNLOAD PDF

 

United Bank and UB Community Development provide funds for the renovation of Jackson Johnson Townhomes in Marion, Alabama

Atmore, AL – United Bank and UB Community Development have provided $3,300,000 in construction financing to The Bennett Group for the renovation of Jackson Johnson Townhomes, a 42-unit affordable multi-family project in Marion, Alabama. United Bank will also provide a $350,000 permanent loan to the development upon construction completion. Funding for this loan was made possible due to the bank’s Capital Magnet Fund award.

Jackson Johnson Townhomes was built in 1997. Once renovations are complete, Jackson Johnson Townhomes will be known as Jackson Village. Total renovation costs of $2.5 million are budgeted for the project. The development received an allocation of Low-Income Housing Tax Credits from the Alabama Housing Finance Authority in 2020 which will allow the property to be rehabilitated and will preserve the units as affordable housing in the community.

The property has been named in honor of Jimmie Lee Jackson, an African American civil rights activist who was beaten and fatally shot by state troopers while participating in a voting rights march in Marion on February 18, 1965 with his mother and grandfather. Eulogized by Dr. Martin Luther King, Jr., Mr. Jackson’s death helped inspire the Selma to Montgomery marches in March 1965, a major event in the civil rights movement that helped gain congressional passage of the Voting Rights Act of 1965.

The extensive rehab and upgrade for property residents includes updating kitchens with new cabinets, sinks, countertops and appliances. Bathrooms will be upgraded with new fixtures, sinks and faucets as well as wire shelving. Interior and exterior upgrades include energy efficient windows and doors, new flooring throughout each unit, HVAC units and roofs and gutters. Additionally, there will be a new gazebo, picnic pavilion, and covered bus stop.

The renovations also include the expansion of existing amenities with the addition of a room to the Community Center, new concrete patios, a camera security system, resurfacing of the parking lot and replacement of the existing sidewalk for ADA accessibility.

“United Bank and UB Community Development are committed to serving rural communities in Alabama. The extensive rehab and upgrade of Jackson Village will ensure that residents of the town of Marion and Perry County have access to quality affordable housing now and in the future,” said Joe Raines, Managing Director of Community Housing Capital for UB Community Development.

The Capital Magnet Fund (CMF) Program is administered by the Community Development Financial Institutions Fund within the US Treasury Department. The CMF program offers competitively awarded grants to qualified institutions and non-profits, for the purpose of providing affordable housing solutions and community revitalization efforts to low-income people nationwide. UBCD offers Community Housing Capital (CHC) investments as part of its commitment to strong inclusive neighborhoods and diverse housing opportunities. CHC investments are partly funded by CMF awards. Since 2017, United Bank has been the recipient of three CMF awards totaling $18 million. United is the only Alabama-based bank to receive a Capital Magnet Fund award and it is further validation of United’s strong commitment to providing unique and meaningful capital solutions to community development projects across Alabama and Florida.

About United Bank
United Bank is a $1,000,000,000 financial institution that has enjoyed 117 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Semmes, and Summerdale in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com. Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving the communities around us, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

DOWNLOAD PDF

 

United Bank and UB Community Development provide funds for the construction of Country Ridge Estates in Opelousas, Louisiana

Atmore, AL – United Bank and UB Community Development have provided $4,000,000 in construction financing to Gulf Coast Housing Partnership (GCHP) for the new construction of Country Ridge Estates, a 32-unit multifamily affordable-rental housing subdivision in Opelousas, Louisiana. United Bank was also the Member Institution for the development’s $500,000 AHP award from the Federal Home Loan Bank of Atlanta. The project received a 9% allocation of Low-Income Housing Tax Credits from the Louisiana Housing Corporation in 2019.

Country Ridge Estates will include eight residential buildings each comprised of four apartments in a townhome style layout. There will be a mix of one, two and three-bedroom units all designated for low to moderate income individuals and families. A portion of the development’s 32 units will also be set aside for single parent families and persons with disabilities. On-site amenities include a playground, community building, exercise and picnic area, walking trail, and community garden. The development is also conveniently located within 2 miles of a grocery store, hospital, school, public library and fire station.

The Country Ridge Estates development team includes New Orleans-based developer GCHP and Acadiana-based developer, Le Centre Evangeline.

“We are grateful for the funding support by United Bank and UB Community Development,” said Kathy Laborde, GCHP President and CEO. “Together with our partner, Le Centre Evangeline, we are excited to bring residents of Opelousas a new affordable housing development that will be conveniently located to retail outlets, healthcare providers and employment opportunities.”

“United Bank and UB Community Development are pleased to close our first affordable housing loan in Louisiana with Gulf Coast Housing Partnership,” said Joe Raines, Managing Director of Community Housing Capital for UB Community Development. “We are excited about establishing this new relationship with GCHP, who is a leader in providing quality affordable housing to individuals and families across the Southeast.”

The Capital Magnet Fund (CMF) Program is administered by the Community Development Financial Institutions Fund within the US Treasury Department. The CMF program offers competitively awarded grants to qualified institutions and non-profits, for the purpose of providing affordable housing solutions and community revitalization efforts to low-income people nationwide. UBCD offers Community Housing Capital (CHC) investments as part of its commitment to strong inclusive neighborhoods and diverse housing opportunities. CHC investments are partly funded by CMF awards. Since 2017, United Bank has been the recipient of three CMF awards totaling $18 million. United is the only Alabama-based bank to receive a Capital Magnet Fund award and it is further validation of United’s strong commitment to providing unique and meaningful capital solutions to community development projects across Alabama and Florida.

About United Bank
United Bank is a $1,000,000,000 financial institution that has enjoyed 117 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Semmes, and Summerdale in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com. Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving the communities around us, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

DOWNLOAD PDF

 

UB Community Development Announces $3.5 Million in Community Facilities Lending Funds for the Construction of Atmore Urgent Care Facility

Atmore, AL – UB Community Development, LLC (UBCD), a community development partner of United Bank, has announced $3.5 million in Community Facilities Lending funds for the construction of the Atmore Community Hospital (ACH) Urgent Care facility. The new urgent care will offer services for non-emergent needs and will increase access to other types of healthcare for Atmore and surrounding communities.

Urgent care facilities are a vital component to communities, offering a convenient alternative to an emergency room visit or appointment with your general practitioner. With expanded office hours outside of normal doctor’s office hours, Escambia county residents will enjoy the convenience of quality walk-in medical services, high quality care and significantly lower costs, bringing access to care solutions to an underserved area.

The new ACH Urgent Care facility will be staffed by mid-level providers with Physician Medical Director, the same way that ACH Med Plus operates today. ACH will offer one additional mid-level provider at the facility initially, with the potential to grow into more provider coverage as we work to expand programs designed at assisting community businesses with their healthcare needs and community health initiatives. Care at the new Urgent Care Clinic will be delivered by an accomplished team of healthcare professionals, and will feature a lab, x-ray equipment, a pharmacy, and wellness care. The Urgent Care Clinic will work in coordination with Atmore Community Hospital as its parent organization and will be symbiotic with the other ACH physician clinics.

In calendar year 2020, 7,346 patients were seen, an average of 612 per month. One important note is that the clinic had over a month and a half where they were not operating in the clinic capacity in an effort to assist with a COVID surge in the emergency department. The pandemic had a negative impact on the number of patients seen during this timeframe, as well as other months, as citizens attempted to follow Governor Ivey’s Safer at Home orders.

“Our company has a vested interest in all of our communities, but the concentration in the Atmore community is foundational to our company mission,” said Chris Walker, UBCD, Managing Director, Community Facilities Lending. “Our interest and commitment to deploying solutions embraces our mission driven focus on community and economic development as well as affordable housing.”

Adding to the convenience of this urgent care is its location. The more than 6,000-square-foot facility will be constructed on a 10-acre site on Highway 21 at Rivercane Industrial Park. Through the hospital, the authority, and the city working together for the improvement of the citizens of Atmore and surrounding areas, the 10-acre site was established from a land swap. The facility will offer modern equipment and expanded services such as radiology imaging, on site pharmacy and lab services efficiently expediting patient care in one centralized location.

The new facility will be dedicated to Urgent Care and Wellness needs. Currently, ACH Med Plus has 9 rooms, and specialists lease space several days per week. This new facility will dedicate more space to clinic specific needs and will offer a “one stop shop” for x-ray, an expansion of labs from the current clinic, and a pharmacy. Another key feature is the ability to segregate acutely ill and “well” patients to reduce the chance of cross contamination.

“We have spent a great deal of time researching the most successful urgent care and healthcare models across the country, working with our community leaders and developing a plan of action to build the clinic,” stated Debbie Rowell, Escambia County Healthcare Authority (ECHCA) Board Chairwoman.

Phase I of the ECHCA plan includes the urgent care facility with the strategic goal of expanding specialty services to the community. The plan includes coordinated efforts with larger hospitals and having specialty physicians placed into rotation periodically seeing patients at the new facility. The updated model will extend the opportunity to receive specialty care locally. Additions include the integration of employee health programs such as wellness screenings and preventive care.

For more information about UB Community Development, or for help planning your next funding project, contact Alex Jones, President, UB Community Development at (251) 446-6017 or email alex.jones@unitedbank.com.

About United Bank
United Bank is a $993,000,000 financial institution that has enjoyed 117 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Summerdale and Semmes in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com. Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving communities, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

DOWNLOAD PDF

 

UB Community Development & Peoples Bank Announce $9.5 Million in New Markets Tax Credit Loan & Investment Fund for Local Small Businesses

Atmore, AL – UB Community Development, LLC (UBCD), a community development partner of United Bank, and Peoples Bank Mendenhall, MS announce $9.5 million in New Markets Tax Credit (NMTC) funding for a loan and investment fund. The fund and its management are part of a collaboration between UBCD & Peoples to fund local manufacturing, retail, healthcare and various other small businesses. The $9.5 million loan and investment fund supports renovation and growth for small businesses in Mississippi and Alabama.

“Small businesses are vital to the success of the economy,” said Alex Jones, President of UB Community Development. “We’re proud to be a part of a solution to these businesses providing fast affordable capital to further their future growth. It is important for us to understand individual business needs, connecting owners to the right business solution. We’d like to thank Peoples Bank for partnering with UBCD and United Bank in making an impact on the viability of these small businesses.”

“As a CDFI bank, we are always looking for productive ways to partner with other, community-oriented banks to find ways to get affordable loans to the small businesses that are absolutely essential to the health of our local economy,” said Dennis Ammann, CEO of Peoples Bank. “We are grateful for the opportunity to work with United Bank and their great team, in being a part of the solution.”

For more information about UB Community Development, or for assistance with funding or structuring your next project, contact Alex Jones, President, UB Community Development at (251) 446-6017 or email alex.jones@unitedbank.com.

About United Bank
United Bank is a $993,000,000 financial institution that has enjoyed 117 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Summerdale and Semmes in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com. Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving communities, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

About Peoples Bank
Peoples Bank is a $407,000,000 financial institution that was founded in 1908, providing central Mississippi with over 112 years of local service. Now, with nationwide mortgage presence and a growing SBA department, Peoples Bank is able to service a much larger market. As an SBA Preferred Lender and a CDFI (Community Development Financial Institution), Peoples Bank specializes in helping grow low-income businesses and communities. Visit our website at www.peoplesbank-ms.com or www.peoplesbanksba.com for further information. Member FDIC.

DOWNLOAD PDF

 

UB Community Development Announces $7 Million in New Markets Tax Credit Funding for Realty Masters LLC, an affiliate of ColorMasters, LLC in Albertville for Construction of Railyard Facility

Atmore, AL – UB Community Development, LLC (UBCD), a community development partner of United Bank, allocated $7 million in New Markets Tax Credit (NMTC) as part of a $14 million railyard facility at Realty Masters, LLC, an affiliate of ColorMasters, LLC in Albertville, Alabama. UBCD assisted in sourcing an additional $7 million in New Markets Tax Credit allocation from contributing partnerships, including PNC allocating $2 million and Gulf Coast Housing Partnership allocating $5 million.

“To be able to support such a dynamic company grow and increase hiring in a rural community is exactly what we seek in a project to support,” said Alex Jones, President of UBCD. “Furthermore, when we learned ColorMasters offers an onsite healthcare clinic, it cemented our belief that ColorMasters was a company that deserved support in their expansion.”

An active participant in flexible packaging since 1986, ColorMasters has grown from a 10,000-square-foot facility with one bag machine to over a million square feet of manufacturing and warehousing space housing more than 24 machines delivering packaging and film solutions to the marketplace. A privately-owned company, ColorMasters is providing meaningful jobs to Marshall County as well as significantly increasing their capacity to manufacture, house and ship products all while meeting increasing demand.

“We are pleased to have had another opportunity to work with United Bank and UB Community Development, a community development partner of United Bank,” said Jonn Grochowalski, company official with both ColorMasters, LLC and Realty Masters, LLC. “We are also delighted to be at the vanguard of job creation here in Marshall County. This is a perfect economic development project for our area.”

ColorMasters has built a corporate legacy through organic growth with superior products at competitive pricing. Their high performance state-of-the-art equipment allowed them to efficiently keep up with supply and demand. The company has been proactively building capacity by strategically adding two to three new pieces of equipment for the past several years as it continues to increase market share.

The bulk of material comes in the form of rail cart. The company has been reliant on rail cart service providers who are more than 35 miles away and at times are inconsistent with delivery based on their shipping volume. The arrival of supply materials and distribution is critical and time sensitive. The construction of the 15-acre railyard is within a half mile of their Medlock facility. The railyard will vertically integrate their supply source and allow for more control of material transportation. The railyard will be utilizing the existing railway. With capacity for 100 rail carts, the railyard will allow for consistent shipping and delivery channels.

For more information about UB Community Development, or for help with planning your next funding project, contact Alex Jones, President, UB Community Development at (251) 446-6017 or email alex.jones@unitedbank.com.

About United Bank
United Bank is a $993,000,000 financial institution that has enjoyed 116 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Semmes, Daphne and Summerdale in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com. Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving the communities around us, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

DOWNLOAD PDF

 

United Bank Receives $8 Million in Capital Magnet Funds Award from U.S. Department of Treasury

Atmore, AL – Robert R. Jones, III, President and CEO of United Bank, a subsidiary of United Bancorporation of Alabama, Inc. (OTCQX: UBAB), announced today that United Bank has received an award of $8 million from the U.S. Department of Treasury’s Capital Magnet Fund (CMF) program. The award will be managed by UB Community Development, LLC, a community development partner of United Bank. United Bank was one of 48 entities nationwide to receive a Capital Magnet Fund award from among the 137 applicants. United Bank was one of two applicants to receive an $8 million award, which was the largest award granted to a single entity.

These awards were made through the Fiscal Year (FY) 2020 round of the Capital Magnet Fund, and will support financing for the preservation, rehabilitation, or development of affordable housing for low-income individuals and families.   Many low and moderate-income households are cost-burdened, paying more than 30% of their income for housing.  The Coronavirus pandemic has laid bare the tenuous position that many households face with being able to find and afford housing. Utilizing the CMF award, United Bank will work with development partners and investors to increase the availability of quality affordable housing.

While discussing the CMF Award, Mr. Jones noted: “United Bank & UB Community Development have become leaders in providing innovative capital solutions to affordable housing developments across the Southeast.  We realize our efforts in one area support our efforts in other areas of focus. Everything we do is interdependent, connected and has transformed us into a successful, impactful multi-bottom line Company.  Our Company is working together, furthering our multi-bottom line mission by caring for and giving back to our employees, neighbors and communities.”

In addition to the CMF award, the U.S. Department of Treasury, through its New Markets Tax Credit Program, has awarded UBAB and UBCD $185 million in New Markets Tax Credit allocations since 2016. UBAB, and subsequently UBCD, are the only community development entities (CDE) headquartered in Alabama to receive a New Markets allocation from Treasury in the last decade. This success was made possible largely because of United Bank’s designation as a Community Development Financial Institution (CDFI) and the organization’s unwavering commitment to its mission to bring positive and sustainable economic and quality-of-life improvements to low-income and underserved communities, not only in its traditional banking footprint, but throughout Alabama and Florida.

Additionally, UBCD, as the community development management entity for UBAB, manages a $40 million Community Facilities Lending Program, which provides accessible, low-cost capital to local government and non-profits in rural and persistent-poverty areas. Like the New Markets Tax Credit awards, UBCD is the only Alabama-based entity to administer the CMF and Community Facilities awards.

For more information about UB Community Development, or for help with planning your next funding project, contact Alex Jones, President, UB Community Development at (251) 446-6017 or email alex.jones@unitedbank.com.

About United Bank
United Bank is a $993,000,000 financial institution that has enjoyed 116 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Summerdale and Semmes in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.unitedbank.com. Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving the communities around us, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

DOWNLOAD PDF

 

UB Community Development Announces $10 Million in New Markets Tax Credit Funds to $87 Million Coastal Growers Peanut Shelling Plant in Atmore

Atmore, AL – UB Community Development, LLC (UBCD), a community development partner of United Bank, announced today the placement of $10 million of their New Markets Tax Credit (NMTC) allocation into Coastal Growers. UBCD, jointly with Baker Tilly, assisted in sourcing an additional $50 million in New Markets Tax Credit allocations from partner Community Development Entities including MuniStrategies, allocating $5 million, Rural Development Partners $15 million, Waveland $15 million and National Impact Fund $15 million. Additionally, United Bank applied for and received a $40 million Business and Industry Loan Guarantee from USDA Rural Development to support the project financing.

Alex Jones, President of UB Community Development, stated “It is not often that you get to support a project that will have such extensive impact. UBCD and United Bank are honored that Coastal Growers and over 100 farm families trusted us to guide them through the process of sourcing and structuring a project of this scope. This was a team effort at the City, State and Federal levels to pull such a complex project together.”

The new 475,000-square-foot facility will source peanuts within a 200 mile radius from farms in Mississippi, Alabama, Georgia and Florida. The project will create 130 permanent jobs with training and career advancement opportunities in addition to 95 construction jobs. The project anticipates shelling 140,000 tons of peanuts annually, which will be sold domestically and internationally.

Coastal Growers currently works with 100 regional farms with over 200 employees and $4.8 million in total wages. Upon completion they anticipate working with 130 regional farms supporting almost $8 million of wages.

“Without the continuing support of Alex Jones and the team at UB Community Development, Coastal Growers would still merely be a dream,” said Brad Smith, President of Coastal Growers. “Their dedication to the project during times of uncertainty with COVID-19 and political upheaval show their commitment to customers and the community. Simply put, without UBCD, Coastal Growers would not exist nor would the jobs it has created and the ones it will create in the near future.”

Several significant environmental benefits are recognized through the vision of this project including decreased transportation emissions due to the proximity of the project to the growers and buying points. This results in 250,000 fewer gallons of fuel burned annually and sustainable farming practices used by growers results in a reduction of water use by 90,000 gallons annually.

A number of partnerships made this project possible. The City of Atmore, through its Industrial Development Board, has extended an abatement of non-educational ad-valorem taxes for 10 years, as well as an initial abatement on construction-related non-educational sales and use taxes on construction materials and equipment. The city also offered to purchase 15 acres of property and construct a rail spur to service the facility as well as other projects in the area for a total cost of $2.5 million. Finally, the city will also donate 60 acres of land for construction of the facility which saves the project $240,000.

Additional support includes a new rail transload facility which will service several nearby businesses in addition to Coastal Growers, and the potential future expansion of a blancher at the project site. The project received a $2,000,000 loan from the Alabama Farmers Association (ALFA) as well as $937,000 of contributed value for workforce training from the AIDT (Alabama’s Workforce Training Program). Coastal Growers also received $8.2 million in Alabama Investment Tax Credits over a 10-year period.

For more information about UB Community Development, or for help planning your next funding project, contact Alex Jones, President, UB Community Development at (251) 446-6017 or email alex.jones@unitedbank.com.

About United Bank
United Bank is an $890,000,000 financial institution that has enjoyed 117 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Summerdale and Semmes in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com.
Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving the communities around us, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

DOWNLOAD PDF

 

UB Community Development Announces $11.6 Million in New Markets Tax Credit Funding to Escambia Peanut

Atmore, AL – UB Community Development, LLC (UBCD), a community development partner of United Bank, announces $11.6 million in New Markets Tax Credit (NMTC) funding to Escambia Peanut Company, LLC in Flomaton, Alabama. Escambia Peanut serves as a buying point and warehousing facility for peanut producers in southwest Alabama and northwest Florida. UB Community Development used their knowledge in structured financing to minimize transactional cost to Escambia Peanut. United Bancorporation of Alabama acted as tax credit investor and United Bank provided the leverage for the transaction, further optimizing the capital investment provided.

Escambia Peanut Company, LLC is a 109,000-square-foot peanut buying point that utilizes cleaners, dryers, storage sheds and handling equipment to clean and store peanuts prior to shipment to the peanut shelling plant. Escambia Peanut Company, LLC will now deliver their peanuts to the new Atmore shelling plant project, Coastal Growers, LLC, also a farmer owned facility utilizing New Markets Tax Credits for its funding.

Operating for more than seven years, Escambia Peanut serves family farmers in the rural counties of Monroe, Escambia (FL & AL) and Santa Rosa, Florida. With more than thirty existing farmer members, Escambia Peanut utilized NMTC funding to purchase new equipment, expand existing facilities and most importantly consolidate ownership amongst the family farmers. Escambia Peanut began as a partnership between family farmers in Alabama and Florida with a family owned peanut sheller. After a multi-national corporation acquired the sheller, the farmers decided they need to acquire control of the company.

“UB Community Development works daily to improve the financial viability of our rural communities and their residents,” said Alex Jones, President of UB Community Development. “By assisting the family farmers in their ownership acquisition of Escambia Peanut, we have ensured that they will gain more of the economic benefit from the peanuts they plant and harvest every year.”

For more information about UB Community Development or for assistance with funding or structuring your next project, contact Alex Jones, President, UB Community Development at (251) 446-6017 or email alex.jones@unitedbank.com.

About United Bank
United Bank is a $903,000,000 financial institution that has enjoyed 116 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Summerdale and Semmes in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com.
Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving communities, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

DOWNLOAD PDF

 

UB Community Development Announces Affordable Housing Capital Magnet Funds for the Construction of Providence Park Apartments

Atmore, AL – UB Community Development, LLC (UBCD), a community development partner of United Bank, announced United Bank has provided $340,000 in secondary financing to The Bennett Group for the construction of Providence Park Apartments, a 56-unit, affordable multifamily project in Opelika, Alabama. Funding for this loan was made possible due to the bank’s 2017 Capital Magnet Fund award. United Bank is also providing an additional $3.4 million in funding to the project, as a participant in Auburn Bank’s construction loan facility.

The Capital Magnet Fund (CMF) Program is administered by the Community Development Financial Institutions Fund within the US Treasury Department. The CMF program offers competitively awarded grants to qualified institutions and non-profits, for the purpose of providing affordable housing solutions and community revitalization efforts to low income people nationwide. Since 2017, United Bank has been the recipient of two CMF awards totaling $10 million. United Bank is the only Alabama-based bank to receive and administer Capital Magnet Fund awards, further validating our strong commitment to providing unique and meaningful capital solutions to community development projects across Alabama and Florida.

For more information about UB Community Development, or for help planning your next funding project, contact Alex Jones, President, UB Community Development at (251) 446-6017 or email alex.jones@unitedbank.com; or Joe Raines, SVP, United Bank and UB Community Development at
(205) 314-5790 or email Joe.Raines@unitedbank.com.

About United Bank
United Bank is an $890,000,000 financial institution that has enjoyed 116 years of continuous service to Atmore, Alabama and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Summerdale and Semmes in Alabama. United Bank serves Santa Rosa County, Florida in Jay, Milton, and Pace. For more information about United Bank, please visit our website at www.UnitedBank.com.
Member FDIC.

About UB Community Development
UB Community Development’s strong history and experience in New Markets Tax Credit transactions, coupled with our passion for improving communities, make UBCD Alabama’s premier financial partner for economic and community development. Through our NMTC projects, Community Facilities Lending Program and Community Housing Capital Fund, UBCD is working with community development partners in the fields of healthcare, education, manufacturing, public works, affordable housing and more. For more information about UB Community Development, visit our website at www.UBCommunityDevelopment.com.

GET COMPANY NEWS!
United Bank Logo

Sign up to get periodic emails packed with project success stories, press releases, and other exciting company news.


By submitting this form, you are consenting to receive marketing emails from: United Bank, 200 E. Nashville Ave., Atmore, AL, 36502, https://www.unitedbank.com/#. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact