The Los Angeles Development Fund provides investment capital for low-income communities to promote economic growth. By generating private investment capital through New Markets Tax Credits, the LADF is able to fund development projects in low-income areas, helping these communities out of their economic distress. Investment in depressed areas promotes business development, local commerce, and creates jobs.
There are three parts to the LADF application process:
Step 1 - Is Your Project Eligible?The New Markets Tax Credit Program is a federal tax credit that incentivizes business and real estate developers to invest in lower-income areas. A major part of the application determines whether the area served by the development is low-income, or underserved in certain specific ways.
Basic eligibility for NMTC requires a development to be in a census tract with income at or lower than 80% area median income, or poverty to be greater than 20%.
Step 2 - Is an LADF Investment Feasible?Selection criteria includes your development team capacity, targeted project type, size of the needed allocation, project feasibility and readiness and the impact on the community.
Step 3 - ApplyObtain and submit the initial application form.