Last month, to mark National Small Business Week, Congressman Xavier Becerra (D-CA), Chairman of the House Democratic Caucus, joined Treasury Secretary Jack Lew at the NMTC-financed LA Prep in Lincoln Heights.
The LA Prep project involved the acquisition and renovation of 56,000 square foot former warehouse into an incubator for small food producers who have outgrown their startup spaces. The project moved forward thanks in part to $16 million in NMTC allocation from Los Angeles Development Fund and UrbanAmerica. Capital Impact Partners provided $11 million in leveraged debt, with $5.1 million in equity provided by U.S. Bancorp CDC. Civic Enterprise, real estate development firm focused on revitalizing emerging urban neighborhoods, developed the project.
LA Prep’s largest tenant is the social enterprise LA Kitchen, which offers culinary training programs for at-risk individuals.
“Two-hundred jobs created: 50 tenants and one-third minority-owned businesses at LA Prep & LA Kitchen,” said Congressman Becerra. “I’m so proud we have places like this in the district, setting small business owners up so that they can get access to capital and help create more jobs for people across our district and beyond – not to mention, nutritious and delicious food!”
All LA Prep tenants receive an exclusive production space; on-site access to everything a growing food-making business needs; flexible cold, dry and frozen storage; a demonstration kitchen; co-working space; and a staffed warehouse to assist with receiving and logistics. LA Prep partner and co-founder Food Centricity, a business accelerator focused on early and growth stage food companies, provides business support and other key services to help the tenants succeed.
The LA Prep project involved the acquisition and renovation of 56,000 square foot former warehouse into an incubator for small food producers who have outgrown their startup spaces. The project moved forward thanks in part to $16 million in NMTC allocation from Los Angeles Development Fund and UrbanAmerica. Capital Impact Partners provided $11 million in leveraged debt, with $5.1 million in equity provided by U.S. Bancorp CDC. Civic Enterprise, real estate development firm focused on revitalizing emerging urban neighborhoods, developed the project.
LA Prep’s largest tenant is the social enterprise LA Kitchen, which offers culinary training programs for at-risk individuals.
“Two-hundred jobs created: 50 tenants and one-third minority-owned businesses at LA Prep & LA Kitchen,” said Congressman Becerra. “I’m so proud we have places like this in the district, setting small business owners up so that they can get access to capital and help create more jobs for people across our district and beyond – not to mention, nutritious and delicious food!”
All LA Prep tenants receive an exclusive production space; on-site access to everything a growing food-making business needs; flexible cold, dry and frozen storage; a demonstration kitchen; co-working space; and a staffed warehouse to assist with receiving and logistics. LA Prep partner and co-founder Food Centricity, a business accelerator focused on early and growth stage food companies, provides business support and other key services to help the tenants succeed.
14 June 2016
excerpts from "Treasury Secretary Lew and Congressman Xavier Becerra Visit LA Prep Incubator" article on the New Markets Tax Credit Coalition Blog
