The Riverbend Hotel project could not have started without the support of its many capital partners and without utilizing the New Markets Tax Credit Program. “We are delighted to have worked with such a fine group of committed capital partners”, according to Pete Huggins, one of the founders of the Riverbend Hotel. “We would like to highlight our capital partners as a way of showing the overall level of support of so many entities to the Riverbend Hotel project”, stated Huggins.
The partners at the Riverbend Hotel have a strong commitment to offsetting the carbon footprint from commercial real estate, because of this they sought capital support from NOPEC, a governmental energy aggregator in Ohio that supports member communities with economic development initiatives including low interest rate Property Assessed Clean Energy (PACE) financing for commercial properties. NOPEC’s PACE program financed energy efficiency improvements at the hotel. According to Todd Canter, one of the three founders of the hotel, “Achieving energy efficiency is an important aspect of this project. From energy efficient windows and HVAC systems, to the type of roofing materials used, NOPEC’s PACE financing program helped us work toward our goal to reduce our carbon footprint.”
The Ashtabula County 503 program, a non-profit corporation with a mission of promoting job creation and economic development in Ashtabula County, is yet another partner providing capital to the Riverbend Hotel. The revolving loan fund is an important financing tool for local economic development to support the expansion of small to medium sized businesses. The 503 is run by Sarah Bogardus who is the current Executive Director.
The Development Fund of the Western Reserve (DFWR) is a community development entity that enables New Markets Tax Credits investments into economically challenged communities throughout Northeast Ohio. In partnership with U.S. Bancorp Impact Finance, a multi-million-dollar investment was provided to the Riverbend Hotel to support the overall development of the first new hotel in Ashtabula in over 100 years. According to Rachel Bridenstine, Executive Director of the DFWR, “from strong community support to the potential to be an economic catalyst, Riverbend Hotel is sure to be impactful to the City of Ashtabula and its residents.”
U.S. Bancorp Impact Finance, a subsidiary of U.S. Bank, through its tax credit investments and syndications, has helped spur economic activity in underserved communities nationwide, including the Riverbend Hotel project in Ashtabula, Ohio.
ERIEBANK takes great pride in supporting the Riverbend Hotel project alongside its esteemed capital partners. As a community bank, ERIEBANK is dedicated to bolstering economic development initiatives within our neighborhoods. We’d like to extend our congratulations to the Riverbend Hotel for taking an innovative approach to limit the carbon footprint associated with commercial real estate through partnerships with NOPEC and other organizations. According to Wes Gillespie, Regional President of ERIEBANK, “this project will have an incredible impact on the City of Ashtabula and its residents.”
Pete Huggins stated, “We are thankful to all our various financing partners, including the Ashtabula City Port Authority, who through a capital lease structure, provided us with the ability to receive a sales tax exemption on our construction materials. This sales tax exemption saved us hundreds of thousands of dollars and helped to make this project economically viable. We are grateful for the overall level of support received from all of these capital partners and the City of Ashtabula.”