State Program Brings Innovation to Distressed Communities
Study finds neighborhood revitalization tax credit leverages $7.30 for every dollar invested


The Housing and Community Development Network of New Jersey (the Network) released an updated report today for community developers and investors participating in the Neighborhood Revitalization Tax Credit (NRTC) program to highlight its economic impact throughout New Jersey. The NRTC has become one of New Jersey’s most successful public/private programs, creating strong healthy neighborhoods throughout the state.

“Through the NRTC, $67 million has been invested in NJ’s most distressed communities, bringing innovation and hope to residents,” said Staci Berger. "26 organizations and 26 corporate investors have completed 24 projects, creating homes, jobs, and safer communities, with another 40 projects in the pipeline. The NRTC has become the most sought after tax credit from businesses with a tax liability. NJ should expand the program and allow more investment into our economy, creating the affordable homes and jobs we need.”

Last year, the Legislature approved a bill to expand the program by raising the cap to $15 million but it was vetoed by Gov. Chris Christie. Said Berger, “There’s solid evidence that this program works and NJ needs to do more. By investing in our neighbors and neighborhoods, we will move our economy forward.”

In 2012, the Network partnered with New Jersey Community Capital to study the impacts of the NRTC program. NRTC recipients were surveyed about the goals of their neighborhood plans, the amount of NRTC investment they had received and additional funds leveraged for their projects. They were also surveyed about the various economic and broader community outcomes that have resulted from the NRTC investment. The resulting report, Transforming New Jersey Communities through Planning, Investment and Community Engagement, found that for every dollar in NRTC investment, $7.30 in additional resources have been leveraged. Based on the $48 million in tax credits as of 2012, the leveraged funds would total approximately $350 million. Using that formula, we expect that the additional $19 million in this tax credit to date should further leverage $139 million.

60 percent of NRTC program funds must be spent on housing and economic development, while the remaining forty percent can be used for “complementary activities.” These have included the creation of 265 for-sale homes and more than 1,000 rental homes, generating $4 million in property taxes and over 1,200 jobs. Through the program, community developers have been able to engage members of their neighborhoods by creating job training programs, urban farms, and local health and child care services. They have also been able to demolish unsafe properties and transform dilapidated spaces into vibrant community assets.

“The Wells Fargo Regional Foundation (WFRF) and the NRTC have supported specific initiatives and projects in 26 neighborhoods in 14 cities, funded by $16 million in grants from WFRF and $44 million in NRTC investments from 24 corporations,” said Lois Greco, senior vice president of evaluations for the Wells Fargo Regional Foundation. “The confluence of large-dollar, multiyear funding sources, access to programmatic and project capital, and technical assistance is creating a tipping point for neighborhood revitalization in the state.”

The Wells Fargo Regional Foundation, TD Bank, NA, and New Jersey Community Capital sponsored the event which was held at Corrine’s Place in Camden. Corrine’s Place is a restaurant in Camden’s Haddon Avenue business district that has benefited from the NRTC program under the direction of Network member Parkside Business and Community in Partnership.

“A key component of the NRTC program is community engagement,” said Bridget Phifer, executive director of Parkside Business Community in Partnership. “When we first began efforts to revitalize Haddon Avenue, bringing tenants and business owners together was a challenge. Then as opportunities sprung from the program, they can see progress and they want to be involved.”

To view Transforming New Jersey Communities through Planning, Investment and Community Engagement, visit A report on the NRTC by the Wells Fargo Foundation is also available at

The Housing and Community Development Network supports New Jersey’s community development sector, collaborating with more than 250 members including community development corporations and other organizations to create affordable homes, expand economic opportunities, and build strong communities. For more information on the Network, visit

For more information: Nina Arce
Housing & Community Development Network of NJ
(609) 393-3752 x12
[email protected]
Twitter: @hcdnnj