October 11, 2019
We are proud to announce a Novogradac 2019 Community Development QLICIs of the Year Award for Flex-N-Gate (FNG) in Detroit. NDC provided a $8.1M New Markets Tax Credit allocation for this transformative project–the first auto parts manufacturing facility to open in Detroit in 20 years. The new 500,000 SF facility created 100 full-time construction jobs, and 500 permanent auto manufacturing related jobs that will increase to 800 at full capacity.
FNG entered into an agreement with the Detroit Human Rights Department to recruit and hire 50 percent of its workforce from Detroit, especially people from the surrounding neighborhood, one of the most distressed communities in the city. The high cost of locating in a severely distressed area, and the unusually high commitment to hiring people from the community, greatly increased the cost of the project. NDC’s NMTC allocation financed equipment so that the owner could dedicate expenditures needed to finance workforce training, literacy training and childcare.
The first employee at the new FNG plant, Tashar Mosby, spoke at the ribbon cutting for the new plant, which was covered extensively by the Detroit News. Mr. Mosby spoke about taking three busses to attend an engineering job training program while working full time and providing for his family, including a newborn baby. Through this program he was hired by FNG and has already been promoted.
Dan Marsh, President and CEO of NDC, attended the ribbon cutting. “In terms of job creation, this is one of the most impactful projects we have invested in since we began allocating New Markets Tax Credits more than fifteen years ago,” Mr. Marsh said. “I was proud to witness the opening of this facility and NDC is proud to play a small part in the betterment of this community.”
About the Novogradac Journal of Tax Credits Community Development QLICIs of the Year Awards:
The awards recognize community development entities (CDEs) that made exceptional qualified low-income community investments (QLICIs) in the past year. The award to FNG will be presented to NDC on Oct. 17 at the Novogradac 2019 New Markets Tax Credit Fall Conference in Austin, Texas.