119 Graystone Plaza P.O. Box 623 Detroit Lakes, MN 56502-0623 Contact: Arlen Kangas, Ph.D, President Phone: 218-847-3191 Fax: 218-844-6345 URL: www.mmcdc.com Email: info@mmcdc.com

Midwest Minnesota Community Development Corporation (MMCDC) is a nonprofit corporation providing economic development services in Minnesota. Its primary interest is providing capital to rural residents, businesses and communities, with a special focus on low-income individuals and on businesses operating in underserved markets and distressed communities. MMCDC provides commercial loans, mortgage loans, and housing, business and community development services. As one of the largest nonprofit lenders and investors in the state, MMCDC controls more than $80 million in capital for lending. This includes a loan portfolio of over $20 million, a bank with $30 million in assets, and $127 million in New Markets Tax Credit capital.

Program

Commercial Loan Program lends to businesses serving a public purpose, allowing them to expand and create more jobs.

Home Loan Division provides affordable loans by using a combination of low-interest loan products and down payment assistance. Home purchases and repairs are targeted to low- and moderate-income individuals and families.

New Markets Tax Credits (NMTCs) are credits for individual and corporate taxpayers against federal income taxes for investing in Community Development Entities. MMCDC has been awarded a total of $115 million in NMTCs by the U.S. Department of Treasury to expand lending and investing to growth stage companies and real estate projects in low-income and rural areas.

Northwest Minnesota Housing Cooperative addresses affordable rural housing shortages by building quality, affordable homes in northwest Minnesota.

The Partnership to Supply Affordable Housing provides property management services.

White Earth Investment Initiative focuses on community, economic, and housing development on the White Earth Indian Reservation.

Community Development Bank serves residents of the White Earth Reservation in northern Minnesota. MMCDC is the majority shareholder.

Client Population

MMCDC's markets all lack the private sector financial resources necessary to maintain and expand economic development activities. MMCDC's programs target rural, low-income and underserved populations. Approximately 30 percent of MMCDC's clients are women.

Impact

As of FYE 2008, MMCDC had provided the following:

• 3,242 mortgage loans for a total dollar volume of $242,373,752
• 617 business loans totaling $206,329,248
• Business financing helped create a total of 2,975 jobs and retain 14,141 jobs
• Developed, renovated and preserved a total of 456 housing units, both single- and multi-family
• Extended $98,000,000 in New Markets Tax Credit Allocation to 10 major business and community projects and an additional $10,000,000 toward smaller projects.

Story

Karen Fraser is the proud owner of a new home at 204 Pine Avenue East in Frazee, Minnesota. With the help of the first time homebuyers loan from MMCDC, Karen was able to have an address of her own. Her children have a nice place to come home to and are proud to bring home their friends. This was a hands-on project for Karen and her two children and they worked with MMCDC each step of the way. Full Story