Community Banks Provide Key Investments to Push Tygart Hotel Project Forward

Historic Tax Credit investments close financing gaps on Elkins’ big hotel project

Tygart Hotel partners Pendleton Community Bank, Davis Trust Company, and Freedom Bank gathered on Friday, April 29th to celebrate the commencement of construction and to survey progress that has been made so far. These local banks have demonstrated their deep commitment to serving the needs of their communities by investing in Historic Tax Credits to fund the redevelopment of the historic hotel.

Woodlands’ Executive Director Dave Clark told the bank executives, “I can’t stress enough how critical this investment by the local banks has been to this project. We have over 14 investors in this project now from Maine to Richmond and they came on board because they saw the buy-in from our local institutions. Seeing what our community banks were willing to do made all the difference.”

Hugh Hitchcock, President and CEO of the Davis Trust Company said that this project, “Will be a game changer not just for the city but for the whole region.” He was proud that this contingent of community banks is leading the way to bring the Tygart Hotel project to fruition.

The Tygart Hotel, constructed in 1906, is listed on the National Register of Historic Places and is an anchor for Elkins’ Downtown Historic District. Rehabilitation projects can be much more complicated than new-build projects but they also have the potential to amplify their impact by saving, restoring, and revitalizing buildings and neighborhoods, as well as providing the new amenities, services, and jobs.

The federal Historic Tax Credit (HTC) program is administered by the National Park Service and the IRS. It offers building owners an income tax credit equal to 20% of the qualifying costs required to rehabilitate their certified historic structure. West Virginia also has a state HTC which covers an additional 25% of costs. These tax credits can provide a low-cost source of gap capital to drive a community development and historic preservation project towards viability.

As a tax-exempt, non-profit community developer, Woodlands is unable to make use of tax credit programs directly, making these partnerships with local institutions crucial to the success of the project. Freedom, Davis Trust, and PCB invested direct equity into the project and sign on as project partners. In return they receive income tax credits over the next five years and the community boasts improved amenities, job growth, and economic development.

Stories

Tygart Hotel Project on Track to Begin Reconstruction in Early 2022

Key partners and investors meet at Tygart property to discuss plans for the iconic and historic Elkins property. [09.29.2021] A group of local business owners, nonprofit organization leaders, and ...

Read More
Stories

The Slow Rescue of the Opera-less Opera House of Thomas, WV

feature image courtesy Alpine Heritage Preservation Imagine you are an enterprising settler in the highest and wildest part of the WV wilderness in the early 1890s. The booming coal ...

Read More
News

Invest Appalachia Announces $19M in New Funding

Invest Appalachia (IA) has announced $19M of new investment in a fund to provide capital to community economic development projects. Focused on increasing investment in Appalachia overall, 90% of ...

Read More
Stories

Buzz Words: Rural, Veteran, and Woman-Owned Small Business Grows

In Buckhannon, West Virginia, Sheila and Stephen Clark have carved out a niche that blends family, community, and entrepreneurship through their business, Buzz and Cluck. With a humorous nod ...

Read More
Stories

Local Bank Support Critical to CDFI Success

As a CDFI focused on small business development, Lenders is a complement to local banks’ loan programs, not a competitor. Hoy Ferguson, President of Davis Trust Company in Elkins ...

Read More
News

Blackwater Apartments Now Providing Workforce Housing for Upper Tucker County

Eight units in Davis are move in ready as community deliberates on what project to take on next Together with the local supporters and state champions who made this ...

Read More
News

Non-traditional Lenders Playing Key Role in Success of Tygart Hotel Rehab

A key partner in the Tygart Hotel project, Partner Community Capital, recently sent a team from their Charles Town, WV to take stock of the progress being made in ...

Read More
News

Firefly Commons Apartments Completed

Our new Firefly Commons project in Elkins is complete and fully leased. The 16-unit development is made up of six duplexes and a 4-unit townhome. After many years of ...

Read More
Stories

How To Make a Big Impact with Small Lending

Carla and Jason Kaposy felt compelled to make an investment that could be pivotal in spurring economic development in their hometown of Petersburg, a Mon Forest Town in Grant ...

Read More
News

New Artist Business Development Seminar Series Coming Soon: Paint it Black

We are excited to announce the second phase of our Lost Towns project: a seminar series designed to encourage and support artists in turning their craft into successful businesses. ...

Read More