New Markets Tax Credits Finance Michigan Renewable Carbon FacilityNews | August 1, 2014
Carol Mihalic and Micah Halverson represented the National New Markets Fund (NNMF) in a deal to finance Michigan Renewable Carbon’s new biomass production plant.
Kutak Rock helped NNMF allocate $20 million in New Markets Tax Credits for the $22.6 million development. The attorneys assisted the client in the initial stages of structuring the transaction to ensure the New Markets Tax Credit requirements were met while also meeting NNMF’s business concerns. On behalf of NNMF, Kutak Rock negotiated, prepared and reviewed critical transactional documents, from various agreements and fee arrangements, to rendered tax and enforceability opinions.
The facility’s location formerly served as an Air Force based turned wood pellet plant in Marquette County, Michigan. Repurposing almost half the equipment from the previous plant, Michigan Renewable Carbon will convert biomass from wood feedstock into a carbon powder that can be used for purification, refinery and energy production.