Clocktower Tax Credits, LLC recently completed its seventh sale of Production Tax Credits (PTCs) generated by an array of Wind Turbines owned and operated by a large international energy company.   Over $1.2 million of State of Iowa production tax credits were generated by the ten turbine installations across locations in four counties, each rated at 3MW.  Energy production from each turbine ranged from 8.2GWhr to 11.1GWhr.

Clocktower sold the PTCs to a national insurance company which used the tax credits to partially offset the premium taxes paid by the insurer to the State of Iowa.  The tax credit transaction represents a win-win-win for wind, in that the turbine owner received substantial funds to offset capital and operating costs; the insurer saved on its taxes, and the State replaced over 100GWhrs of fossil-derived energy with clean, renewable power.  Original capital costs for the system exceeded $50 million.

“Clocktower did a wonderful job in securing this important source of project funding and continues to ensure that we are paid on a timely basis for our annual production credits,” says the managing director of the European company.

Clocktower Tax Credits, LLC is celebrating its 15^th year as a national broker of State and Federal Tax Credits.  We are a pioneer in the area of Transferable Tax Credits, completing transactions in State credits for a decade before the Inflation Reduction Act of 2022 created transferable Federal tax credits.  Renewable Energy developers, sponsors and owners looking to monetize their tax credits and benefits should President Jeff Jacobson at (978) 823-0200, or email him at JJacobson@ClocktowerTC.com.

In February, Senior Associate David Curtis attended Evergreen Real Estate Group’s groundbreaking ceremony for the Leyden Senior Apartments.  The project creates a town community center and 80 units of affordable housing for seniors age 62 or older in Franklin Park, a western suburb of Chicago located adjacent to O’Hare Airport.  The development’s community focus will foster a vibrant and connected living environment for residents.

Clocktower Tax Credits, LLC was proud to be the Illinois Affordable Housing Tax Credit investor for the development, one of over 5 sources of project financing.  Outside of the funding, the Leyden Senior Apartments serve as an important example of a public-private partnership at work.  Evergreen paired with the Illinois Housing Development Authority, Cook County, and the townships of Leyden and Franklin Park to push the development forward from the first idea to the start of construction.  “This development will bring much-needed senior housing to an area where it is greatly needed,” said David Block, Director of Development for Evergreen.  “Township Supervisor Rocco Biscaglio and the Township Board had a vision for improving their community, and today is the realization of that vision.” 

Clocktower is ready to help all Illinois developers looking to create suburban, urban, and rural affordable housing, and we have proven to be the premier investor to navigate all complexities for state tax credits generated by affordable housing across the state.   If there are any questions or similar projects seeking a tax credit equity source or a path for tax credit eligibility, please reach out to David Curtis at (978) 440-0742, or email him at DCurtis@ClocktowerTC.com. 

Affirmative Investments, Inc. has decided to tackle a major shortage of affordable housing on Martha’s Vineyard and has chosen Clocktower Tax Credits to help sell the Massachusetts State Low-income Housing Tax Credits generated from this project.  Median home prices on Martha’s Vineyard are 54% higher than the rest of Massachusetts, with median rents coming in at 17% higher.  Couple that with an aging population and an exodus of young families, and this ends up creating the massive housing shortage that the island is currently facing. 

Affirmative Investments has risen to the occasion and is developing a new construction of 52 units of affordable rental housing to be known as Takenash Knoll.  This new complex will have six 2-story and six 3-story buildings, along with amenities such as a community house, bicycle parking, on-site laundry, and access to open spaces for walking paths to the Southern Woodlands Conservation area.

Clocktower has partnered with principals of Affirmative Investments on prior affordable housing projects, where we were successful in securing the tax credit equity investor that helped fund the project.  As a company headquartered in Massachusetts, we have deep roots here and look forward to our continued support of invaluable projects such as Tackenash Knoll being developed throughout the state. 

If you have plans for affordable housing development in MA or elsewhere, give us a call and see how we can become a reliable source of generating tax credit equity investment.  Reach out to our Senior Associate, Dave Auster at (978) 793-6600, or by email DAuster@ClocktowerTC.com.

Clocktower Tax Credits had the opportunity to attend the American Film Market (AFM) in early November, where filmmakers and entertainment executives discussed the evolving landscape of the entertainment industry.  While there was cautious optimism about the industry’s future, discussions often centered on practical approaches to creating and distributing content in a challenging market.

A key topic discussed at the market was the shift in strategy among streaming platforms, which is resulting in less content being bought and made.  With many platforms feeling they’ve already reached and signed up their core audience, their focus has shifted from attracting new subscribers to retaining the ones they have.  This has led to a reduction in content acquisition, with streaming services prioritizing quality over quantity.  As a result, they are also creating less content in-house.  For independent filmmakers, this shift means a greater emphasis on producing high-quality, marketable content that is more likely to sell.  Independent filmmakers will also need to look beyond streaming deals and start seeking distribution through independent distribution companies.

Tax incentives continue to be a major topic of conversation at AFM, with filmmakers increasingly looking to state programs to help offset rising production costs.  Many states are expanding their tax credit programs to attract filmmakers.  Industry professionals agree that utilizing these incentives is important for making productions financially viable.  It is also important to ensure that the U.S. remains competitive in the global market.  Clocktower works across all 50 states, and internationally for select projects.

The increasing trend of large-budget productions moving to Europe due to high union costs in the U.S. was another major point of discussion at AFM.  With unions demanding higher wages and benefits, many large-scale productions are finding it more cost-effective to film in Europe.  In contrast, smaller-budget productions continue to rely heavily on domestic tax credits. 

The move out of Los Angeles has also been increasing, with more filmmakers looking to other states for financial incentives.  Recently, Governor Gavin Newsom has stated that he is focused on strengthening California’s film tax incentive program to help keep productions and production crew jobs in Los Angeles.

Productions aren’t the only thing fleeing Hollywood.  One of the biggest points of contention discussed at the market was the relocation of AFM from Santa Monica to Las Vegas.  Sales and distribution companies, many of which are based in Los Angeles, expressed frustration with the move.  It seemed counterproductive to relocate the event a few hours away to Las Vegas.  International attendees also faced longer travel days, as many had to connect through Los Angeles to reach Las Vegas.  Additionally, the casino environment in Las Vegas created a difficult setting for networking and business discussions.

Let’s connect!  If you’re interested in discussing how tax incentives can help fund your next project or have a credit to sell, please reach out to Haley Ricker at (978) 793-6694 or via email at HRicker@ClocktowerTC.com.

\Clocktower Tax Credits, LLC, a national broker of State and Federal Tax Credit incentives, was honored by Energy Business Review as a Top Renewable Energy Financing Services Provider for 2024.  The firm was featured in a cover story in the Review’s August 15, 2024 edition.  https://renewable-energy-financing.energybusinessreview.com/vendors/top-renewable-energy-financing-services-providers.html

“We were both honored and flattered to have been selected by the magazine’s editorial staff to be featured in this prominent manner,” stated Jeff Jacobson, Clocktower’s President.  “There are a lot of firms, both traditional tax credits brokers/syndicators and newer tech-inspired firms that have been drawn to this space by the tremendous potential of the Inflation Reduction Act of 2022.  That we have been identified as a key player speaks to our past experience as well as our current capabilities.”

Clocktower was quick to embrace the exciting new features of the legislation that created, for the first time ever, a Transferable Federal Income Tax Credit.  “We have over 20 years’ experience transferring State tax credits to our mostly Fortune 500 pool of tax credit investors,” Jacobson continued.  “Although the use of the IRS transfer portal is totally new, the analysis, processing, and legal documentation used to sell or purchase these credits is similar to what we have coached our investor clients through for years.”

As described in the article, Clocktower employs its staff of acquisitions associates nationwide to identify and then connect tax credit sellers and buyers.  Dave Auster, Clocktower’s Senior Associate with over 25 years of industry experience, notes that middlemen such as Clocktower are crucial to establishing the deal flow for this nascent, $40 billion industry.  “While there are some new online marketplaces for buyers and sellers to see inventory and connect, our history tells us that there needs to be knowledgeable intermediaries in almost every transaction to see them across the finish line.  Jeff and I aim to do just that in our transactions.”

Clocktower welcomes calls from manufacturers, contractors, developers and system owner of energy property that qualifies for tax credits.  We will help you determine the value of the tax credits that you have to sell, and guide you through the process of contracting for their sale.  Similarly, we encourage investors seeking tax savings to seek out us, and we’ll match you with the appropriate tax credit seller.

Clocktower Tax Credits has offices in Boston, New York, Los Angeles, Naples, and Charlotte.  To schedule a meeting with any Clocktower associate, or a phone call or Zoom session, please call President Jeff Jacobson at (978) 823-0200, or email him at JJacobson@ClocktowerTC.com.