Community Ventures (the “Sponsor”) will construct two buildings on Midland Avenue and East Third Street, in the East End neighborhood of Lexington, Kentucky. The mixed use development known as “The MET”, will consist of more than 30,000 square feet (SF) of commercial and retail space, including a Federally Qualified Health Center (FHQC), a grocery store, rooftop event space, and 40,000 SF for 44 residential units with 13 rent restricted for low-income individuals (the “Project”). The Project is the first phase of what is anticipated to be a catalytic effort to revitalize and remove blight from the East End area. Recent Tax Increment Financing (TIF) approval and the census tract’s designation as a qualified Opportunity Zone demonstrates support by several levels of government at the Project’s location.
The East End neighborhood is severely distressed where the poverty rate is 39.2% and the median family income is $21,480, compared to $53,769 for the Lexington-Lafayette metro area. The Project also meets several other higher distress criteria eligible for the NMTC program. Specifically, it is located in and adjacent to several medically underserved census tracts. Based on Lexington’s 2018 Comprehensive Plan, senior citizens represent one of the two fastest growing age groups in Lexington, KY and an accessible primary care provider who accepts Medicaid is needed in the East End neighborhood. Furthermore, the Project is located in a USDA designated food desert where there is not a grocery store within a two-mile radius of the site.
- Severe Distress Under 2011-2015 Census Data
- Poverty Rate: 39.20%
- Opportunity Zone
- Food Desert
- Medically underserved
- TIF District
- 140 FTE Jobs Created
- 91 construction jobs
The Project is located in a severely distressed census tract experiencing a 39.20% poverty rate. Among the tenants in the mixed use Project will be an FQHC to serve this medically underserved area. The Project will provide a full range of primary care medical services to 2,000 patients per year that will be provided regardless of an inability to pay with sliding fee treatment across the suite of services. Of the total patient base, 1,720 will be low-income persons. The project will also support healthy community outcomes through the provision of a grocery store that will support 7 USDA food deserts and increase office space available at affordable rents to area non-profits. Based on the CDE’s mission of providing subsidized financing to medical facilities which support distressed communities in underserved areas this project appears to closely align with the CDE’s mission.