MISSISSIPPI NEW MARKETS DEVELOPMENT PROGRAM ENABLES
HISTORIC HOTEL RENOVATION
Advantage Capital Partners finances Roberts Walthall Hotel in Downtown Jackson
JACKSON, Miss., January 28, 2008 - Advantage Capital Partners, a leading venture capital and small business finance firm, has completed a $5 million transaction enabling the redevelopment of the Roberts Walthall, a historic downtown hotel property in Jackson, Miss. The financing, made in connection with Mississippi's New Markets Development program, will support the initial phase of a $10 million renovation project to refurbish the hotel.
Formerly known as the Edison Walthall, the hotel property was recently acquired by the Roberts Hotels Group, a subsidiary of the Roberts Companies, owned by minority entrepreneurs Michael and Steven Roberts, of St. Louis. The hotel's 203 guest rooms and interior common areas will have a modern look with new furniture, carpet, paint, flat-screen televisions and more. These renovations will be completed floor by floor, and the hotel will remain open for guests as the project progresses. Approximately 100 construction jobs are expected to be created during the renovations, and the hotel will add 45 new permanent and part-time jobs once the project is complete.
"We are pleased to partner with the Roberts Hotels Group in revitalizing a Jackson landmark," said Mark Lewis, principal at Advantage Capital. "This historic hotel has terrific potential and the Mississippi New Markets Development program made the transaction possible."
Built in 1928, the Walthall is one of two full-service hotels in the downtown area and it is conveniently located in the hub of Jacksons business, banking and government activity. The hotel at 225 East Capitol Street is two blocks from the state Capitol and two blocks from the new Jackson Convention Complex, which will open in January 2009.
Phase two of the hotel project will be financed by the Roberts Hotels Group. In addition, Governor Haley Barbour has approved the issuance of GO Zone bonds for further development.
Advantage Capital's investment in the hotel was made in connection with the federal New Markets Tax Credits and Mississippi New Markets Development Programs. Both programs are designed to stimulate economic growth in communities that historically have been underserved by traditional sources of capital.
About Advantage Capital Partners
Advantage Capital Partners (www.advantagecap.com) is a leading venture capital and small business finance firm focused on early stage companies and other investments supporting state and local economic development efforts. With offices and partners in New Orleans, St. Louis, Austin and other U.S. cities, Advantage has raised more than $1 billion in capital since 1992 and invested in companies located in geographic areas underserved by traditional venture capital.
About the New Markets Tax Credit program
The federal New Markets Tax Credit program, administered by the U.S. Department of the Treasury, encourages private-sector investment in economically distressed communities through tax incentives. In a highly competitive allocation procedure, the Treasury Department awards the tax credits based on applications submitted for each tax year.
About the Mississippi New Markets Development program
Enacted in 2007, the Mississippi New Markets Development program encourages investment in promising small businesses located in distressed communities throughout the state. Modeled after the federal New Markets Tax Credit program, the goal of the state program is to attract large, long-term investors to Mississippi's low-income communities, promoting new expansion, creating new job opportunities and building on existing growth in the state.
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