TRENTON, NEW JERSEY – New Jersey Community Capital (NJCC) of Trenton-a non-profit loan fund that supports community-based enterprises-recently surpassed $110 million in financing leveraged for the expansion of charter schools throughout New Jersey. This significant milestone highlights the organization’s dedication to providing innovative financing solutions to high quality charter schools that have the power to enhance the lives of children in many underserved communities. Since 2004, the organization has closed or participated in more than $47 million in charter school loans, leveraging over $110 million in development costs for 17 charter school campuses across New Jersey.
NJCC began providing charter school financing six years ago, after traditional banks were unable to meet the lending needs of charter schools that needed to develop their facilities. Unlike traditional public schools, charter schools do not receive any funding for building, buying, or leasing facilities. Despite this funding disadvantage, NJCC noted that many charter schools provided an educational choice for parents living in neighborhoods where the district schools were underperforming. This opportunity to increase student success compelled NJCC to get involved. Today, the organization offers flexible financial structures including acquisition loans, construction and renovation loans, predevelopment loans, letters of credit, and some mini-permanent financing, which allow charter schools to create facilities that enhance their students’ academic achievement.