The Industrial Commons
We worked with a nonprofit to structure and close $37.25 million of NMTC financing to support the renovation of its headquarters and the construction of a new incubator for employee-owned textile and furniture businesses.
The Industrial Commons
NMTC for Projects
Morganton, NC
The Industrial Commons (TIC) is a nonprofit that works to create quality jobs and equitable economies in rural Appalachia through employee-owned cooperatives, sustainable manufacturing and workforce development. Orchestrated by SB Friedman, this NMTC transaction involved the acquisition and renovation of TIC’s 171,000-SF existing headquarters building to significantly expand production space for Material Return, an employee-owned social enterprise, and other businesses. It also supported the construction of the Accelerator, a new 43,000-SF incubator with leasable manufacturing space for emerging textile and furniture companies, and classrooms for workforce development programs. The Accelerator is the first phase of a broader 28-acre development that will help TIC revitalize manufacturing in western North Carolina, a region whose economy was deeply impacted by the decline of the textile and furniture industry in the 1990s.
Work Completed
Assisted TIC with a cost-benefit analysis to evaluate moving forward with acquiring TIC’s existing building
Developed detailed financial pro formas to help TIC’s staff and board understand financial parameters of the project and perform scenario testing
Helped TIC secure a $10 million Program Related Investment (PRI) loan from a foundation
Secured the maximum possible NMTC allocation and top-of-market NMTC terms to support the project
Assisted TIC’s team with the complex financial closing process
Results
Construction of the Accelerator began in Summer 2025 and is expected to be completed in 2027. TIC successfully acquired the Hopewell building in late 2024 and has been systematically upgrading it with financing proceeds since then, enhancing building functionality and comfort.
Featured Impact Numbers
150
Jobs Created and Retained
125
People Trained in Industrial Sewing and Upholstery Annually
Testimonial
Erin Kizer, The Industrial Commons
“As a non-profit new to both real estate development and structured finance, our organization found SB Friedman to be an incredible resource. They made the daunting and complex NMTC program much more approachable and were a delight to work with.”
