MainStreet Bancshares in Fairfax, Va., has formed a community development unit.
The $1.8 billion-asset company said in a press release Tuesday that MainStreet Community Capital will focus on distressed, low-income communities around Washington by providing capital and other financial services.
“Lifting up communities and unlocking their potential starts with investment, and we intend to use MainStreet Community Capital to leverage opportunity for underserved and underdeveloped areas,” Jeff Dick, the company’s chairman and CEO, said in the release.
“We believe our engagement in both urban and rural areas will help provide low-income communities and individuals with long-term economic benefits, including quality jobs and services,” Dick added.
MainStreet Community Capital earned its designation as a Community Development Entity as defined under the Treasury Department’s Community Development Financial Institution. The unit plans to apply annually to the CDFI Fund for an allocation of the New Markets Tax Credits, beginning with the round to be awarded in 2023.