Foss & Company 2022 project, Radical Hotel
Many companies have long overlooked tax equity investing as part of their tax strategy for different reasons. But this past year has presented new, unique opportunities in the tax equity market for both developers and investors. The Inflation Reduction Act (IRA) has provided more incentives than ever in US history for tax credit investments and facing the current challenge of inflation and increasing interest rates, tax equity may be essential to push projects forward. 2022 proved to be a big year for Foss & Company as well. In June, Foss announced that in addition to the over $8 billion in tax equity the company has deployed since its inception, we have over $1 billion in tax credits currently under management. Among other milestones, the Foss & Company team has continued to grow. We welcomed 14 new team members who have helped grow our capital markets, renewable energy, marketing and real estate teams. We are also pleased to share that in August of 2022, Foss & Company featured North Carolina project, Capitola Mill, won the Gertrude S. Carraway Award for demonstrating a commitment to extraordinary leadership, research, philanthropy, promotion, and/ or significance in preservation. We could not be more thrilled with our successes in 2022, and we could not have done it without our dedicated team, developer partners and investor clients.
Vision 2045: A Look Towards the Future
In 2022, Foss & Company had the unique opportunity to be featured in the Vision 2045 campaign. This campaign supported the United Nations and its objectives for the institution’s 100- year anniversary in 2045 and aimed to inspire businesses and people to take collective action to ensure a better future for all. As part of this multi-faceted campaign, Foss & Company produced a short, documentary-style video that highlighted how tax credits can impact communities and the environment. You can also read more on this in our article with Reuters. Managing Director, Bryen Alperin, and Associate Vice President of Renewable Energy Investment Operations, Annie Amrhein, represented the Foss & Company team on an international stage when they spoke on two different panels, “Valuable Professions for Economic Prosperity” and “Climate Legacy,” during the VISION 2045 Summit which took place in Egypt. The Summit focused on the United Nations’ Sustainable Development goals to strategize action on creating a fair and sustainable society.
Projects: Making a Difference Nationwide
Foss & Company concluded a record-breaking year with projects closed across the US and in Guam. These projects have the capacity to create jobs, boost local economies, provide reliable and renewable power, support businesses and preserve the historic integrity of our country.
Among the many historic tax credit (HTC) projects Foss & Company closed on in 2022 are Judson Mill, Capitola Milland the Tri-Continental Products Company (TRICO) Building. which showcases the revitalization and economic impact historic rehabilitation projects can make on communities.
Judson Mill is a massive, 35-acre site in Greenville, SC, which now features a myriad of new/socially beneficial businesses, including Feed & Seed. The Feed & Seed supports volunteers and workers in providing healthy food options for lower-income communities. Judson Mill also includes the “Jud Hub.” This is a collaborative workplace environment that will serve as a social entrepreneurship innovation center for the local community. for the local community.
Capitola Mill, located in Marshall, NC, faced many challenges throughout the rehabilitation process, but now provides a location for locals to live, work and play. The mill’s 18 market-rate apartments quickly filled to 100% capacity shortly after its grand opening. In 2022, Capitola Mill won the Gertrude S. Carraway Award from Preservation North Carolina as a project that has demonstrated a commitment to extraordinary leadership, research, philanthropy, promotion, and/or significance in preservation.
The Tri-Continental Products Company (TRICO) Building in Buffalo, NY, was built in the 1890s as a large brewery for a German-American community. Upon completion of the 511,000 square foot project, the TRICO manufacturing building will feature 242 studio and 1- to 4-bedroom luxury apartment units. The building sits adjacent to the Buffalo Niagara Medical Center campus, a 120-acre medical center of health care, life sciences research and medical education institutions. 10% of the TRICO building units will be set aside for workforce housing to provide necessary housing for workers on the medical campus and surrounding area.
In addition to our work in historic preservation, Foss & Company also made significant strides in the renewable energy sector in 2022. Some notable projects include Mangilao Solar and Pivot Energy Portfolio Partnership.
Mangilao Solar is a utility-scale Solar project located on the island of Guam. The 60 MWdc photovoltaic power plant will produce a 32 MWh battery energy storage system and once completed, this solar farm is expected to lower Guam’s dependance on imported oil and significantly lower the cost of power to the people of Guam. The project also assists in Guam’s efforts to reach 100% renewable energy by 2045.
Foss & Company closed a solar portfolio with Pivot Energy that will produce 90 MWdc of energy and will be comprised of over 40 solar projects. The multi-state project will consist of approximately 80% community solar, and 20% commercial and industrial (C&I) power purchase agreements (PPAs).
Visit our projects page to view more impactful projects like these.
Foss Insights: Thought Leadership in the Tax Credit Space
Throughout last year, Foss & Company continued our “Spotlight Series” blogs in which we highlight members of our impressive, ever-growing team. Read insights from our Senior VP of Investments, Kimberly Carlini; Managing Director, Eric Brubaker; Managing Director, John Bowman; Managing Director, Bryen Alperin; Director of Real Estate Investments & Portfolio Management, Tony Pucci; and VP of Carbon Capture, Utilization and Storage, Matt Lauer.
As companies around the world begin to consider their environmental impact, transparent sustainability goals have become a standard. Tax credit investing plays a dual role by providing predictable returns to investors and promoting ESG efforts. To find which tax credit investment is right for your company and align tax credit investing with your ESG goals, learn how carbon capture & sequestration and the 45Q tax credit align with your ESG goals, how investment tax credits deliver financial and ESG benefits, how understanding scope 1,2, and 3 emissions can reduce your emissions, and how ITC adders support sustainable development goals.
The Inflation Reduction Act (IRA) has provided an unprecedented opportunity for institutional investors, including more certainty, flexibility and availability for tax equity investing. To understand the full scope of the IRA and what it can mean for your company, read VP of Investments, Kevin Haley’s Notes on the IRA for Tax Credit Investors.
Still largely an untapped opportunity, community solar provides accessible, affordable and renewable access to energy, and stipulates the energy from a solar project will be sold to low- income areas through community solar harbors added tax credit incentives. Read our article community solar 2.0 to learn more about the new menu of advantages that this market now provides.
Podcasts: One-on-One with Foss & Company’s Industry Experts
In May of last year, Foss & Company launched Tax Credits Today, a podcast focused on helping individuals understand the basics of tax credit investing and addressing relevant topics in the tax credit space. If you are just getting started, get an overview of some different types of investments with Foss & Company President and CEO, George Barry. To understand the renewables side of tax credits, check out our episodes on solar Investment Tax Credits (ITCs) with Managing Director, Bryen Alperin, and carbon capture and storage with Matt Lauer, Vice President of Carbon Capture, Utilization and Storage. Stay tuned in 2023 for more to come.
2022 was a successful year for Foss & Company, with many accomplishments and exciting projects. The company is proud to be a leader in the tax credit industry, providing tax equity for programs that provide environmental and social benefits while revitalizing communities across the country. Listen to the full 2022 Year in Review Podcast featuring our President and CEO, George Barry and Associate Vice President of the Foss Renewable Energy & Sustainable Technologies, Dawn Lima for a deeper dive into our accomplishments over the past year and insights into where we see the industry taking us in 2023.
For the most up-to-date information on all tax credit-related topics in the next year, follow us on LinkedIn. If you are ready to get started in capitalizing on the rapidly growing tax credit market, reach out to one of our experts today.