Tommy DobczykOpportunity Zone Advisor, OZ Wizard · Director of Development | Certified Opportunity Zone Advisor

Unlock Capital: Mezzanine Financing & New Markets Tax Credit Secrets #shorts

26 Jun 2026 · 1 min

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In this short, Tommy Dobczyk explains two financing tools for large commercial redevelopment projects. He first defines mezzanine financing as a layer of capital that sits behind senior debt, meaning it is subordinate to the first‑position lenders but senior to equity. He then introduces the New Markets Tax Credit (NMTC) structure, noting that it is used for bigger projects and often involves Community Development Financial Institutions (CDFIs). Dobczyk highlights that CDFIs prioritize a compelling project narrative (“story”) over pure financial metrics when evaluating applications, and he points to the key elements that make an NMTC application strong.

Chapters

There's mezzanine financing. So it's a higher level of capital raised behind senior debt. So you got like a first position, but then you'll have mezzanine financing and they'll be able to set that up. And then there's also these things called the New Markets Tax Credit. And so an MTC, NMTC structure is for like bigger projects and commercial redevelopments and stuff. And the CDFIs will get behind that as well. They like story more than they like bottom line. What CDFIs want to see. Strong application elements are right here.