The U.S. Treasury Department recently gave a $6 million community development award to United Bank, in Atmore, in south Alabama, one of the largest awards in the department’s Capital Magnet Fund program.
The Capital Magnet Fund promotes investment in affordable housing and related economic development efforts that serve low-income families and low-income communities across the country. The awards go to Community Development Financial Institutions (CDFI) Funds such as UB Community Bank, the Atmore bank’s CDFI.
United Bank was one of only 38 entities nationwide to receive a Capital Magnet Fund award from among the 113 total organizations that applied.
The awards were made through the fiscal year (FY) 2019 round of the Capital Magnet Fund, for the preservation, rehabilitation, development or purchase of affordable housing, as well as related economic development and community service facilities such as day care centers, workforce development centers and health care clinics.
“In a short period of time, United Bank and UB Community Development have become leaders in providing innovative capital solutions to affordable housing projects across Alabama,” said Robert Jones, president and CEO of United Bank, a subsidiary of United Bancorporation of Alabama Inc. (OTCPNK: UBAB). “This new Capital Magnet Fund award is strong confirmation of the success we’ve had to this point, and we look forward to utilizing it towards our goal of being a transformative influence in the communities we serve.”
In addition to the CMF award, the U.S. Department of Treasury, through its New Markets Tax Credit Program, has awarded UBAB and UBCD $120 million in New Markets Tax Credit allocations since 2016. UBAB, and subsequently UBCD, are the only community development entities (CDE) headquartered in Alabama to receive a New Markets allocation from Treasury in the last decade.
United Bank is a $733,000,000 financial institution that has enjoyed 116 years of continuous service to Atmore and surrounding communities. United Bank has offices in Atmore, Brewton, East Brewton, Flomaton, Monroeville, Frisco City, Bay Minette, Foley, Lillian, Loxley, Magnolia Springs, Silverhill, Spanish Fort, Daphne, Summerdale and Semmes in Alabama. The bank also has three offices in Santa Rosa County, Florida.