4201 Woodland Drive; New Orleans, LA
St. Luke’s Medical Center was facing extinction, its existing nursing home destroyed by the flooding that engulfed New Orleans after Katrina’s passage. After St. Luke’s management successfully identified a new location for the facility, Crescent Growth Capital structured two transactions involving a total New Markets Tax Credit qualified equity investment of $13.8 million to generate a subsidy covering the shortfall in the project’s financing.
The project’s benefits are two-fold. St. Luke’s management team is regionally recognized for its experience and effectiveness, and New Orleans will reap ongoing benefits from an increase in the number of beds available for Medicaid recipients needing long-term nursing home care.
Additionally, St. Luke’s completion has established a significant new employer in New Orleans’ Algiers neighborhood. Algiers dates to the early 18th century but experienced most of its growth in the years following the completion, in 1958, of the first span of the Mississippi River Bridge. As is true for many suburban or suburban-style areas constructed in the 1950s and 60s, Algiers requires, in places, significant reinvestment. The inauguration of St. Luke’s Medical Center meaningfully abetted other ongoing economic development efforts in Algiers.