Sagamore Development Company announced today that Goldman Sachs has joined the Port Covington redevelopment effort as an equity investor, committing $233 million to the project, the largest single private equity investment made by the firm’s Urban Investment Group to date. In addition to securing outside investment from Goldman Sachs UIG, the Port Covington development team has also negotiated robust, comprehensive community benefits agreements with the City and the surrounding communities, providing a model for similar developments. All obligations and commitments entered into for the Port Covington redevelopment during, and since, the Tax Increment Financing (TIF) process will remain in effect and fulfilled as required and as promised.
“This is tremendous news for Baltimore City and our workforce,” said Baltimore City Mayor Catherine Pugh. “Baltimore is seeing more major national investment in our real estate market. This investment, especially from such a prominent partner as Goldman Sachs, means more jobs, more opportunity and more economic growth for Baltimore City. Investors are seeing what we already know about Baltimore: we’re a city on the rise, and an economic hub with a strong, diverse workforce. This is significant progress for the Port Covington project.”
“It was important to us to find an equity partner that shared our common vision for urban economic growth, job creation and local workforce development here in Baltimore City,” said Tom Geddes, CEO of Plank Industries. “Goldman Sachs Urban Investment Group, with its history of mission-driven and impactful investments in urban areas is the perfect partner and investor for Port Covington and Baltimore City as a whole. This is a significant step forward and delivers on a major promise by the Port Covington development team to bring outside private investment and commercial capital to Baltimore City.”
“Baltimore is one of the country’s greatest cities. We are proud to be a part of, and build upon, its rich legacy and heritage.” said Margaret Anadu, Goldman Sachs managing director and head of the Urban Investment Group. “Given their incredible dedication, partnering with the Sagamore team on Port Covington affords us the opportunity to be a part of Baltimore’s exciting future. This unprecedented public-private partnership will provide Baltimoreans with new jobs and neighborhood assets that are more connected and accessible through thoughtful planning and modern infrastructure.”
This investment from Goldman Sachs extends the firm’s engagement with Baltimore City, as Goldman Sachs and Bloomberg Philanthropies recently made a $10 million commitment to 10,000 Small Businesses in Baltimore. Bringing the 10,000 Small Businesses program, which includes training and access to capital for small businesses, to Baltimore represents the firm’s holistic approach to investing in cities.
To read the full press release, click HERE.
To learn more about Goldman Sachs Urban Investment Group, visit http://www.goldmansachs.com/what-we-do/investing-and-lending/impact-investing/