Summer Town Estates Commercial Center, Dededo, Guam

$5 million in New Markets Tax Credit Financing


The US territory of Guam is a small island with a population problem, particularly in the northern village of Dededo. The average annual gross income for a person on Guam is just under $25,000; while the average annual household, typically consisting of 5 people, experiences a gross income of $49,000. Guam, like the rest of the nation, is undergoing a demographic revolution. By the year 2020, there will be approximately 32,000 senior citizens (ages 60 and older) on Guam, nearly double the current senior population.

There is a distinct shortage of affordable housing on Guam, with much of the low-income housing properties in disrepair. There is an even greater shortage of community-based programs and recreational activities for seniors and low-income families. CBO Financial funded $5.0M in New Markets Tax Credit financing for the Summer Town Estates Commercial Center. The Center offers commercial goods and social services that improve the quality of life for low-income seniors, disabled individuals, and families residing in a surrounding low income housing development and the local community. The mixed-use facility consists of a 5,200 square foot neighborhood shopping center and laundromat, a 3,500 square foot restaurant and a 9,000 square foot community event center.


Guam has an island-wide poverty rate of 23%, and 93% of Guamanians are minorities. This project created 45 construction jobs and 23 permanent jobs related to the retail, commercial and community activities to be located in the Center. Indirect job creation is also realized through the numerous workforce training programs made available to both residents as well as Guam Community College students.

The project sponsor and owner is Core Tech International (CTI). Since inception in 1991 CTI has grown from humble beginnings to become Guam’s 2nd largest private employer as a diversified company and is Guam’s largest affordable housing developer, non-bank financing firm, property management firm and contracting company. CTI was instrumental in helping the local government access the Low Income Housing Tax Credit (LIHTC) program for the first time in 2005, and continues its efforts to bring outside resources to Guam.

CBO Financial is proud to have taken a leadership role in funding this worthy project, which is the first New Markets Tax Credit transaction on the island of Guam.