MainStreet Bancshares Inc. has officially formed MainStreet Community Capital, a community development subsidiary. This business will help low income communities in the Washington D.C. area with capital and financial services, according to a press release.

The subsidiary also plans to apply for the U.S. Treasury Department's Community Development Financial Institution Fund annually to receive an allocation of New Markets Tax Credits.

"The New Markets Tax Credit Program is the gold standard for breaking the cycle of disinvestment that plagues distressed communities, leaving them with vacant commercial properties and outdated facilities," Thomas J. Chmelik, CFO of MainStreet Bancshares and MainStreet Bank, said in the release. "Our goal is to utilize the tax credit to help communities turn things around. We'll accomplish this by raising equity for high-impact real estate development projects as well as operating businesses in Virginia, Maryland, West Virginia, and the District of Columbia."

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