6.1 EDSR 07-21-2014 - Laserfiche WebLink

Home Browse Search

Extension: In the event that the Borrower is unable to obtain conventional financing to replace the Microloan at the end of five years,the loan may be extended up to two additional years at a market rate of interest. Criteria: Borrower must be an industrial or high technology firm and create or retain one new full-time fob for each$20,000 loaned within 2 years. Said jobs must pay a minimum wage of$10.00 per hour excluding benefits required by law. Loans of$75,000 or more shall meet the city of Elk River Business Subsidy Policy for the creation of new jobs at a minimum wage of$15.00 per hour excluding benefits required by law, as well as a 5-year location requirement. In the case where the multiple sources of public financing are requested (e.g.Microloan and Tax Increment Financing)job creation goals shall not be double-counted. Borrower must comply with the provisions of the city's Industrial and Business Park zoning ordinances as applicable. Downtown Revitalization Financing Program Purpose: The Downtown Revitalization Financing Program is available to business and property owners in the Downtown Area primarily for the rehabilitation and restoration of older buildings,as well as new business development.Non-profit organizations may be considered. The Downtown Area shall be described as that area in the attached Exhibit A. Amount: Up to$74,999 of secondary financing not to exceed 40%of the project cost. Equity: Must have private-sector commitments for 50%of the project cost. Borrower must provide 10%or more of project financing. Rate: Fixed at 2%. Term: Financing with a balloon payment in up to 5-years.Loans may be amortized up to the following limits: 20-years on real estate uses; 10-years on equipment uses. Extension: In the event that the Borrower is unable to obtain conventional financing to replace the Microloan at the end of five years,the loan Page 11 of 18 rOWERE1 11 NATUR Page 3of18