Business Facade Improvement Loan Program
Stina McDaniel, Divide Chamber of Commerce, 4/25/2012
The County of El Dorado’s Business Facade Loan Program is designed to improve the visual quality of commercial buildings, maintain the vitality of our neighborhood commercial centers, and strengthen retail and other commercial opportunities. The program will assist local businesses with low-interest loans to make repairs and improvements to the front facade of the building in which the business is located.
The Business Facade Loan Program is capitalized with funds from the State of California Community Development Block Grant (CDBG) Program.
Eligible applicants include:
- Start-up or existing small business owners with 5 or fewer employees, including the owner(s).
- The applicant must earn 80% or below of the area median income for household size, and must demonstrate an ability to make repayment on the loan.
- The business must be operated in the unincorporated areas of El Dorado County.
- The project must be commercial or industrial.
- The applicant must own the commercial property in which an eligible microenterprise is located, or have the consent of the commercial property owner and a minimum five (5) year lease.
See the State Table of Income Limits for the current CDBG Income
Limit Categories for El Dorado County at www.hcd.ca.gov/hpd/hrc/rep/
Loans may be used for:
- Masonry cleaning and repair
- Cornice restoration
- Window and door repair or replacement
- Exterior painting
- Power washing or sand blasting
- Awning and canopy repair or replacement
- Gutter and downspout repair or replacement
- Roof parapet walls
- Decorative facade additions
- Removal of architectural barriers
- Architectural design, limited to 10% of the total loan funds
Loan funding guidelines:
- Loans will range from $5,000 to a maximum of $25,000
- Interest rate is set at 1%
- Loan terms up to ten (10) years
- Owner must contribute equity funding of one dollar for every loan dollar (on a case-by-case basis, this requirement may be waived)
- A loan fee of up to 1.5% may be charged to the borrower
- All loans are fully secured by collateral (e.g., liens on real property, deeds of trust, liens on machinery, equipment or other fixtures, lease assignments, personal and/or corporate guarantees, and other collateral, as appropriate)
Financing by the County’s Loan Programs are subject to availability of funds.
HOW TO APPLY