Downtown Loan Programs

Downtown Loan Programs

The purpose of this program is to stimulate building improvements and perform seismic upgrades for historic commercial properties in the Downtown Economic Development Area. (see map)
The program consists of the following three elements:

Design Assistance Grants

  • Up to $500 per standard 25' street frontage
  • Up to $4,500 for structural engineering costs related to seismic upgrade Grants are awarded if the Facade and/or Building loan is approved and funded and related costs are documented.

    Facade Loans

  • Fully amortized
  • 15 year term
  • 3% interest or 1% interest if payment of prevailing wages is required 
  • $20,000 maximum loan per standard building 25' street frontage These improvements may include a complete renovation, signage, exterior lighting, landscaping, painting and awnings. Tenants may be eligible to participate in the facade loan program with the building owner's authorization.

    Building Loans

  • Fully amortized
  • 25 year term
  • 1% interest rate
  • $135,000 maximum loan Tenant improvement costs and other non-seismic related costs require 50% matching funds contributed by the borrower, which may include private funds as well as loans made through the Downtown Facade Loan Program. Borrowers would not be required to match loan funds for the cost of seismic upgrades. Loans may be assumable on a case by case basis.

    Eligibility Requirements

    • Sufficient cash availability from borrowers income and/or assets;
    • After rehabilitation loan to value should be no more than 80%. Facade and Building Loans are secured by deed of trust;
    • Owners' net operating income should be at least 110% of all debt service on the property;
    • Equivalent forms of income analysis and security will apply for tenants interested in facade loans. Property owner's consent to the façade improvement must be submitted at the time of application;
    • Borrower's credit history must demonstrate a consistent ability and willingness to meet financial obligations when due;
    • Facade and/or major building will be improved only once through the program; and
    • All existing or eminent code violations must be addressed, as well as seismic repairs if the building has been identified as being constructed of unreinforced masonry materials. All improvements must conform with the Commercial Uniform Building Code and design review standards.