City of Toledo’s Department of Housing and Community Development Announce Toledo Business Growth Fund
The City of Toledo announced the Toledo Business Growth Fund (TBGF), a partnership between the Economic and Community Development Institute (ECDI) and the City’s Department of Housing and Community Development and Department of Economic Development. The fund is designed to support business growth and neighborhood investment, with a focus on job-creating manufacturing, distribution, commercial real estate development, and service and retail businesses located in the City.
The TBGF will invest $10 million into Toledo neighborhoods, comprised of $5 million from the HUD Section 108 Loan Guarantee Program, $4 million in funding from ECDI, and $1Million of borrower equity.
“I am thrilled to announce the Toledo Business Growth Fund. This partnership between ECDI and the City's Department of Housing and Community Development and Department of Economic Development will provide critical support to businesses in our community, with a focus on creating jobs and investing in our neighborhoods,” Mayor Wade Kapszukiewicz. “This initiative will help to revitalize Toledo's downtown and targeted areas, benefiting our low-and moderate-income residents through job creation, retention, and housing occupancy. I encourage eligible businesses to take advantage of this opportunity and visit the TBGF website to learn more."
The TBGF has two HUD national objectives, benefitting low-and moderate-income residents through job creation or retention, and housing occupancy.
Loan amounts range from $300,000 to $2,000,000 with permanent and interim financing options and competitive fixed rates for terms up to 20 years. Eligible businesses must have three or more years of operations, and eligible uses include real estate acquisition, working capital, machinery and equipment, construction or preservation of commercial real estate, clearance and demolition, site preparation, and capitalized interest and reserves.
"Small businesses are the lifeblood of our economy, and we're thrilled to offer a new loan program that will help them thrive, especially during these challenging times” Brandon Sehlhorst, Director of Economic Development, said. “With flexible terms, competitive rates, and personalized support, our program is designed to give small business owners the resources they need to achieve their goals and build a better future for themselves and our community.”
“In the current environment of increasing interest rates and construction costs, the TBGF supports the critical need to provide additional flexible and competitive financing for job creation in Toledo, particularly in underserved neighborhoods, by leveraging Section 108 Loan capital with ECDI resources”, Rosalyn Clemens, Director of Housing and Community Development, said.
To learn more about the Toledo Business Growth Fund and its resources for local businesses, visit our website at www.ecdi.org/toledo-fund.
ECDI is a nonprofit small business resource center, U.S. Treasury-designated Community Development Financial Institution, and the highest volume SBA Microlender in the country, serving all 88 counties in Ohio.