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New $3.5M mortgage program will assist Atlanta small companies purchase industrial property

The town of Atlanta has launched a brand new $3.5 million mortgage program that provides low-interest financing to help native current enterprise homeowners purchase industrial property.

Referred to as the Atlanta Industrial Down Fee Help Mortgage Program (CDPA), it’s the newest initiative that the United Method of Larger Atlanta and Make investments Atlanta have rolled out as part of the Atlanta Open for Enterprise Fund.

By way of the CDPA, Atlanta small companies are eligible to use for a direct mortgage of as much as 20% of business property prices as much as $200,000 to accumulate industrial property.

“Wholesome, thriving native companies are a cornerstone of our communities,” stated Mayor Andre Dickens in a information launch.

“Inflation and financial strains ensuing from the pandemic have made many small companies more and more weak to displacement,” Dickens stated. “The Atlanta Open for Enterprise Fund is designed to assist Atlanta companies preserve their doorways open and broaden and develop a resilience that withstands unexpected financial challenges.”

The Atlanta Open for Enterprise Fund, with a selected give attention to aiding racially and ethnically various enterprise homeowners who’ve been disproportionately harm by the pandemic, is made doable by a $20 million donation from Wells Fargo. The fund is designed to assist the homeowners of Atlanta small companies personal extra of their companies’ belongings — together with property and gear — and fund bodily upgrades to their services.

These making use of for a CDPA mortgage have to be an current small enterprise with a metropolis of Atlanta enterprise license enthusiastic about buying industrial actual property within the metropolis.

This system places an emphasis on shopping for property in low-income census tracts, Federal Alternative Zone areas, deprived neighborhoods or a New Markets Tax Credit score accepted space neighborhood. Companies should additionally display development potential of their trade, in line with the discharge.

Loans are for the acquisition/acquisition and associated renovations of a constructing zoned industrial inside the metropolis of Atlanta. After 10 years of constant funds and assembly claw again provisions, a enterprise can apply to transform the mortgage to a grant.

Dr. Eloisa Klementich, president and CEO of Make investments Atlanta, stated the timing of this program and different enterprise mortgage packages are essential as a result of an estimated 25% of companies don’t open once more after a serious catastrophe like a world pandemic.

“What we’re doing with the assist of Wells Fargo is providing small companies sources that give them the means to face up to financial uncertainly to construct long-term wealth,” she stated within the launch.

President and CEO of the United Method of Larger Atlanta Milton J. Little stated the CDPA program’s focus to help racially and ethnically various small enterprise homeowners “is crucial to the equitable development of our communities and to the financial success of higher Atlanta.”

To be taught extra about and apply for the Atlanta Industrial Down Fee Help Mortgage Program, small enterprise homeowners ought to go to www.investatlanta.com/cdpa. Small companies enthusiastic about this system could request help with their utility by Make investments Atlanta by visiting www.atlinbusiness.com.

In June, United Method of Larger Atlanta and Make investments Atlanta efficiently launched the primary Atlanta Open for Enterprise program — the Atlanta Restoration Mortgage Program (ARLP) that gives 3% curiosity loans to small companies enthusiastic about buying tangible enterprise belongings. The Industrial Property Enchancment Grant (CPIG) was launched in August offering grants for small companies of as much as $50,000 for exterior and inside enhancements to their enterprise.

United Method and Make investments Atlanta are distributing the Atlanta Open for Enterprise Fund as a mixture of grants and mortgage packages with a give attention to Black-owned and different diverse-owned companies. Be taught extra about that program right here.

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