Program

Fund for Revitalization & Economic Development (FRED)

Minimum/Maximum Amounts

Minimum: $1,000
Maximum - None
Generally loans are limited to approximately $50,000

Eligible Activities

"Gap" financing for land and building acquisition, building renovation and/or rehabilitation, machinery and equipment, and interim financing.  Not to be used for working capital.

Term & Amortization

5-10 year terms based on project review and other financing
Fully amortized

Interest only during construction period, not to exceed 6 months. Payments begin on the 1st of the month following 30 days after the final draw.  Advances are made on reimbursement basis for approved expenses.

Funds will be advanced in draws, but can not be advanced prior to phased work being completed.
 

Rate

4% fixed as of 01/01/04

Fees

$250 application fee
1% loan fee
Actual recording and filing costs

Special Notes

Construction must meet Secretary of the Interior Standards where applicable.  When located within Historic Districts, exterior work plans must be approved by the appropriate historic review board.

Construction is subject to Davis Bacon Prevailing Wage regulations.

Loans will be collateralized whenever possible.

All loans are paid by electronic funds transfer on the 1st of each month.

Job Creation/Retention Requirements

Job Creation - 1 full time equivalent job for each $15,000 borrowed.  Job creation must be documented within 3 years of the date of the loan, with quarterly filings required.

Where to Apply

City of Bethlehem
Office of Economic Development
10 E. Church Street
Bethlehem, PA 18018

Contact Person

Howard Lieberman
Economic Development Coordinator
Phone: 610-865-7318
Fax:      610-865- 7310
email:  liebehow@bethlehem-pa.gov

Web link

www.bethlehem-pa.gov/econ_dev

Application Download Available