What are permitted uses of the proceeds?
• acquisition of vacant land • acquisition of land and building • leasehold improvements • renovation of building; addition to building • construction of a building • acquisition of a commercial fishing vessel or party boat • acquisition of heavy duty machinery & equipment (such as printing press) • associated soft costs; title searches and insurance; attorney fees; appraisals; environmental reports; architects; permits; surveys; installation of machinery; points on bridge loans; small amount of furniture and fixtures, etc. • not permitted: mortgage broker fees; points on permanent financing; moving expenses • refinancing is not permitted except to take out financing on property acquired within last 9 months with interim funds (see 7(a) program). What are the economic development requirements? SBA 504 is a community lending program designed to improve the locality. Eligibility requires either: Job creation or retention (one job per every $35,000 borrowed from CDC under SBA 504) OR: One
