NC’s provided a $500,000 predevelopment loan to help AAFE fund part of the early costs of creating a new community on a former Army supply depot, with educational and commercial developments, and hundreds of new apartments.
|Uses||Earliest stage capital for design and engineering, market and environmental studies, appraisals, legal costs, filing and application fees, deposits and working capital|
Up to $500,000 unsecured
Larger loan amounts may be possible with security in real property, assignment of grant proceeds, or other options – please discuss with your loan officer
|Loan Term||Up to 36 months|
|Interest Rate||From 5.75%, dependent on security, term, process to move project to construction or other start point|
None required up to $500,000
Options with larger loans include liens on real estate, pledges of grant funding or developer fees, assignment of ownership interest, etc.
NWO’s will provide repayment guaranties for loans made to affiliates
|Repayment Source||Typically construction or acquisition financing for development, or could be alternative funding such as grants|
Application fee - $1,000
Origination fee – 1.00% to 1.50% of loan amount
|Third-party Reports||May include appraisal and environmental assessment for larger, secured loans|