LOW INTEREST BANK LOAN

DESIGNATED AREAS
Downtown areas as determined by each community.

MAXIMUM & MINIMUM LOAN AMOUNT
Maximum loan under this program will be $250,000 per project. Each institution maintains the right to use its own underwriting criteria when considering each participation.

Minimum loan will be $5,000.

TERM
Loans shall have a term of five years.

The interest rate shall be fixed at one half a percentage point below prime on the date of closing for the term of the loan.

AMORTIZATION
Loans for this program may have up to a twenty year amortization on real estate purchase loans. For renovation or leasehold improvement loans, the amortization may be up to ten years. Actual amortization shall be determined by the type and age of collateral and could be less than twenty and ten years, respectively.

ELIGIBLE ACTIVITIES
Projects eligible for this program include facade and/or interior renovation, upper story renovation, additions, new construction, leasehold improvements, refinancing and/or acquisition of commercial property located in the above mentioned "DESIGNATED AREAS."

The real estate acquisition component of the program requires a "significant" interior or exterior renovation/improvement project to accompany the purchase. "Significant" renovation/improvement will be defined as the greater of $10,000 or 10 percent of the purchase price. It should be noted that if an applicant does not meet the “significant renovation” requirement, the building improvements could still be eligible for this program. A refinancing application requires a “significant” interior or exterior renovation/improvement project to accompany the refinancing. “Significant” renovation/improvement will be defined as the greater of $20,000 or 20 percent of the debt being refinanced.

Projects must complement the vision of a revitalized downtown. If there is any question about eligibility of a project, approval will be determined by a consensus of the Jackson County Review Committee. All decisions made by the committee will be considered final.

COLLATERAL
As negotiated with participating financial institutions.

The following financial institutions have committed to this program:

      Bellevue State Bank - $500,000
      Maquoketa State Bank - $1,000,000
      DuTrac Community Credit Union - $1,000,000
      Fidelity Bank & Trust - $250,000
      Clinton National Bank - $500,000
      U.S. Bank - $1,000,000

      Total - $4,250,00


The terms and conditions detailed above are a broad outline of the Jackson County Downtown loan program and are not all- inclusive. Participating financial institutions, with guidance from Jackson County Economic Alliance, will determine the eligible projects, credit worthiness, collateral, and repayment terms. Terms and conditions may change at a future date. If you require more information, or if you have any questions or comments, please contact Nicolas Hockenberry at (563) 652- 4549.