| Financing | Equity Financing |
| Grants | Tax Incentives |
FINANCING
CITY CENTER RENAISSANCE REVOLVING LOAN FUNDThe City Center Renaissance Revolving (CCRR) loan fund was designed and is intended to promote and assist the revitalization of Mankato’s City Center. This is accomplished through financial support efforts related to the expansion, retention and enhancement of business opportunities in the City Center. The primary use of the revolving loan fund is to support efforts to fully utilize and redevelop properties through capital and leasehold improvements necessary to retain and expand business activities. For more information contact Casey McCabe at 507-387-8687 or Email.
ECONOMIC DEVELOPMENT AUTHORITY - STOREFRONT IMPROVEMENT LOAN FUND (EDA-SIF)
The Economic Development Authority – Storefront Improvement Fund has been designed to provide assistance to rehabilitate commercial buildings in the South Front Street and Old Town commercial neighborhoods.
- Deferred loan for 50% of the rehab expenses with a maximum loan of $25,000 per building. The loan will be 0.0% interest, with a due on sale or transfer clause, deferred for 10 years, and then forgiven at the end of the 10th year; remaining costs to be financed privately.
- To be eligible for the EDA-SIF loan:
- The property must be located on the 300 – 700 blocks of North Riverfront Drive or the 400 – 700 Blocks of South Front Street.
- The loan must be secured with a property mortgage.
- The property must comply with Urban Design Standards as set forth by the City of Mankato
Purpose – to promote the development and redevelopment in the North Mankato City Center.
Guidelines for Grant Program:
- $25,000 maximum grant
- $2.00 match for each $1.00 of grant funds provided
- Eligible Costs:
- Plumbing, electrical and fire code improvements
- Doors and windows
- Heating, ventilation and air conditioning
- Tuck pointing
- Awnings
- Second level housing units/rehab or new construction
- Parking improvements
- Stormwater management
- Sewer and water services
- Signage
- Roof Replacement
- Maximum loan amount is $25,000 for cost on an individual project that exceeds $75,000
- 4% interest rate on a 15-year amortization
REGION NINE DEVELOPMENT COMMISSION LOAN PROGRAMS
Promotes the development of the region through intergovernmental cooperation, community development, and long-range planning and technical assistance.
SOUTHERN MINNESOTA INITIATIVE FOUNDATION
Invests in emerging businesses and the emerging workforce, helping businesses, local governments and nonprofit organizations find common ground, pool resources and achieve more.
EQUITY FINANCING
TWO RIVERS ANGEL INVESTMENT NETWORK (TRAIN)Provides financing as part of the RAINSource Capital network. TRAIN is an LLC formed in Greater Mankato. The fund is capitalized at $800,000 with 16 accredited individual and institutional investors. (Contact: 651.632.2143 or Email).
WELLSPRING INVESTOR ALLIANCE
Serves as a link between prospective investors and entrepreneurs seeking investment capital. The alliance is composed of independent accredited angel investors interested in growing high potential businesses in the region.
GRANTS
OFFICE OF ENERGY SECURITYThe Office of Energy Security has grants available to assist owners of commercial, industrial and nonprofit facilities to make cost effective energy efficiency and renewable energy improvements in their facilities. Applications are due February 12, 2010; if an application will be submitted, a notice of intent must be sent by January 28, 2010. Any questions about the program/application must be submitted by January 14, 2010
TAX INCENTIVES
TAX INCREMENT FINANCINGFinances the costs of a new real estate development by utilizing funds gained through increased property taxes generated from the development.
