Overview

Tax-exempt and taxable bonds, both in pooled transactions and stand-alone transactions, to be used to finance land, building, equipment, working capital and refinancings.

Guidelines

PEDFA-Bond-Financing_guidelines-09.pdf

Uses

• land and building acquisition
• building renovation and new construction
• machinery and equipment acquisition and installation
• designated infrastructure
• efinancing
• working capital

Funding

• Loans no less than $400,000
• Up to 100 percent of project costs

Eligibility

All types of businesses needing access to low-cost capital

Terms

Since 1990, rates have averaged 61 percent of the prime interest rate. The weekly variable interest rate is tied to the market for taxable bonds. The bond term is based upon a negotiated letter of credit- the borrower generally must secure a letter of credit from the bank. A $500 fee due at time of application to be credited against the issuance fee when the project closes.

How to Apply

Industrial Development Authorities and Corporations