HARRISBURG, Pa., April 6, 2016 /PRNewswire-USNewswire/ -- Department of Community and Economic Development Secretary Dennis Davin today announced that new state investments through the Pennsylvania Industrial Development Authority (PIDA) program and historically lower interest rates will help spur statewide development projected to create and retain 93 jobs.
Over the last month, PIDA approved more than $3.9 million in low-interest loans for five projects in Bedford, Bucks, Lancaster, Northampton, and Washington counties that will generate more than $10.8 million in total investments.
"In addition to the loans approved, the PIDA is offering extremely low interest rate options," said Davin. "The ability to offer lower rates, ensures that businesses have access to critical capital needed to support advancement and on-going success."
In 2016, PIDA has approved $15.2 million in low-interest loans that have resulted in $33.2 million in private investment and supported 607 created and retained jobs.
The following PIDA loans were approved over the last month:
The Southern Alleghenies Planning and Development Commission was awarded a $195,000, four-year loan, at a 3.75 percent fixed rate, on behalf of Juli's Wearable Art, LLC, to assist with the purchase of inventory, furniture and fixtures for an existing clothing boutique in Bedford Borough. Total project cost is projected to be $500,000 and will retain six full-time employees.
The Bucks County Economic Development Corporation was awarded a $2,000,000, 15-year loan at 2.25 percent for the first seven years, on behalf of Junell Corporation, a manufacturer and distributor of motor oils, lubricants, and related specialty petroleum products under the business trade name Advanced Lubrication Specialties (ALS), to acquire an existing 121,232-square-foot building located at 524 Imperial Court, Bensalem Township, Bucks County, to expand its distribution and warehouse capabilities. The total project cost is projected to be $6,732,000 and will retain 62 existing positions.
The EDC Finance Corporation was awarded a $400,000, 15-year loan at a 2.25 percent for the first seven years, on behalf of Christian and Laura Landis, to construct two single story broiler houses in Clay Township. The Landis' have a 15-year contract with Purdue Foods. The total project cost is projected to be 930,000.
The Northampton County New Jobs Corporation was awarded a 362,500, 10-year loan at a 3.25 percent fixed rate, on behalf of Tyber Medical, LLC, an orthopedic device company that designs implants for the spine and trauma markets, to purchase manufacturing equipment for in-house fabrication. Total project cost is projected to be $725,000 and will create 25 new jobs. In 2015, Tyber Medical was offered a funding proposal from the Governor's Action Team that encouraged the company to apply for a low-interest loan through PIDA.
The Middle Monongahela Industrial Development Association, Inc. was awarded a $1,000,000, 15-year loan at a 3.25 percent fixed rate, for the development of a 25,000-square-foot multi-occupancy building on 4.5 acres in the Alta Vista Business Park. Total project cost is projected to be $2,000,000.
PIDA is continuing to offer extremely competitive interest rates due to recent market changes, and announced updated interest rate options.
Qualified applicants are eligible to select either a reset rate of 2.25 percent for the first seven years or a fixed rate of 3.25 percent for real estate financing, 3.25 percent fixed rate for equipment loans, 3.25 percent fixed rate loans for a 12-month period for working capital and accounts receivable lines of credit, and 2.00 percent fixed rate for pollution prevention and energy efficient loans. Rates will be in effect for loan applications received through June 30, 2016.
PIDA is an independent authority staffed and regulated through the Department of Community and Economic Development. The Authority provides capital for building acquisition, construction and renovation work, machinery and equipment loans along with working capital line of credit loans, primarily for manufacturers, industrial developers, research and development firms, agricultural processors and employers looking to establish national or regional headquarters in Pennsylvania.
MEDIA CONTACT: Heidi Havens, 717-783-1132
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SOURCE Pennsylvania Department of Community & Economic Development