Financing for Vermont Businesses and Farms

Local Development Corporation Loan Program

This program provides financing to nonprofit local and regional development corporations to build facilities for lease to identified eligible tenants, or to plan and/or develop industrial parks.

Eligibility

  • All nonprofit Local Development Corporations (LDCs) and Regional Development Corporations (RDCs).

Use of Proceeds

  • Purchase of land for industrial parks;
  • Industrial park planning and development;
  • Construction or improvement of speculative buildings; 
  • Small business incubator facilities.

Loan Rates and Terms

  • Loan terms vary with the purpose of the loan. See current VEDA rates;
  • VEDA must have a first mortgage on the land, leasehold improvements or building, and appurtenances financed;
  • Industrial park loans cannot exceed 80% of the appraised fair market property value.

Fees

  • No application fee;
  • 1% commitment fee;
  • $1,000 minimum to $3,500 maximum;
  • Document recording/discharge fees.

Application Process

Related Resources