Montpelier Heating District Loan Program

Eligibility

  • Montpelier businesses that wish to connect to the City of Montpelier’s (City) new heating district improvements.

Use of Proceeds

  • To assist borrowers to connect to the new system and to perform necessary heating system conversions to allow connection to the system.

Loan Rates and Terms

  • Please click here for current interest rates;
  • The maximum loan amount is $60,000;
  • Loans will bear interest at the rate of 4% fixed, and will generally be repayable over terms of between five and seven years or such other term as VEDA may determine;
  • The City will contribute 10% of the Project cost of connecting and converting. The City’s contribution may be in the form of cash or in kind goods/services;
  • VEDA will take such collateral as it deems sufficient.

Fees

  • A $100 application fee is due at the time of application or can be collected at closing;
  • A 1.25% commitment fee is due at closing;
  • The usual document recording fees will also be charged, and may be deducted from loan proceeds.

Application Process

  • Loans to be approved internally by VEDA Staff.

Comments are closed.