Press Releases 

VEDA APPROVES $13.4 MILLION IN ECONOMIC DEVELOPMENT FINANCING

Jan 24, 2012, 8:15:24 AM

MONTPELIER, VT – The Vermont Economic Development Authority (VEDA) has approved $13.4 million in financing to support economic development projects throughout Vermont.

“VEDA is pleased to help stimulate economic activity and job creation in Vermont by approving financing for these business and farm projects,” said Jo Bradley, VEDA’s Chief Executive Officer.

The projects approved for VEDA financing are:

  • Catamount-Malone/Hinesburg, LLC, Hinesburg – Financing of $1 million was approved as part of a $3.1 million project by real estate developer Catamount-Malone/Hinesburg (CMH) to restore an important downtown Hinesburg manufacturing facility to productive use. CMH has purchased and renovated the 88,720 square foot former Saputo Cheese factory for lease to several commercial ventures, including tenants Green Mountain Organic Creamery and Vermont Smoke and Cure. The Project will create space for up to four additional tenants and is estimated that at least 37 new jobs will be created at the facility within three years. NBT Bank is collaborating with VEDA to finance the Project.
  • Autumn Harp, Inc. and Black Bay Ventures V, LLC, Essex Junction – The Authority approved the reissuance of $2.4 million in lower-interest rate bond financing (originally issued in 2007, and owned and disbursed by TD Banknorth) to partially cover costs related to leasehold improvements at Autumn Harp’s Essex Junction facility, and new machinery and equipment purchases at the company’s Essex Junction and Bristol facilities. Autumn Harp is a manufacturer of personal care products, selling to internationally-known companies such as Bath and Body Works, Victoria’s Secret, Body Shop and Gap.
  • Washington County Mental Health Services, Inc., Barre – VEDA approved an inducement resolution for issuance of up to $5.3 million in tax-exempt bonds to help finance a two-part $6.9 million real estate development project being undertaken by Washington County Mental Health Services, Inc. (WCMHS) in Barre Town. Part I of the project entails the purchase of 6.6 acres of land and a building for conversion to a school for students unable to operate in normal academic settings. This facility is expected to include classroom, cafeteria, gymnasium, and auditorium space for 60 students in grades 1 through 12. Part II of the project entails the purchase of 4 acres of land and a building to create a larger central administration building for WCMHS. Northfield Savings Bank is also providing financing for the project. WCMHS is a 501(c)(3) non-profit corporation providing a wide range of mental health services to residents in Washington County and several Orange County towns. WCMHS has 498 full-time employees.
  • Vermont Hospitality Management, Inc. d/b/a New England Culinary Institute (NECI), Montpelier VEDA approved the renewal of mortgage insurance capped at $500,000 on a $720,000 working capital line of credit being advanced by Vermont State Employees Credit Union (VSECU) to NECI. The insurance and VSECU Line of Credit are a renewal of an existing working capital facility. NECI is a nationally-known culinary school based in Montpelier with an enrollment of nearly 600 students annually in four semester programs. NECI offers a wide range of certificate and degree programs including short 15 week certificates, two-year associates degrees, and four year bachelor of arts degrees. In addition to its onsite programs, NECI offers online instruction and is just introducing an exciting online "apps" program allowing users to download instructional video materials on particular culinary topics and techniques. NECI reports that it has 134 full-time employees.

In addition, VEDA approved financings totaling:

  • $1.6 million to Vermont farmers through the Authority’s agricultural loan program, the Vermont Agricultural Credit Corporation (VACC);
  • $634,200 through the Authority’s Small Business Loan Program to assist growing Vermont small businesses that are unable to access adequate sources of conventional financing;
  • $887,000 through the Authority’s VT504 Program which, with SBA's approval, makes SBA 504 loans to eligible and qualified borrowers; and
  • $1.04 million through the Drinking Water State Revolving Loan Fund, whichprovides funds to repair or improve existing privately-owned drinking water systems.

VEDA’s mission is to promote economic prosperity in Vermont by providing financial assistance to eligible businesses, including manufacturing, agricultural, and travel and tourism enterprises. Since its inception in 1974, VEDA has made financing commitments totaling over $1.8 billion. For more information about VEDA, visit www.veda.org or call 802-828-5627.

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