Montpelier, VT – The Vermont Economic Development Authority (VEDA) approved over $9 million in new financing for Vermont businesses and farms this past quarter, a $4 million increase in volume over the same quarter last year. The new financing includes continued investment in Vermont’s small business sector, the first approval for VEDA’s Broadband Expansion Loan Program, and an exciting new business accelerator project in the Northeast Kingdom.
“We had a strong quarter with continued demand for small business financing and projects like the Yellow Barn Business Accelerator in Hardwick,” said Cassie Polhemus, Chief Executive Officer at VEDA. “The year ahead looks bright with a new loan program for the Northeast Kingdom and the continued strong support from our lending and economic development partners around the state, all working hard to increase Vermont’s economic prosperity.”
VEDA approved loans totaling $5.8 million for commercial enterprises and small businesses, including:
- Yellow Barn Business Accelerator: The Hardwick Yellow Barn Business Accelerator and Corporate Campus is a joint venture between the Town of Hardwick, Northeast Kingdom Development Corporation and the Center for an Agricultural Economy. VEDA provided partial financing to foster economic development in the Northeast Kingdom, expanding and rehabilitating the historic Yellow Barn on Route 15 in Hardwick. Cabot Creamery and Jasper Hill Farm are the first confirmed tenants and the project estimates to create 105 new jobs over the next five years.
- Mansfield Community Fiber: Last year, the legislature created Subchapter 14 of VEDA’s Statute to enable the Authority to make loans that expand broadband service to unserved and underserved Vermonters. Mansfield Community Fiber is the first loan approval for this program and will offer broadband access to 267 potential new customers in the towns of Cambridge and Fletcher.
- Kingdom Campground: VEDA approved financing to help the Lyndonville campground build a new 100 RV site campsite with bath houses, pool pavilion and general store. The project will create five new jobs and give Northeast Kingdom tourists a new place to stay as they explore the area’s many restaurants and trails. Passumpsic Savings Bank also provided financing for the project.
- Praise Chapel’s Cornerstone Community Center and Daycare: VEDA is providing financing to help Praise Chapel purchase and renovate the former Elk’s Club building to become the new Cornerstone Community Center in Hartford. The center will provide expanded outreach programs, a food shelf, community kitchen, a resource hub, and meeting and function space for community use. The additional space will help Potter’s House School & Child Care Center, a secular daycare center which serves families throughout the Upper Valley, expand its afterschool program. Community National Bank also provided financing for the project.
- Mending Wall, LLC: Middlebury Family Health (MFH), an independent primary care physician practice, purchased a new office space in Middlebury for future occupation through an affiliate real estate holding company. The acquisition allows MFH to continue growing its independent, patient-focused practice. VEDA partially financed this purchase along with National Bank of Middlebury.
VEDA also approved loans totaling $1 million for fifteen different borrowers in the agricultural sector, another $1 million in renewable energy financing, and facilitated the approval of $1.2 million for its affiliate loan programs like the Drinking Water State Revolving Loan Fund.
For loan closings in the second quarter, VEDA closed $16.6 million in new loans, bringing total closed loan volume in the current fiscal year (since July 1) to $32.1 million. Of the second quarter closings, $3.2 million was invested in the agricultural sector, $1.5 million in small business, $2.5 million in renewable energy, $2.8 in direct commercial loans, and administered over $6.6 million for affiliate programs.
VEDA also recently launched a new finance program for businesses and farms in the Northeast Kingdom. To learn more or apply, visit https://www.veda.org/financing-options/vermont-commercial-financing/nek-loan-program.
The Vermont Economic Development Authority (VEDA) is Vermont’s economic development finance lender. Created by the Vermont General Assembly in 1974, VEDA’s mission is to contribute to Vermont’s economic vitality by providing a broad array of financing programs to eligible businesses that create jobs and help advance Vermont’s public policy goals.
VEDA offers a wide range of low-cost lending options for Vermont businesses and farms of all sizes, and the Authority’s lending solutions are customized to each borrower’s individual needs. Whether in the form of direct loans, tax-exempt bond issuance or loan guarantee support, VEDA’s innovative financing programs help ensure that Vermont businesses and farms have the capital they need to grow and succeed. VEDA most often lends in conjunction with banks and other financing partners, helping to stimulate economic development activity in Vermont.
Since inception, VEDA has provided $2.5 billion in financing assistance to thousands of eligible Vermont entrepreneurs, manufacturers, small businesses, family farms, and agricultural enterprises.
VEDA has five offices throughout Vermont – in Montpelier, Burlington, Middlebury and St. Johnsbury. For more information about VEDA, visit www.veda.org or call 802-828-JOBS.