Services: Incentive and Financial Resource Programs
Contact: Keli Berg, Financial Coordinator
Address: 411 W 2nd St , Grand Marais, MN 55604
The purpose of the Cook County Revolving Loan Fund is to promote economic development within Cook County by providing loans to businesses located or to be located within Cook County and to promote affordable housing for employees of those businesses as necessary for continued economic development within the County.
Loans made or provided by the County are intended:
A. To create and maintain permanent private sector jobs, expand the tax base and increase economic productivity; and/or
B. To create the inducement necessary to allow a project to proceed, and/or
C. For employee housing if businesses cannot retain or attract employees because of a lack of affordable housing. For this type of request we must have supporting documentation such as letters from businesses stating that they can’t attract workers because of lack of housing.
Loans made or provided by the County are intended to complement, not compete with private lending institutions. As such, private sector involvement will be a key factor in evaluating applications reviewed in conjunction with this program. Further, business incentives offered by other economic development agencies and public entities may also be complemented by loans made or provided by the County
$75,000; maximum participation may not exceed 33% of the project
Cook County businesses
Other Funding Required: Yes
Allowable Use of Proceeds
A) Fixed assets, including land and building purchases building construction and leasehold improvements and renovations; and/or
B) Acquisition, renovation or moving machinery and equipment.
Term of Loan
Twenty (20) years for paragraph A above; ten (10 ) years for paragraph B.
New loans of $75,000 or less have two options: fixed rate of 1% over 10 year T-Bond for real estate or fixed rate of 1.5% over 10 year T-Bond for machinery & equipment.
Variable rate of .5% over 10 year T-Bond for real estate of fixed rate of 1% over 10 year T-Bond for machinery & equipment. Variable rates have a minimum rate of 7.5% and a maximum of 12.5%.
All variable rate loans will be adjusted on April 1 each year. The maximum adjustment in any one year will be 2%, regardless of the 10 year T-bond rate on April 1.
For loans exceeding $75,000, the County must charge the current market rate of interest, per State Statute. The maximum loan at market rate is $250,000, and is limited to 33% of the project.
The Cook County Revolving Loan Fund serves Cook County.