BUENA PARK : Businesses Offered Low-Cost Loans

Business owners who want to spruce up their properties can apply for low-cost loans through the city’s economic development office.

The Commercial Rehabilitation Program offers loans up to $20,000 per business or $150,000 per property owner for properties in redevelopment areas, city officials said. The loans carry an interest rate of 4% and do not have to be repaid for the first five years.

The new commercial loan program is already succeeding, with a portion of the $178,000 allocated for the 4% loans to be spent on rehabilitating the exterior of a shopping center at the corner of Knott and Monroe avenues.

The program is the city’s most recent attempt to clean up redevelopment areas. For the past year, rebates have been offered to business owners willing to improve their property. However, no one has applied.

“It is one of those things that you think is going to work but it doesn’t,” said Gus Duran, project manager. “A lot of the businesses didn’t have the money to put up themselves.”

Under the rebate plan, commercial property owners pay for improvements and are reimbursed by the city to a maximum of $45,000. Despite its lack of success, the rebate program will continue, officials said.

Both financial assistance programs are funded by a federal grant.