Rather than using the State of Ohio’s Chapter 166 Loan Program, the Lawrence Economic Development Corporation (LEDC) recently found that the newly refunded State of Ohio Rural Industrial Park Loan (RIPL) Program was a better fit to finance the construction of a 30,000 sf speculative building in Lawrence County’s South Point Industrial Park and a 19,135 sq. ft. facility in Ironton that will attract new businesses and accommodate existing business expansion in Lawrence County.
By way of background, the State’s newly refunded Rural Industrial Park Loan Program (RIPL) promotes economic development by providing low-interest direct loans to assist counties, municipalities, townships, non-profit organizations, port authorities, community improvement corporations, and private developers in financing the development and improvement of industrial parks and related off-site public infrastructure improvements.
LEDC’s two projects were financed with a $952,560 Rural Industrial Park Loan and with $317,521 in LEDC equity. Construction of both buildings is now complete. The Ironton building has a tenant in place and is now employing 12 people. The Project features a drive-in bay, two loading docks, a 5-ton crane, and a 480V 3-phase electrical service to accommodate numerous business types.
The RIPL has a term of 15 years with an interest rate of 0% years 1-5 and 3% years 6-15. The amortization is over 10 years with monthly payments beginning in year 6 and payment due in full at the end of year 15. Per the Controlling Board’s approval, 50% of the outstanding RIPL balance will be forgiven by Development Services Agency upon LEDC’s successful completion of the Project.
The Lawrence Economic Development Corporation (LEDC) recently completed construction of two industrial buildings in Lawrence County. According to the operating requests submitted to the State of Ohio Controlling Board, the projects aim to “attract new businesses or accommodate existing business expansion in Lawrence County.” The Rural Industrial Park Loan program provided funding in the form of low-interest direct loans.
The first project, located at Point Industrial Park in South Pointe, Ohio, is now home to a new 30,000 square-foot commercial building. In addition to a drive-in bay, two loading docks, a 10-ton crane, and a deluge sprinkler system, the property will feature a 480V 3-phaseelectrical service able to accommodate several types of businesses. The other completed project is a 19,135 square foot facility in Ironton, sporting similar accommodations to the South Point property. The new Ironton building already has a new tenant and employs 12 people.