Housing Development GAP Loan Program
RENVILLE COUNTY HOUSING DEVELOPMENT GAP LOAN PROGRAM
In an effort to help stimulate the creation of new multifamily housing development, the Renville County HRA/EDA has created a subordinate gap financing program to assist with development.
The Renville County HRA/EDA can lend up to $10,000 per unit being constructed with a maximum loan size of $50,000 per development.
Terms: WSJ Prime interest rate at the time of approval (currently 3.25%). 12 year loan. Interest only for first two years during construction / stabilization, then 10 years of monthly principal and interest on a straight-line amortization.
Security: 2nd mortgage (behind lead lender) and personal guaranty of all owners with 20% or more equity.
Fees: Actual expenses: legal fees for drafting docs and mortgage recording fees.
Click HERE for the Renville County Housing Development GAP Loan Program Application
Please call Renville County HRA/EDA at (320) 523-3656 for more details and to discuss your project.