About REDI / REDI Site Revolving Loan Fund Submission Portal
REDI Site Revolving Loan Fund
As part of its five-year economic development strategy, REDI Cincinnati established an initiative around sites & infrastructure to advance the Cincinnati region’s competitive readiness by investing in commercial and industrial sites. This fund is the first of its kind in the country and is in partnership with The Port, separate from JobsOhio. This fund will help increase the inventory of shovel-ready sites and improve the region’s premier sites.
The purpose of the fund is to increase the inventory of shovel-ready sites and make the region’s premier sites even better. Many end-users looking at larger sites of more than 20 acres want the land to be surveyed and graded, all archaeological mitigation to be done, and the environmental remediation to be complete. Site readiness can positively impact speed, risk, and money for potential end-users. However, site readiness comes at a cost. Many communities struggle to obtain the necessary financing from traditional sources and have exhausted community resources. Often time, communities have invested heavily into sites and need support getting them across the finish line.
The REDI Sites Revolving Loan Fund will support closing critical infrastructure financing gaps by making patient capital available to sites that have the potential for positive regional impact or that are identified as a priority for the Cincinnati region as highest and best use.
- Site acreage must align with current market demand. There will be a preference for sites that fall within the REDI average acreage site request.
- The site must be publicly owned, or the community has an option on the property.
- Target end-use must align with one of REDI’s target industries.
- Privately owned or developer-owned sites.
- Site acreage that does not align with current market demand.
- Mixed-use, retail, restaurant projects, or other opportunities that do not align with REDI Cincinnati’s target industries.
- The program is targeted to support the development of industrial and commercial sites based on market demand in the region.
- The real estate should have received previous site readiness investment prior to requesting funding.
- Target end-use must strive to stimulate economic growth (create jobs and capital investment, secure new/retained payroll) and community revitalization.
- The community must have an active strategy defined to attract end-users.
ELIGIBLE COSTS | EXAMPLES
- Topographical, archaeological, ecology (wetland delineation), contamination, vegetation, and geotechnical.
- Site Preparation:
- Legal, an extension of utilities, infrastructure, grading, tree clearing, retaining walls, excavating and demolition, and conceptual site layouts.
- Environmental Remediation:
- Phase 1 and Phase 2 environmental site assessments, groundwater pumping, and treatment, wastewater treatment, bioremediation, removal and disposal, thermal desorption, and incineration.
PARAMETERS OF LOAN (AVAILABLE FUNDING)
- Loan Amount: Up to $75,000. Proof of payment will be required for eligible costs once costs are incurred.
- Contribution: Between 20% and 75% of eligible costs, up to $75,000.
- Term: 5 years
- Interest Rate & Repayment:
- 0% interest rate will be applied in years 1 through 3.
- Principal paid within years 1 through 3 will result in a 15% discount on principal (e.g., loans for $75,000 will decrease to $63,750).
- The interest rate will be fixed at the prime market rate and will accrue years 4 through 5 but will not be due until loan maturity.
- Loan Origination Fee: 1% of loan principal.
REVIEW & SELECTION PROCESS
- All interested parties will be required to complete an application to be considered eligible for financial support.
- All applications will be reviewed, vetted, and selected by REDI Cincinnati’s Loan Committee and the Loan Committee chair.
- Once fund recipients are selected and applications are approved, the applicant will receive a formal offer letter and promissory note from REDI Cincinnati for full execution.
REDI SITE REVOLVING LOAN FUND
Prior to developing a proposal, REDI Cincinnati requests you complete and submit an application. After submitting, a member of the REDI team will be in touch with you about your project.