PORT TOWNSEND — Downtown commercial property owners have until Saturday to apply for two low-interest loan programs to renovate and repair historic buildings.
One loan is a biannual program offered through the U.S. Department of Housing and Urban Development for physical improvements, while the Light at the End of the Tunnel — or LENT — program is administered by the Port Townsend Main Street program.
The loans could help downtown businesses weather the impact of construction, said Main Street Director Mari Mullen.
The federal loans administered by HUD range from $1,000 to $40,000.
“This is a great way to spruce up our downtown, either to fix a facade or provide improvements needed for public safety,” Mullen said.
Stairs and skylights are two commonly upgraded areas on old buildings, Mullen said.
Since its establishment in 1988, the fund has loaned more than $336,350 in support of restoration and renovation in Port Townsend’s uptown and downtown commercial historic districts.
“This is a great tool,” Mullen said of the loan program.
“It has benefited a number of downtown buildings, including the Rose Theatre and the Hastings building, and allows the owners to make needed improvements.”
The loan application process takes place twice annually, in the spring and the fall.
Building owners who have previously used the program can apply for another loan but the last one needs to have been paid off, according to Mullen.
The interest rate is 5 percent, but that amount is only collected if the loan takes the entire five-year term to repay.
No interest charge will be assessed for loans paid off within one year of the beginning of the term, with interest discounts applied depending on the payoff date.
The LENT “microloan” program offers amounts between $500 and $4,000, and will be granted to local merchants who are suffering business losses due to the current downtown renovation.
The downtown streets are being dug up in four phases in a project meant to fill the “voids” located below the sidewalks that could collapse in the event of a natural disaster.
The $2 million project is due for completion in May, prior to the tourist season.
These loans also have a sliding interest scale, those paid off within one year will be charged no interests, while those loans more than $2,000 that are not paid off within three years will be assessed 5 percent.
Upon re-payment of the loan funds, the money will be returned to the Main Street Program and earmarked for specific projects which will benefit Port Townsend’s commercial historic districts such as holiday lighting and off -season marketing.
Anyone wanting to apply for the loans should go to www.ptmainstreet,org to print out an application.
The completed packet must be submitted to the Main Street office, 211 Taylor Street, Suite No. 3, prior to 5 p.m. on March 31.
Jefferson County Reporter Charlie Bermant can be reached at 360-385-2335 or charlie.bermant@peninsuladailynews.com.
