The City of Long Beach makes direct loans to offer financial incentives for property and business owners. Funds may be used for improvement of commercial and industrial properties, encouragement of retail development and enhancement of economic activities. Loans for physical improvement of commercial and industrial properties are generally considered in specifically designated areas of the City. Funds can be used to eliminate deteriorated buildings or to generally upgrade an entire neighborhood. Loans with the aim of encouraging retail development are made with the recognition that revenues to the City are increased immediately when sales taxes increase and that the quality of life for the residents is improved by having the broadest mix of retail establishments in their neighborhoods.
Economic activity is strengthened by promoting revitalization of targeted areas.
Increasing the availability of jobs and goods and services to low and moderate income residents allows the City to access federally provided Community Development Block Grants as a source of these loan funds. Generally, the funds are provided to supplement other sources of equity and borrowing, and as such, are not to be used as the primary source of the funding for a project but as the incremental source to make the entire project possible. Evaluation Criteria Public benefit Project feasibility Applicant qualifications Design quality Fund availability Interest Rate Fixed, below market rate. Term 5 to 20 years, depending on use of funds.