B & I

Description

Large loans to finance buildings and equipment in rural areas that will expand employment.

Use of Funds

Land acquisition, building construction, equipment purchase and related working capital needs.

Financing Method 

Loans originated by Cal Coastal using North American Development Bank funds.

Qualification

Loan must meet employment criteria and underwriting guidelines of Rural Development, an agency of the U.S. Department of Agriculture. Location of investment must be in a rural area with a population of less than 50,000.

Maximum Amount

Loans generally exceed $100,000 to a $5,000,000 maximum.

Maturity

Up to 30 years.

Interest Rate

Fixed or 5 year reset. Interest tied to prime.

Collateral

Loan fully secured by real property and business assets.

Fees

1-2% fee.