Governor Wolf Announces New Approvals for Low-interest Loans to Support Five Small Business Projects
September 06, 2017
Harrisburg, PA – Today, Governor Tom Wolf announced this month’s new low-interest loan approvals made by the Pennsylvania Industrial Development Authority (PIDA) program for five small business projects throughout the commonwealth.
“The loans approved this month represent impactful investments in small businesses that together reveal the great economic diversity in Pennsylvania,” said Governor Wolf. “We continue to develop a strong business climate that embraces entrepreneurship in manufacturing, agriculture, logistics and other key economic sectors that together enable our communities to thrive.”
Thus far in 2017, PIDA has approved $31.7 million in low-interest loans that have resulted in $149 million in private investment and supported 1,422 created and retained full-time jobs. Over the past month, PIDA approved a total of more than $2.6 million in fixed, low-interest loans to five projects in Bradford, Erie, Lancaster and Lehigh counties that will generate more than $7.6 million in matching capital investment.
The following loans were approved during the past month:
MJ West Farm LLC was approved for a $400,000, 12-year term loan at a 2 percent fixed rate through Northern Tier Regional Planning and Development Commission to assist in the purchase of a 121-acre farm that includes a 29,750-square-foot hog finishing barn on Minnequa Main Road in Canton Township. The farm has an annual production total of more than 9,000 hogs through six growing cycles.
GeorgeKo Industries, Inc. was approved for a $400,000, 15-year term loan at a 2 percent fixed rate through Enterprise Development Center of Erie County to assist in the acquisition of a 30,880-square-foot warehouse on West 17th Street in Millcreek Township to expand its company. GeorgeKo Industries, Inc. is a family-owned and operated custom injection molding manufacturer serving a variety of industries including automotive, medical, and construction. The company will retain 25 full-time employees and plans to create nine additional full-time jobs within three years.
Logistics Plus Inc. was approved for a $386,500 15-year term loan and a $248,500 five-year term loan, both at a 2 percent fixed rate, through Enterprise Development Center of Erie County to assist in the renovation of an additional 25,968 square feet and acquisition of machinery and equipment on Peach Street in Erie. Logistics Plus Inc., established in Erie in 1996, has grown to become a leading worldwide provider of transportation, warehousing, logistics, and supply chain solutions. The additional space, which will help the company create a global control tower to better serve its clients, will result in the retention of 123 full-time jobs and the creation of 44 new full-time jobs within three years. Logistics Plus Inc. received a funding proposal from the Department of Community and Economic Development for $88,000 in Job Creation Tax Credits to be issued after the new jobs are created. The project was coordinated by the Governor’s Action Team, an experienced group of economic development professionals who report directly to the governor and work with businesses that are considering locating or expanding in Pennsylvania, with the assistance of the City of Erie’s Department of Economic and Community Development.
New Holland Transport Inc. was approved for a $1.025 million 15-year term loan at a 2 percent fixed rate through EDC Finance Corporation to assist with a real estate and construction project for a cold storage facility, truck shop, and truck storage shed on Muddy Creek Road in East Cocalico Township. Though the project, New Holland Transport Inc., a refrigerated transportation common carrier founded in 2000, will retain 25 current employees and create three additional full-time jobs within three years.
Justin M. Strasser LLC was approved for a $218,250 15-year term loan at a 2 percent fixed rate through Lehigh’s Economic Advancement Project Inc. to assist in the acquisition of a 15,000-square-foot manufacturing facility for the Campbell and Strasser custom cabinetmaking business on Clewell Street in Fountain Hill. The company will retain six full-time employees and expects to create an addition four full-time jobs within three years.
PIDA is an independent authority staffed and regulated through the Department of Community and Economic Development. The authority provides capital for building acquisition, construction and renovation work, machinery and equipment loans along with working capital lines of credit, primarily for manufacturers, industrial developers, research and development firms, agricultural processors, and employers looking to establish national or regional headquarters in Pennsylvania.
PIDA continues to offer eligible qualified applicants a fixed interest rate of 2 percent for real estate financing, equipment loans, and 12-month periods for working capital and accounts receivable lines of credit for a limited time.