2005 Section 108 Project Summary - North Carolina

Economic Development

Downtown Commercial Loan Project
BORROWER: GASTONIA
STATE: NC
SECTION 108 LOAN GUARANTEE AMOUNT: $1,000,000

Gastonia will use the Section 108 guaranteed loan to establish a Downtown Commercial Loan Program. The program is intended to stimulate economic development in the city's Central Business district by financing the redevelopment of deteriorated properties which will provide commercial space for businesses that will provide goods and services to low- and moderate-income persons. New jobs created as a result of this lending activity will primarily be held by or made available to low and moderate-income persons.

South Elm Street Project
BORROWER: GREENSBORO
STATE: NC
SECTION 108 LOAN GUARANTEE AMOUNT: $3,000,000

Greensboro will use its Section 108 Guaranteed Loan in conjunction with a $2,000,000 HUD approved Brownfields Economic Development Initiative grant, and $200,000 from the Environmental Protection Agency to finance pre-development costs for the South Elm Street Brownfield Development Project. These pre-development activities include acquisition of real property, relocation payments, clearance, demolition and removal, infrastructure upgrades and site preparation of a 10-acre, downtown site that consists of vacant and abandoned properties, many of which are suspected to be contaminated with petroleum and other contaminants. The City's funds will also be used for assessment and remediation environmental contamination before ultimately selling the property for development. Initially a nonprofit organization, Downtown Greensboro, Inc., will coordinate the competitive selection of private developers to redevelop the prepared site into a mixed use of office, retail, and housing space. The city will retain some site parcels as public open spaces.

This project will create an estimated 130 new jobs, 51% of which will be available to or held by low or moderate-income persons. This development complex will also benefit the surrounding low and moderate-income households by eliminating a blighted area.

Uptown Business Revitalization Project
BORROWER: LENOIR
STATE: NC
SECTION 108 LOAN GUARANTEE AMOUNT: $900,000

Lenoir will use the Section 108 Guaranteed Loan to finance a public parking garage and other public improvements as part of its assistance to revitalize the Uptown Business District in support of the Hogwaller Marketplace.

The Marketplace will consist of five buildings that will provide 30,000 square feet of commercial space and retail spaces for twelve businesses, creating 24 new jobs of which at least 51% will be held by low and moderate-income persons. The city will acquire properties between Church Street and Boundary Street. It will provide relocation assistance to displaced tenants, before demolishing the properties and preparing the acquired site to create a 92 space municipal parking facility for customers of the hardware store, restaurants and other retail stores.