Growing Lehigh Valley companies can now take advantage a tremendous incentive: rates as low as 2% for real estate and equipment loans.

The state of Pennsylvania has provided updated interest rates for its Pennsylvania Industrial Development Authority (PIDA) program, which provides low-interest loans for eligible businesses that commit to creating and retaining full-time jobs.

Low interest rate PIDA loans are provided through Lehigh Valley Economic Investment Corporation (LVEIC), a Pennsylvania certified economic development organization.  Lehigh Valley Economic Development Corporation (LVEDC) provides administrative support to LVEIC.

“PIDA is an excellent program that enables crucial access to capital for businesses that create or retain jobs in the Lehigh Valley,” said Curt Hoyak, chair of the Lehigh Valley Economic Investment Corporation. “LVEIC and LVEDC are here to minimize the burden and assist companies with the PIDA process, so you can keep your focus on day-to-day business operations.”

For more information or to seek assistance in applying for a loan, request a consultation on the Lehigh Valley Economic Development Corporation website at www.lehighvalley.org.

The new lower interest rates are in effect for loan applications received through September 30, 2019, according to the Pennsylvania Department of Community & Economic Development.

Projects eligible for PIDA financing include:

• Land and building acquisition
• Construction and renovation costs
• Machinery and equipment purchases

Eligible industry sectors include:

• Manufacturing & industrial
• Agricultural processors & producers
• Research & development enterprises
• For-profit medical facilities
• Hospitality enterprises
• Computer-related service enterprises
• Construction & developers

Companies in the Lehigh Valley have been benefiting from low interest rate PIDA loans with assistance from LVEDC or its affiliates for over 60 years.

For example, a manufacturer recently leveraged a $1.1 million PIDA loan to purchase a building, consolidating rented office in New Jersey and manufacturing space in Pennsylvania, and creating 15 jobs in Lehigh Valley.

In another example, a different manufacturer relocated from rented space in New Jersey to a new facility in Lehigh Valley, using a $252,000 PIDA loan to purchase the building, creating nine new jobs.