DCED Announces 54 New Jobs, New Low-Interest Loans Approved Through Pennsylvania Industrial Development Authority

PIDA Loan Program Currently Offering More Competitive Fourth Quarter Rates

News provided by

Pennsylvania Department of Community & Economic Development

Oct 07, 2015, 01:04 ET

HARRISBURG, Pa., Oct. 7, 2015 /PRNewswire-USNewswire/ -- Department of Community and Economic Development Secretary Dennis Davin today announced that new state investments through the Pennsylvania Industrial Development Authority (PIDA) program will support the continued growth of Pennsylvania businesses that are projected to create at least 54 new jobs and retain 186 more positions.

This month more than $10 million in low-interest loans for nine projects were approved through the PIDA program. Projects approved in Allegheny, Berks, Chester, Columbia, Dauphin, Lancaster, Westmoreland, and York counties will generate more than $37.6 million in total investments.

"The projects announced today through the Pennsylvania Industrial Development Authority are perfect examples of the public sector's support for private sector growth and job creation," said Davin. "The pro-business climate supported through Governor Wolf's proposals paired with the competitive rates currently offered through PIDA offer unprecedented circumstances for small business success in Pennsylvania."

In 2015, PIDA has approved $44.8 million in low-interest loans that have resulted in $98.5 million in private investment and supported nearly 2,500 created and retained jobs.

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 line of credit loans, primarily for manufacturers, industrial developers, research and development firms, agricultural processors and employers looking to establish national or regional headquarters in Pennsylvania.

PIDA is currently offering extremely competitive interest rates due to recent market changes.

Qualified applicants are eligible to select either a reset rate of 2.50 percent for the first seven years or a fixed rate of 3.50 percent for real estate financing, 3.50 percent fixed rate for equipment loans, 3.50 percent fixed rate loans for a 12-month period for working capital and accounts receivable lines of credit, and 2.00 percent fixed rate for pollution prevention and energy efficient loans. Rates will be in effect for loan applications received through Dec. 31, 2015.

The following PIDA loans were approved over the last month:

Allegheny County
The Regional Industrial Development Corporation of Southwestern Pennsylvania was awarded a $5,000,000, 15-year loan at 2.75 percent for the renovation of the former LTV Coke and Eliza Works Coke Plant located in Pittsburgh's Hazelwood neighborhood. Funds will be used for building's environmental remediation, rehabilitation of the roof, interior, and the construction of a 60,000-square-foot building within the existing structure, which will become leasable flex-office space for small, growing technology-related industries. The project is the first phase of a three phase effort to develop the site and is considered a catalyst project for the overall development of a 178-acre industrial park. Total project cost is projected to be $25,250,635.

Berks County
The Greater Berks Development Fund was awarded a $1,336,349, 15-year loan at 2.75 percent, on behalf of Targeted Solutions, LLC to construct a 31,400-square-foot addition onto its existing facility in Cumru Township. The full-service direct mail company has been growing since it began operations in 2008. The new addition will accommodate Targeted Solutions' continued growth and allow for future expansion. The addition includes production space and office space. Total project cost is projected to be $2,672,698, and will create two new jobs and will retain 40 existing positions.

Chester County
The Chester County Economic Development Council was awarded a $633,689, 15-year loan at 3.75 percent, on behalf Oakshire Mushroom Farm, Inc. to acquire a 23,300-square-foot building in Penn Township. Oakshire, which grows, packages, and processes a variety of mushroom species, currently leases two properties for its shiitake log production and powder production plants. This project will allow the company to purchase one building to house both processes, allowing for better truck access and expansion of its shiitake mushroom production to meet customer demand. It will also allow the company to eliminate leased buildings and consolidate its entire operation to two buildings located within 10 miles of one another. Total project cost is projected to be $1,425,801, and will create 10 new jobs and will retain 12 existing positions.

Columbia County
The SEDA-Council of Governments was awarded a $273,000, 15-year loan at 3.75 percent, on behalf of Rosalie Zaginaylo for the construction of a dairy barn in Briar Creek Township. Currently, Zaginaylo manages a small dairy operation on her father's 555-acre farm. She plans to purchase a 133-acre parcel and construct her own dairy barn, which at full capacity will hold 85 dairy cows. Total project cost is projected to be $873,000.

The SEDA-Council of Governments was awarded a $199,950, 15-year loan at 2.25 percent, on behalf of Mechantech, Inc. and Ramcom LLC, to construct a 10,000-square-foot building in Locust Township. Mechantech specializes in the installation of satellites and dish communication systems throughout the United States. The new building will allow all company operations to be located in one facility to improve company efficiency. Total project cost is projected to be $508,211 and will retain 15 existing positions.

Dauphin County
The Capital Region Economic Development Corporation was awarded a $673,440, 15-year loan at 2.75 percent, on behalf of Scratch Made Awesomeness, LP to acquire and renovate a 22,400-square-foot building in Swatara Township. This project will allow the company to expand its food preparations and commissary operations to produce more consistent products and enable larger production levels, which will cut down on time spent on products made from scratch in kitchens. The new building will also house the corporate headquarters for the franchising operations, and provide a storage and packing area. Two unrelated tenants will occupy 5,688 square feet of the project property. Total project cost is projected to be $1,735,819, and will create 14 new jobs while retaining seven existing positions.

Lancaster County
The EDC Finance Corporation was awarded a $182,500, 15-year loan at 3.75 percent, on behalf of Revolution Builders, Inc. to purchase and renovate a 11,038-square-foot, mixed-use facility in the City of Lancaster. This project will allow the company, which provides building contractor services, to move from its leased space. The property has two additional commercial spaces and two residential apartments that will generate rental income. The total project cost is projected to be $425,000, and will create five new jobs while retaining five existing positions.

Westmoreland County
The Southwestern Pennsylvania Corporation was awarded a $190,000, 15-year loan at 3.75 percent, on behalf of Quality Mould, Inc. for the purchase of real estate and machinery located in Unity Township. The project will allow the company, which manufactures molds primarily for the glass industry, to keep up with customer demand. The project includes a 21,614-square-foot building on 3.44-acres, warehouse racks, crane, compressors, and an air-drying system. Total project cost is projected to be $1,675,000, and will create three new jobs while retaining 23 existing positions.

York County
The York County Economic Development Corporation was awarded a $1,525,000, 15-year loan at 2.75 percent, on behalf of L&W Apparel Co, Inc. for the construction of an 8,500-square-foot mezzanine in its existing warehouse area, the purchase of an adjacent one-acre property, and construction of a 28,600-square-foot addition in Penn Township. The addition will be used as a warehouse, and 15,000 square feet of the existing 20,000-square-foot warehouse area will be converted into manufacturing space. Total project cost is projected to be $3,050,000, and will create 20 new jobs while retaining 84 existing positions.

For more information about the Pennsylvania Industrial Development Authority, visit www.newpa.com.

MEDIA CONTACT:
Dan Carrigan, DCED, 717-783-1132

SOURCE Pennsylvania Department of Community & Economic Development