Interactive Map
Grants & Loans
Offering economic incentives for investment in the district, these programs help encourage the restoration of facades through rehabilitation and offer loans for small business owners investing in our community and jobs. Through the City’s Community Development department, programs are offered including the following:
The Business Assistance Program provides funding to assist a small business owner in the city limits of Fayetteville with the additional equity or down payment needed in order to qualify for primary financing. The City of Fayetteville’s loan works in conjunction with a primary loan from a bank or other approved lender. The City will offer a subordinated loan up to 25% or a maximum of $125,000 of the total loan funds needed. Loans up to $200,000 will be considered for small businesses acquiring and renovating properties in the downtown historic district.
A small business first applies for a loan at a bank or approved lender. Once the standard underwriting criteria is met and the need for additional funds are identified, the small business may apply for a city loan to provide the gap financing or down payment required for the primary loan. The primary bank or lender must include the City’s potential loan payment in their credit analysis to confirm the small business can qualify for both loans and make a recommendation to the City to consider the small business for the additional loan funds.
This program is designed to promote the revitalization of facades of active for-profit businesses through the rehabilitation of commercial building exteriors and landscapes in any of the City’s redevelopment plan areas. The City of Fayetteville will provide a matching reimbursement grant up to $5,000 for each façade renovated.
The building must be located within the 3,000 acres of the Fayetteville Renaissance Plan area, including census tract 10 or the Massey Hill, Bonnie Doone, Deep Creek Rd., 71st Township, HOPE VI or Murchison Rd. redevelopment areas. The applicant must be the owner or long-term lessee of the property.
The building space design of the project should be sympathetic to the original integrity of the building, compatible with neighboring structures and of a quality that suggests the improvements will last a reasonable period of time. Since part of downtown is a historic district, the Fayetteville Historic Resources Commission must be included in the design review process for those properties located in the downtown historic district. The City Historic Property Manager, Bruce Daws, may be contacted at 910-433-1457 for guidance on a project.
Funds may be used for, but not limited to, brick cleaning and repairing, painting, window and/or door repair and replacement, landscaping, canopies, awnings, signage, lighting replacement or repair, and other permanent improvements to the exterior of the property.
Requirements that apply to all programs:
Job Creation/Retention: Since the programs are federally funded with Community Development Block Grant (CDBG) funds, a HUD national objective must be met that will provide a benefit to low to moderate-income persons along with other federal requirements. Each business that participates with these programs must meet a job creation or retention requirement benefiting a low to moderate-income person.
Davis-Bacon Act: Construction projects that exceed $2,000 and funded in whole or part with federal funds must also comply with the Davis Bacon Act. This act mandates minimum hourly payments to all employees employed on a construction project.
Environmental Review: Projects are also subject to an environmental review process. This process must be completed before an approved project can begin. An environmental review is the process of reviewing a project and its potential environmental impacts to determine whether it meets federal, state, and local environmental standards. This process can take a week to 60 days, depending on the level of review required.
Committee Review: There is a checklist of required documents and program forms that must accompany the completed application for all programs for review by the loan or grant committee. All requests must be approved and a grant agreement or loan documents must be signed by the applicant before the project can begin.
The City reserves the right to deny a grant or loan request by a small business that is not deemed feasible or does not meet a need or desire of the respective community. Non-profit organizations are not eligible to apply.
More Information
For more information on these programs, please contact Michelle Haire, Economic Development Administrator, at 910-433-1596.
And, of course, if you have other questions about opening up your business downtown include other funding sources, commercial or residential spaces and more, feel free to call the Downtown Development office at 910-433-1599.
Other Programs Available
CEED Capital Loan Program: CEED has a local and SBA monies for small businesses. CCLP can help small businesses from 5K-5M, which has funded many downtown businesses from working capital to property purchase and improvements.
