Tuesday, October 30, 2007 - 7:05am
MADISON - Mayor Dave Cieslewicz and Ald. Mike Verveer announced today a new acquisition and rehabilitation loan program to help homebuyers interested in living downtown. The new program called the Bassett Small Cap TIF Loan Program can assist potential borrowers in the Bassett area.
Highlights of the program are:
• 10-year forgivable loans up to $60,000.
• Loans at 0% interest.
• Property must be a current rental property that will be converted to owner-occupied.
• Property must contain no more than 3 units upon completion of project.
• Funds can be used for acquisition and/or rehabilitation.
• Borrower must invest a minimum down payment of 3% of purchase price.
"This pilot program will help convert downtown housing back to owner occupancy and it will help protect downtown's historic building stock," said Mayor Dave Cieslewicz. "If it works as predicted we will look to expand it in the future."
Ald. Verveer concurred: "Ever since the adoption of the Bassett Master Plan in 1997, there has been a desire to provide funding for people who would like to buy and fix up an existing rental property to live in."
The program was created through Tax Increment District (TID) 28 through funds generated by new development by thereby creating an opportunity to fund the acquisition and rehabilitation of rental properties to owner occupancy. The program complements other initiatives to enhance the quality of life in one of Madison's strong downtown neighborhoods.
The funds are available on a first-come, first-serve basis through December 31, 2008. For more information go to our website www.cityofmadison.com/homeloans or call Terri Goldbin 266-4223 or Percy Brown 266-6558.Contacts:
- Terri Goldbin, Plng & Cmnty & Econ Development, (608) 266-4223
- Percy Brown, Plng & Cmnty & Econ Development, (608) 266-6558