COUNTY UTILITY LOAN PROGRAM
The County Utility Loan Program (CULP) provides financing for private and municipal water companies to upgrade and improve service in Los Angeles County.
How May I use Funds?
Loan proceeds may be used to rebuild facilities damaged by a disaster, to increase service delivery and capacity or to finance upgrades for hazard mitigation.
How Much Can I Borrow?
Loan amounts range from $25,000 to $1,000,000. Applicants may be required to inject 10% of the total project cost.
Who is Eligible?
Loans are available to private water companies and public water organizations located in Los Angeles County.
What is the Current interest Rate?
Rate currently set at 1% above prime.
What is the Loan Fee?
The current loan fee is 2 points. In addition, the borrower will pay the costs associated with closing the transaction. These costs may include the preparation and filing of Uniform Commercial Code (UCC) documentation and/or Trust Deeds.
What are the Loan Terms?
The term for repayment will generally be based on the useful life of the assets being financed. Typically, working capital may be financed for 5 - 7 years, equipment/machinery for 7 - 10 years, and real estate for 15 - 20 years.
Is Collateral Required?
Collateral is required. The applicant must be willing to pledge collateral owned by the business or its principals. The CULP will take a security interest in available assets and guarantees as appropriate.
Contact:
Iris Alvarado, Senior Loan Officer
E-mail: Iris.Alvarado@lacdc.org
Phone: (323) 890-7044
Fax: (323) 890-8575
Rodolfo Quiroz, Loan Officer
E-mail: Rodolfo.Quiroz@lacdc.org
Phone: (323) 890-7202
Fax: (323) 890-8575