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Loans & Grants

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Use of CDC/504 Loan Proceeds

A 504 loan can be used for:

  • The purchase of land, including existing buildings

  • The purchase of improvements, including grading, street improvements, utilities, parking lots and landscaping

  • The construction of new facilities or modernizing, renovating or converting existing facilities

The purchase of long-term machinery and equipment

A 504 loan cannot be used for:

  • Working capital or inventory

  • Consolidating, repaying or refinancing debt

  • Speculation or investment in rental real estate

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