Low Interest Loans

With Assistance from the DDA, local business owners and entrepreneurs can apply for low interest loans through the State of Georgia. These loans are facilitated by the Department of Community Affairs. Loans details are listed below. To qualify for these programs, applicants must contact the DCA before beginning construction or purchasing property. 

Georgia Cities Foundation Low Interest Revolving Loan Fund (GCF)

 Provides low interest loans of up to $250,000 for projects such as real estate acquisition, expansions & rehabilitations, and new construction. The interest rate is below standard market rates, and the repayment period is typically 10-15 years for 40% of the project costs. Projects should encourage spin-off development, create new jobs, promote downtown housing, or add to the cultural enrichment of the community.

DCA Downtown Revolving Loan Fund (DD RLF)

Similar to the GCF Low Interest loan, the DD RLF provides below-market rate financing for up to $250,000 to fund capital projects in historic downtown areas that will spur commercial redevelopment. Funds may be used for acquisition, rehabilitation, new construction, and equipment.

Eligibility Considerations

Consistency with the community’s plan for downtown development

Realistic project budget & timeframe for completion

Public Benefits & Project Impacts

Underwriting Review (Historical Financial formation/Business Plan)


Lending Structure

  • Loan directly to a DDA
  • Loan to a DDA with a simultaneous loan to a Private Business/Developer

Financing Structure

50-40-10 Model

  • 50% Conventional Financing
  • 40% Low-Interest Loan *
  • 10% Owner/Developer Equity

Loan Terms

  • Max Loan amount: $250,000
  • Interest Rate: Below Market (currently 3% for Springfield)
  • Repayment Period: 10 year term with 15-Year Amortization

Loan Security

  • Collateral: Project Property 2nd lien position behind the bank
  • Personal guarantees are normally required

*As long as the 40% maximum amount is not exceeded, the GCF and DD RLF Funds can be combined to offer a potential funding amount of $500,000 towards a qualifyting project. 

Springfield Downtown Development Authority
130 S. Laurel Street
Springfield, GA 31329
(912) 754-7617