The City of Muscatine and three local banks, Central State Bank, First National Bank of Muscatine, and Community Bank and Trust, have partnered to launch a new loan program to assist property owners in Muscatine’s downtown to make improvements to their buildings and properties.
The program was born out of the need to stretch grant dollars for a specific downtown project so it could design, construct or upgrade the rear sides of a select few downtown buildings to take advantage of riverfront views that exist.
The local banks are committed to the City of Muscatine’s downtown and have set aside $1,000,000 for this loan program.
Property owners will first work with City of Muscatine staff to detail the improvements to be completed with a building improvement plan. With the City’s approval, applicants can approach the three lending institutions to secure funds for their improvement project. Loans will receive a fixed rate at 1% below prime for the first three years with a variable adjustable rate thereafter for a term no longer than 10 years. The initial district for these loans will run 12 City blocks. The loans will be a minimum of $5,000, and borrowers will still be subject to the banks normal credit standards.
Most improvements are eligible; however, there are some improvements that are ineligible such as no signage, inventory or modifications that take away from the historic character of the property and historic district.