City Loan in PFR's offer
18 October 2019
The Pomeranian Development Fund has just introduced a new product to its offer – the City Loan. This product is targeted at a wide range of entities, including to municipalities, which will be able to spend the money on financing investment projects located in the cities of the Pomeranian Voivodeship.
- Please be advised that due to the fact that the total estimated value of the City Loans disclosed in the Investment Project Fiches submitted by the Investors significantly exceeded the amount of the City Loan allocation, the recruitment of application documents under the City Loan was suspended in full on November 12, 2019 at 16:00 – according to the method provided for in § 3.3 of the Recruitment Regulations.
- Please be informed that on November 12, 2019, the provisions of the Financial Product Recruitment Regulations – City Loan were updated.
In total, PFR allocates PLN 120 million for this product. The value of a unit loan can be from 300,000. PLN up to PLN 25 million, with a repayment period of up to 15 years for a loan amount not exceeding PLN 5 million and up to 20 years for a loan amount exceeding PLN 5 million. The City Loan may bear interest on market conditions or more favorable than market conditions. A fee of no more than 1.5% of the loan value will be charged for granting it.
The goal may be, among others investments in degraded urban areas, public facilities, cultural infrastructure, facilities for the development of economic functions, monuments and monument sets with their surroundings, improving the quality of public space within urban systems and public transport infrastructure.
The City Loan may be granted by, among others enterprises, public finance sector entities, non-governmental organizations, housing associations and cooperatives, as well as property owners or managers.
Recruitment for a loan consists of two stages. In the first stage, the applicant submits an Investment Project Flashcard, i.e. a form giving a general view of the planned investment. After positive verification by the Pomeranian Development Fund, the applicant is admitted to the second stage, consisting in submitting the City Loan Application with attachments. Based on this document, a loan decision is issued.