Development Assistance

Retail Retention and Improvements Loan Program

Creating healthy vibrant neighborhoods and business districts throughout the City

The Portland Development Commission (PDC) makes loans to assist retail businesses in order to encourage successful retail districts within Urban Renewal Areas (URAs).

Retail businesses are sales and service firms that are involved in the sale, lease or rent of new or used products to the general public. Retail Retention and Improvement Loans are used to

• attract new destination retailers
• attract key retailers to commercial corridors outside the downtown area
• retain existing key retailers to a retail area
• infill or improve the quality of retailers at catalytic locations

Generally, the loan provides flexible terms to fill financial gaps and make a project financially feasible. Because funds are limited and insufficient for all projects, PDC may focus its scarce resources on certain areas within a URA.

Eligible Uses of Funds
Funding for this program is through tax increment financing (TIF) and, therefore, is tied to the infrastructure and physical improvements (including tenant improvements) of real estate projects within URAs.

Eligible Borrowers
Property owners and lessees (with property owner’s consent) that are:

• Destination retailers – attracts customers regardless of its location or size, as opposed to a business that relies on convenience of location to attract customers.
  May be a local or national retailer, without a current presence in the downtown retail core.
• Key retailers – may be a locally-owned or national retailer. Usually the retailer offers high-quality or unique merchandise and/or presentation, and has usually been operating for at least 5 years.

The Borrower must occupy at least 75% of the property that is improved.

Retail uses that are specifically excluded from this product are franchised fast food restaurants, franchised convenience stores, and liquor stores.

PDC may designate a proportion of the annual budget in each URA for assistance to retail businesses with fewer than 50 employees.

Service Area
All URAs, as funding is available.

To Apply
Applicants must complete a PDC Business Loan Application and provide the additional documents detailed on the application form.

This program is one of many financial assistance products offered by PDC, and staff is available to help you find the business tool that best fits your need.  Those interested in the program should contact Becki Marsh by e-mail or at 503-823-0308.