MainStreet Revolving Loan Fund

The Historic Preservation Division makes 1.5 to 3 percent fixed rate loans in cooperation with commercial banks, New Mexico MainStreet of the State Economic Development Department and the USDA Rural Development Loan Assistance Program. These loans are available to restore, rehabilitate and bring up to code any building located within an officially designated MainStreet district in New Mexico.

Overview

Get the Quick Facts about the MainStreet Revolving Loan Fund.

You may also find it helpful to visit the New Mexico MainStreet website and review the MainStreet Loan Fund Standards for Rehabilitation, which must be followed for projects receiving loans.

Eligibility

To qualify for Loan Fund Assistance, a property must be located in a New Mexico MainStreet district and operate as a business or have a business plan. Low-interest loans can be made for a maximum of $75,000 for terms of five-to-ten years or less.

Borrowers must agree to:

  • Repay the loan and maintain the property as rehabilitated, or repaired for at least five years;
  • Maintain complete and proper financial records regarding the property and make them available to the Division on request;
  • Complete the project within two years from the date of the closing of the loan; and
  • Provide to the State sufficient collateral security interest in the property.

Rate of Interest: The MainStreet Revolving Loan Fund contribution shall accrue interest at the rate of 1.5% to 3% per annum; the "lending institution" rate of interest is negotiated between the borrower and the commercial bank, savings and loan, or credit union.

Repayment: In monthly installments with the first installment due within 11 months of the date the loan is closed by the lending institution.

Applying