The “investment” aspect of the Downtown Investment Authority is preparing to go into high gear.
Applications will be accepted starting 9 a.m. Monday for the $750,000 Downtown Jacksonville Retail Enhancement Grant Program.
“We hope to fund no less than 10 businesses. Maybe 15. Maybe more,” authority CEO Aundra Wallace said Monday during a workshop for potential applicants. “I would like nothing better than to have this $750,000 gone by spring.”
The program is designed to create momentum in recruiting and retaining restaurant and retail businesses in the Northbank core retail enhancement area, south of Church Street between Julia and Market streets. Funds also are available for business incubators and information technology offices.
Grants may be used by property and business owners to pay a portion of the costs associated with renovating or preparing commercial space in older buildings for a tenant.
Renovation projects must exceed $10,000 to qualify for a grant. The authority may grant up to $20 per square foot leased or occupied, but the grant may not exceed 50 percent of the cost of renovation.
Recipients are required to create two full-time equivalent jobs and remain in business at the location for at least five years.
Grants are not available for businesses seeking to change locations within Downtown or for construction of new buildings. Also exempt are adult entertainment venues, single-serving package stores, business-to-business companies, nonprofits and government agencies.
Funds may be distributed as a loan or a grant, secured with a lien on the property if the applicant is an owner or with a personal guarantee from a tenant. At the end of each year during the five-year term of the agreement, 20 percent of the loan or grant is forgiven.
Applicants must submit a business plan, including the concept and target market of the business, the advertising and marketing plan, capital and cash flow analysis, and a summary of the management team’s skills and experience.
The authority will make decisions at its regular meeting on the third Wednesday of each month. Applications will be evaluated on a first-come, first-served basis.
Funds will be transferred only after renovation is complete.
Wallace said the program is intended to bring more businesses to the north urban core — and plenty of space is available.
“Storefront retail is 37 percent vacant,” he said. “That is not good in terms of luring more people Downtown.”
Lisa Goodrich is director of marketing and community engagement for Southeast Group, the developer preparing to renovate the former Barnett Bank Building and the three historic structures at northeast Forsyth and Laura streets.
“It seems to be a well thought-out process,” she said after the meeting. “We have a couple of tenants who would fit this opportunity.”
After the workshop, Office of Economic Development Redevelopment coordinator Jim Klement said the first grant agreements could be signed as soon as February.
More details and applications for the program are available at City Hall, Suite 310.
(904) 356-2466