Downtown restaurant taps loan program

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DIXON - Salamandra Restaurant is the latest downtown business to take advantage of infrequently used loan programs offered through the city and Dixon Main Street Inc. Both programs offer low-interest loans to those who want to make improvements to their downtown buildings' exteriors. The city's Facade Loan Program and the Main Street Loan Program each offer borrowers up to $25,000, but can be used in conjunction for twice that amount, said Main Street's Glen Hughes, who worked to combine the two similar programs. Main Street's program, started in 1996, was "hit or miss" and not well promoted, Hughes said. Two years ago, Main Street and the city joined forces to "keep the program alive." "The city's facade program appeared to be complementary," Hughes said. "We just decided that it was time to revitalize it." Main Street now prints brochures about the two programs, advertises them to business owners and helps guide applicants through the process, Executive Director Josh Albrecht said. The programs stipulate that loans be used for improvements such as exterior masonry work, windows, roofing, painting, awnings or - in Main Street's case - heating/air conditioning. Dixon's program is funded through a grant for downtown improvements. Payments made on loans go back into the fund. Main Street's funding comes through local banks, which entered into agreements with the organization. Juana Ayala, owner of Salamandra's, is the only person who has applied for a loan in the past year, Albrecht said. Ayala plans to use about $13,500 to replace windows on the Mexican restaurant's second and third floors. Her loan will be paid back into the city's revolving loan fund over the next 5 years at an interest rate of between 2 and 2.5 percent. To learn more For more information on Dixon's Facade Loan Program and the Main Street Loan Program, drop by the Main Street office at 115 S. Hennepin Ave., e-mail mainst@grics.net or call 815-288-2308.