WASILLA -- A nearly $2.3 million loan from the Alaska Industrial Development and Export Authority will provide long-term financing of a new building along Palmer-Wasilla Highway that already houses a Petco store.
The $2,295,000 loan represents 90 percent of a $2.55 million loan brought to the state public corporation by Wells Fargo Bank, according to an AIDEA news release. AIDEA doesn't originate loans but can purchase up to 90 percent of a commercial loan to a maximum of $20 million provided it's sponsored and originated by an eligible financial institution.
The loan is to Summit Fund LLC for the 11,400-square-foot single-story retail building fully leased to Petco, the release says. The project led to 50 construction jobs and 12 permanent positions.
The AIDEA board approved the loan last week.
It comes after the building is already constructed and occupied because AIDEA doesn't do construction funding, AIDEA spokesman Karsten Rodvik said in an email. "The bank does the short-term construction financing. We come in at the end and take on the long-term financing."
The authority's Loan Participation Program provides the benefit of long-term fixed or variable rate financing on the portion of the loan purchased by AIDEA, according to the release.