All Predevelopment Loan Program applicants receive programmatic and financial review.
Proposed projects for predevelopment loan funding must have a reasonable chance to proceed to final planning, financing and implementation. Applications must address the following scoring criteria:
- The applicant has site control and has received or is seeking approval for all applicable environmental, zoning, building, planning, and sanitation laws and regulations needed for the proposed project.
- The proposed project has a public purpose or provides clear, quantifiable public benefits.
- The proposed project has demonstrated community support, or a plan to develop such support.
- The applicant has the management, organizational and financial capacity to coordinate and oversee predevelopment activities.
- CDFA’s support is necessary to enable predevelopment activities and to help advance the proposed project to the final stages of planning, financing and implementation. No other funding sources are available to cover predevelopment activities related to the proposed project or, if available, are insufficient to cover all anticipated predevelopment costs.
Predevelopment Loan Program Scoring Rubric
|Project Readiness||Clear timeline defined; all key elements are in place; final financing package nearly complete; closing date set||Tentative timeline defined; most key elements are coming together; some financing secured; tentative closing estimated||Timeline not very clear; early in project development; most project elements still to be completed; little or no financing secured; no closing date|
|Site Control||Affected site is owned, leased or controlled by applicant or affiliate||P&S or other formal agreement in place with tentative closing set||No site control secured, but general agreement with seller|
|Permitting||All relevant permits secured||Some permits secured, others in process||No permits secured, but applications submitted|
|Community Benefit||Multiple benefits for a wide variety of people in the community; project would serve a broad cross-section of residents||Benefits some community residents; project would serve a more-narrow or limited cross-section of the population||Limited community benefit; project would serve a narrow or very limited segment of a community or population|
|Community Support||Strong and documented community support||Some tentative community support, but more work needs to be done||Plan for community input developed but no clear statement of community support yet|
|Management Team||Strong team with experience developing or managing large and complex projects||Good team, some experience with project development and/or management||Good team, but little or no experience with project development or management|
|Organizational Capacity||Organization has positive track record with project development and/or management; strong mission alignment||Organization has done one or more projects in the past; good mission alignment||Little or no previous history with project development and/or management; limited mission alignment|
|Financial Capacity||Strong balance sheet and extensive experience raising capital funds||Good balance sheet, but limited experience raising capital funds||Shaky financial situation or little to no experience with capital projects|
|Need for CDFA funding||No other sources available; CDFA funds will make or break the success of the project, or result in significant savings||Some other funding sources may be available||More than one other pre- development source available but not tapped|
|Intangible/other factors||Strong intangible factors that warrant loan capital||Moderate intangible factors that warrant loan capital||Limited intangible factors that warrant loan capital|