Buchanan Hotel in Mercersburg gets $200k loan from state, will be franchised by Wyndham
3 May 2023- Department of Community and Economic Development (DCED) Acting Secretary Rick Siger today announced the approval of four new low-interest loans through the Pennsylvania Industrial Development Authority (PIDA) to support business growth in Bedford, Franklin, Lycoming, and Westmoreland counties that will help create and retain 524 total jobs.
PIDA provides low-interest loans and lines of credit for eligible businesses that commit to creating and retaining full-time jobs, as well as for the development of industrial parks and multi-tenant facilities. The new loans approved today build upon Governor Josh Shapiro’s commitment to spurring business growth and making Pennsylvania an economic powerhouse.
Loans can be used for: land and building acquisitions; construction and renovation costs; machinery and equipment purchases; working capital and accounts receivable lines of credits; multi-tenant facility projects; and industrial park projects.
“Governor Shapiro is working hard to create an economy that works for all Pennsylvanians, and the loans provided through PIDA help to make that a reality,” said Acting Secretary Siger. “The projects approved today will help support more than 500 jobs for Pennsylvanians – jobs that help our communities by growing our economy.”
Tram Bar Co-Packing, LLC, through the Altoona-Blair County Development Corporation, was approved for a 15-year $2,250,000 loan at a 3.50-percent reset interest rate to construct a new 30,000-square-foot addition onto their current facility located at Bedford Business Park One, 14 Commerce Court, Bedford. The company will retain 73 jobs and create 30 new full-time jobs within three years. The total project cost is $5,694,570.
Capital Hotels Mercersburg, LLC, DBA James Buchanan Hotel & Restaurant, through the Franklin County Area Development Corporation, was approved for a seven-year $200,000 loan at a 3.50-percent reset interest rate to undergo updates and improvements to the hotel, including painting, updating bathrooms, chandeliers, ceilings, electrical systems, floorings, railings, wallpaper, and expanding the courtyard. Additionally, a two-car garage will be converted into a pizzeria, and new HVAC units will be installed. Furniture, fixtures, and equipment updates will also take place, with new kitchen appliances for the existing restaurant and the new pizzeria, tables and seating for the pizzeria, and updated furniture for the lobby, various rooms, and suites. Finally, the hotel will be franchised with Wyndham Hotels & Resorts, and aggressive marketing strategies will be employed in major metropolitan markets to promote the Hotel as a destination location. The company will retain eight jobs. The total project cost is $412,745.
Chance Aluminum Corporation, through SEDA – Council of Governments, was approved for a 10-year $3,000,000 loan at a 2.50-percent fixed interest rate to complete building modifications at their current site, located at 2475 Trenton Avenue, Williamsport, as well as purchase and install equipment associated with a new tension leveling line that will be added to the aluminum rolling mill operated by the company. The addition of the line will allow the production of coils from common alloys, expanding production capacity and providing a secondary revenue stream. The company will create 113 new full-time jobs within three years. The total project cost is $7,500,000.
New Kensington Advanced Manufacturing Park LLC, through Regional Industrial Development Corporation, was approved for a 10-year $8,000,000 loan at a 3.50-percent reset interest rate to renovate buildings 225-227 within the Park. Once completed, the buildings, totaling 175,220-square-feet, will be leased to Re:Build Manufacturing, LLC, for ten years with a five-year renewal option at the end of the initial lease. Re:Build Manufacturing, LLC, will create 300 new full-time jobs within three years. The total project cost is $30,979,280.
Pennsylvania-based businesses across a variety of industries are eligible to apply for PIDA loans, including: agriculture; manufacturing; industrial; research and development; hospitality; defense conversion; recycling; computer-related services; construction; child daycare; mining; retail and service enterprises; developers.