Economic Impacts of PIDA Real Estate Loans for the Entire Commonwealth*
As a condition of the program, recipient companies pledge to retain and/or create full-time jobs. Loan applications are packaged and underwritten by a network of certified economic development organizations that partner with PIDA to administer the program.
Unlike grants and tax credits that either increase the state's budget or decrease tax revenues, PIDA loans are paid back in full along with interest and commitment fees, which results in a net income for the Commonwealth. The term of PIDA loans during the assessment period averaged ten to 15 years, which is estimated to generate as much as $38.5 million in interest and $1.04 million in commitment fees on loans greater than $400,000.
