Blue Island Development Loan Fund

The City of Blue Island has entered an economic resurgence stimulated by the planned leverage of its transportation and natural resources; significant residential development; the restoration of environmentally contaminated properties to new commercial and industrial uses; and tax incentives for revitalization of the City’s traditional ‘main street’ shopping district.

A special loan fund has been developed to help small business owners benefit from this revitalization. This fund offers private funding in conjunction with existing private financing programs to better leverage the benefits of both.

Program Details

Great Lakes Bank has pledged $5,000,000 to the Blue Island Development Loan Fund to facilitate investment in Blue Island. This Fund coupled with an array of sponsored loan and grant programs is intended to provide a low cost financing alternative to conventional commercial lending.

  • ADMINISTRATION:
    • Great Lakes Bank & CenterPoint Small Business Development Center
  • LOAN AMOUNTS:
    • Up to $1,000,000 new construction
    • Up to $500,000 acquisition & rehabilitation
  • LTV: Up to 80%
  • DCR: Minimum 1.0%
  • FEE: 1/4 point plus out of pocket expenses
  • TERM: 60 month balloon
  • AMORTIZATION: Up to 300 months
  • RATE:
    • Variable, LIBOR (90 day) plus 175 basis points
    • Fixed, 5 year US Treasury rate plus 275 basis points

Uses of Funds

Financing through the Fund may be used for any project that will advance the economic development of Blue Island. Targeted uses of the Fund’s capital include:

  1. The rehabilitation of commercial buildings in Blue Island’s Western Avenue shopping district, including restoration of upper floors for office or apartment use.
  2. The establishment of new businesses in Blue Island, particularly in the Western Avenue shopping district, in new retail and industrial complexes under development in northeastern Blue Island, and in Blue Island’s south and west industrial districts.
  3. The modernization or expansion of existing businesses in Blue Island.
  4. Other projects consistent with the Blue Island Economic Plan for Economic Development.

Leveraging Public Funds
In some cases, capital from the Fund may be supplemented or made available on especially favorable terms, through the use of small business financing programs available through agencies of Cook County, State of Illinois or the United States government. These possibilities may be explored with the assistance of the CenterPoint Small Business Development Center.

Technical Assistance and Application

CenterPoint Small Business Development Center will assist Fund applicants in the development of their business plans. A sound business plan will be a prerequisite for borrowing through the Fund. Business and credit planning assistance is available at:

CenterPoint Small Business Development Center
1 University Pkwy, Room C3300
University Park, IL 60466
(708) 534-4929

Great Lakes Bank
13057 S. Western Ave
Blue Island, IL 60406
(708) 503-0400

Decisions to extend credit through the Fund will be made by Great Lakes Bank. Experienced business owners with prepared financial plans may apply directly to Great Lakes Bank for financing.