Governor Cuomo Announces Low-Interest Small Business Loans Available to Brooklyn Residents and Businesses Affected by Six-Alarm Fire in April
Governor Andrew M. Cuomo today announced the U.S. Small Business Administration has granted his request for a Physical Disaster Declaration for Kings County following a six-alarm fire in Brooklyn that resulted in damage to 54 homes and 18 businesses/non-profits totaling more than $6.9 million in damage. With the declaration granted, those individuals, families, businesses and non-profits affected are now eligible to apply for low-interest loans from the Small Business Administration to aid in their recovery.
"This six-alarm fire displaced families and disrupted businesses in this Brooklyn neighborhood, but the recovery process is moving forward," Governor Cuomo said. "These low-interest loans will help Brooklyn residents affected by this devastating fire make necessary repairs and get the assistance they need to get back on their feet and build back their homes and businesses."
Small Business Administration (SBA) loans provide aid to eligible homeowners, renters, businesses and others that need financial support following emergencies or weather-related disasters. Following the fire, staff from the SBA, the New York State Division of Homeland Security and Emergency Services and New York City conducted a thorough assessment of the damages related to this incident. This assessment confirmed that there was major damage to 32 homes totaling $1,095,000, as well as minor damage to 22 homes and 18 businesses/non-profits totaling $660,000 and $5,220,000, respectively.
The following groups may be eligible for help from SBA loans:
- Homeowners: up to $200,000 to repair or replace damaged or destroyed real estate.
- Homeowners and renters: up to $40,000 to repair or replace damaged or destroyed personal property.
- Business owners: up to $2 million for the replacement of real estate, inventories, machinery, equipment and other physical losses.
- Businesses and non-profits: Economic Injury Disaster Loans of up to $2 million to provide necessary working capital until normal operations resume after a disaster.
New York State Division of Homeland Security and Emergency Services Commissioner Patrick A. Murphy said, "When disaster strikes, the pain doesn't simply end when the immediate emergency is over. Many times, the financial toll of a disaster can leave the longest lasting impact. Thanks to the partnership and hard work of agencies across state, federal and local governments, those who were impacted by this terrible fire will have the resources they need to recover."
Interest rates can be as low as 2.063 percent for homeowners and renters, 2.75 percent for non-profit organizations and 4 percent for businesses, with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant's financial condition.
Individuals and businesses may apply online using the Electronic Loan Application via SBA's secure website at https://disasterloan.sba.gov/ela.
Individuals and businesses may also obtain information and loan applications by calling the SBA's Customer Service Center at 1-800-659-2955 or 1-800-877-8339 for the deaf and hard-of-hearing, or by emailing [email protected]. Loan applications can also be downloaded atwww.sba.gov/disaster. Completed applications should be returned to the Center or mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
The filing deadline to return applications for physical property damage is August 23, 2019. The deadline to return economic injury applications is March 24, 2020.