Incentives

Financial Assistance

The following tools are available to enhance the residential, commercial, industrial, and manufacturing base in the City of Princeton:

Revolving Loan Fund Program:  The City provides gap financing for business start-ups and expansions, including equipment purchasing, land purchases, building renovations, etc.

Small Cities Development Program:  Interested in rehabilitating your commercial or residential property?  Assistance is available in the form of 0%, ten-year loans (that turn into grants after ten years of ownership).  Express your interest to city staff today!

Tax Abatement:  The waiver or forgiveness of all or part of local property taxes for a prescribed period of time.  The City can forgive up to $200,000 per year city wide. Partnerships with the County are available.
General Information: What is Tax Abatement.   City Of Princeton Policy: Tax Abatement Policy
Tax Abatement Application Form

Tax Increment Financing (TIF): A tool used to create public and private investment in redevelopment or housing that uses increased or captured taxes to pay for land improvements and acquisition.  Primarily available for affordable housing and various industrial uses, with some exceptions.  Must meet “but for” test.  General Information: TIF Overview Types of TIF Districts: Housing TIF, Redevelopment TIF, and Economic Development TIF
TIF Application Form

MN DEED (Minnesota Dept. of Employment and Economic Development) Programs:
Business Financing Programs / Minnesota Department of Employment and Economic Development

Incentive packages through a combination of programs are available.  Please contact the Community Development at 763-389-2040 or stop in City Hall if you are interested in learning more about these and other programs available.  Economic Development staff looks forward to working with you!

East Central MN Regional Business Assistance Directory:  ECRDC Business Assistance Directory