The Small Business Administration will offer low-interest disaster loans to fire victims.
West Springfield, 5/1/11, Staff Photto by David Molnar -- The West Springfield Fire Department and the State Fire Marshall on the scene of a fatal fire on river St.WEST SPRINGFIELD – The Small Business Administration will now offer low-interest disaster loans to residents and businesses affected by the apartment building fire in West Springfield on April 30.
Sen. John Kerry, a senior member of the Small Business Committee, said the loans are available as part of a disaster declaration that covers Hampden, Berkshire, Hampshire and Worcester counties as well as Hartford, Litchfield and Tolland in Connecticut.
“After a disaster like this, helping families and businesses get back on their feet is job number one. I’m glad the Small Business Administration is stepping up to make these loans available,” Kerry said.
For fire victim Helen Vargas the help is desperately needed.
“I am still looking for a place to live right now,” said Vargas, who is several months pregnant.
Vargas was one of 36 people who lost their homes during the April 30 fire that left several injured and Mikhail Kaprynin, 27, dead. It took firefighters more than 10 hours to put out the blaze that destroyed the apartment complex. The complex also housed Affordable Imports, an oriental rug business.
Vargas said the American Red Cross has helped her with food, clothing and other supplies, but she still needs a new home.
Paige Thayer, deputy director of chapter support for the American Red Cross of Pioneer Valley, said the cost of providing local disaster relief for the River Street fire alone will exceed $23,000.
The loans will benefit both homeowners and renters. Loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate. Homeowners and renters will be eligible for loans up to $40,000 to repair or replace damaged or destroyed personal property.
Businesses and non-profit organizations of any size may borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery, equipment, inventory, and other business assets. Interest rates are as low as 2.6 percent for homeowners and renters, 3 percent for non-profit organizations and 4 percent for businesses with terms up to 30 years.
The agency’s customer service representatives will be on hand at the Disaster Loan Outreach Center to answer questions about the disaster loan program, explain the process, issue applications and help individuals complete them.
Hampden County Massachusetts Emergency Management Agency Region 3 & 4 is located at 1002 Suffield Street in Agawam and will be open May 24 – May 26 from 8 a.m. to 4:30 p.m.