The move will be supported by a $2.7 million loan from ConnectOne Bank, with $1 million from the EDA that OEM plans to use to purchase a 32,000-square-foot industrial space in Roselle Park.
“Together with the EDA, ConnectOne Bank offered us attractive financing options that will enable us to purchase the real estate we need,” OEM Source General Manager Joseph Yusufov said in a release. “This loan allowed for a lower down payment and a more competitive interest rate, both of which will help to preserve precious capital.”
OEM will bring 70 existing jobs with it with plans to hire 10 additional employees over the next two years.
Said EDA CEO Tim Sullivan in a prepared statement: “The Premier Lender Program helps to extend our reach to more businesses like OEM Source to improve access to capital and fuel growth and job creation.”
This is the first ConnectOne loan the EDA has participated with since the bank was added to its list of Premier Lenders earlier this year.
The Premier Lender Program allows the EDA to guarantee or participate in a commercial loan or line of credit to qualifying businesses. In this way, the EDA provides access to lower-cost financing for businesses and reduces the exposure to lenders, allowing increased flexibility.