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Read the press release here.

Federal Government Giving Low-Interest Loans to East Village Blast Victims

By Lisha Arino | May 1, 2015 4:17pm
 Workers sift through rubble the day after an explosion leveled an apartment building on Second Avenue and 7th Street, March 27, 2015.
Workers sift through rubble the day after an explosion leveled an apartment building on Second Avenue and 7th Street, March 27, 2015.
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DNAinfo/Ben Fractenberg

EAST VILLAGE — Residents and business owners affected by the East Village explosion that killed two men and razed three buildings can apply for low-interest federal loans to help offset their losses.

Eligible applicants can receive up to $40,000 to $2 million to help fix or replace real estate, personal property and equipment or for working capital until normal operations resume, Gov. Andrew Cuomo's office announced Friday.

“The East Village explosion was a terrible tragedy — one that cut short the lives of two young men and disrupted the lives of many other New Yorkers — but today we are continuing to recover and build back stronger,” Cuomo said in a press release announcing the loans.

The loans, issued by the U.S. Small Business Administration, have interest rates as low as 1.813 percent for homeowners and renters, 2.625 for non-profit organizations and 4 percent for businesses, with terms of up to 30 years, according to the announcement.

Loan amounts and terms are set by the SBA and based on each applicant's financial condition, it said.

The SBA and the city’s Office of Emergency Management said 20 homes and five businesses sustained major damage in the blast, according to the announcement, while nine homes and 16 businesses suffered minor damages.

Those interested in the loans can find more information and apply for loans at a Disaster Loan Outreach Center located in Community Board 3’s district office at 59 E. Fourth St., where representatives from the SBA will be on hand. The center opens on May 5 and will run through May 14 from 9 a.m. to 6 p.m. on weekdays and from 9 a.m. to 1 p.m. on Saturday.

Information and applications are also available online.

Physical property damage applications must be filed by June 29 while economic injury applications need to be in by Jan. 28, according to the press release.

The loans are another option for residents and businesses still struggling to get back on their feet.

Many of them turned to online fundraising sites for financial help immediately after the explosion. The Renaissance Economic Development Corporation also offered low-interest loans to small businesses directly impacted by the explosion and street closures.

Elected officials, CB3, the Lower East Side Business Improvement District have also launched a website to collect money for the Mayor’s Fund to Advance New York City as well as donations specifically for impacted businesses.

The state also launched an emergency loan program for small businesses affected by the Harlem gas explosion last year. However, the $425,000 emergency fund was $90,000 less than the announced amount and local mom-and-pop shops said they had yet to receive any money from the program.