Allison Lamey, Executive Director of The Lowell Plan and LDFC

by Allison Lamey

This year, the Lowell Development and Financial Corporation (LDFC) celebrates its 50th anniversary, marking five decades of commitment to the economic revitalization and growth of the City of Lowell.

Established in 1975, the LDFC was founded to support the economic revitalization of Lowell’s Central Business District by offering low-interest, secondary financing for the historic restoration of downtown buildings. In the years to follow the LDFC has played a pivotal role in fostering entrepreneurship, supporting local businesses, and strengthening the city’s economic fabric.

Like many urban centers in the 1970s, Lowell experienced high commercial vacancies, and declining real estate values.

“Prior to the existence of the LDFC there was little to no capital improvements being made in the central business district and, when they were made, they were done along what I call the plastic, neon, aluminum theme,” recalls George Duncan, Chairman of Enterprise Bank.

Duncan, who then worked at First Bank was a leader in bringing local banks together to create the LDFC.  “The secret was getting people together.” Unlike today, Duncan noted, bank presidents didn’t talk to each other and the business community didn’t interact with city hall.

That all changed when the vision of Lowell as a National Historical Park, championed by Superintendent of Lowell Public Schools Pat Mogan and Senator Paul Tsongas, motivated the lending community to find a way to support the historic restoration of downtown properties.

Founded with seed funding from ten local banks and a contribution from the Center City Committee, Inc, the LDFC’s origins are a testament to the power of collaboration.  In its first five years, the LDFC approved more than 30 loans on downtown properties.  The collaboration of stakeholders meant that for every dollar in LDFC funds in a project, an additional $4 was invested from a combination of other private sources and grants from the city.

The initial capitalization of this loan pool enabled the creation of a revolving loan program, setting the stage for decades of impactful financial assistance. Now governed by a 36-member Board of Directors and an 11-member executive committee, the organization brings the public and private sector together to support the city of Lowell’s economic development goals. “I cannot stress enough how important the cooperation, trust, and mutual respect between the public and private sectors are in making the LDFC successful,” notes Duncan.

Over the years, that public-private partnership has influenced the evolution of the LDFC to meet the changing needs of the community, managing a variety of loan programs tailored to empower individuals and businesses.  These include the First Time Homebuyer Downpayment Assistance Program and the Downtown Venture Fund, which have helped countless residents and entrepreneurs set roots and grow in Lowell.

More recently the LDFC has launched innovative initiatives such as the Incubator Loan Fund, which provides vital financial support to entrepreneurs affiliated with the UMass Lowell’s incubator spaces.  The Launch in Lowell program, another recent addition, supports start-up businesses associated with the EforAll Accelerator Program and the Entrepreneurship Programs at Middlesex Community College.  These forward-thinking programs demonstrate the LDFC’s ongoing commitment to fostering innovation and economic opportunity.

As the LDFC celebrates this milestone anniversary, it reflects on a legacy of partnership, progress, and perseverance. From its early days as a bold idea to its current role as a cornerstone of Lowell’s economic development, the LDFC remains dedicated to creating opportunities and empowering the community.

Stay tuned throughout the year as we spotlight the projects, programs, and people that have shaped the LDFC’s 50-year journey. Here’s to the next 50 years of making Lowell a vibrant place to live, work, and grow!

(Allison Lamey is the Executive Director of The Lowell Plan and the LDFC)