# Housing and Community Development (GHS)

## Title 4. Division of Development Finance

### Subtitle 2. Community Development Administration

#### Section 4-223

(a) A project qualifies as a business project if the project is:

  (1) located in:

    (i) an area designated as a priority funding area under Sec. 5-7B-02 of the State Finance and Procurement Article; or

    (ii) a qualified opportunity zone designated under Sec. 1400Z-1 of the Internal Revenue Code in Allegany County, Baltimore City, Baltimore County, Charles County, Garrett County, Howard County, Montgomery County, Prince George's County, Somerset County, or Wicomico County; and

  (2)

    (i) acquired, owned, developed, constructed, reconstructed, rehabilitated, or improved by a person or an entity for the purposes of carrying on a business whether or not for profit; or

    (ii) eligible for funding from the Neighborhood Business Development Fund under Sec. 6-310 of this article.

(b) Repayment of principal and interest for a business project may be secured by:

  (1) real property;

  (2) personal property;

  (3) bank accounts;

  (4) certificates of deposit, stocks, and bonds;

  (5) credit enhancement, assurance, or guaranty; or

  (6) any other collateral acceptable to the Administration.

(c) Financial assistance for a business project may be provided as:

  (1) a loan;

  (2) a reduction in the principal obligation of or interest rate on a loan or portion of a loan;

  (3) a prepayment of interest on a subordinate or superior loan or portion of a loan;

  (4) an assurance;

  (5) a guarantee or other form of credit enhancement; or

  (6) a promissory note that may be converted to an equity ownership interest and liquidated at the earliest opportunity to realize the highest market value for the Administration.

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Md. Code Ann., Hous. & Cmty. Dev. (as displayed at mgaleg.maryland.gov, October 16, 2026)