Hercules Business Attraction Grant 2.0 –
Tiered Incentive Program
A. Eating & Drinking Establishment Grant Program Eligibility • The vacant space must be less than 5,000 square feet
• The business is a brick-and-mortar, for-profit, sales tax-generating businesses in one of the following categories:
o Restaurant
o Café (if the café comprises a majority of the space/operation, or if the café is the primary use and not incidental to another use)
o Wine bar
o Brewery or taproom
o Craft distillery
• The business must lease/rent their commercial property directly from a landlord. • The business is either independently owned/operated or a locally owned franchisee (i.e., local outlets of chains or franchises that are headquartered outside of the nine-county Bay Area and/or have more than six locations are not eligible)
• The business must provide a matching move-in expenditure equal to or greater than the grant amount.
• The maximum grant amount is $20,000 for spaces less than 1,500 square feet and $30,000 for spaces between 1,500 and 5,000 square feet. • A maximum of $50,000 is available for new grants in this category
B. General Business Attraction Grant Program Eligibility • The vacant space must be 5,000 square feet or larger
• The business is a brick-and-mortar, for-profit, sales tax-generating businesses in one of the following categories:
o Beer/Wine/Liquor Stores
o Books/Periodicals/Music Stores
o Clothing/Shoe Stores
o Department Stores
o Drugstore/Health/Personal Care
o Electronics/Appliances
o General Merchandise
o Grocery Stores
o Hobby/Games/Toys
o Jewelry/Luggage/Leather Goods
o Kitchenware/Furniture/Home Furnishings
o Musical Instruments
o Pets/Pet Food/Pet Supplies
o Specialty Food Stores
o Sporting Goods
• Businesses that sell used merchandise and/or accept donations on-site are not eligible
• The business must have a lease in place with a primary term of at least five (5) years, excluding options
• The business may be independently or corporate owned/operated or a franchisee, with no limitations on corporate or franchise ownership • The business must provide a matching move-in expenditure equal to or greater than the grant amount.
• The maximum grant amount is $50,000 for spaces between 5,000 and 15,000 square feet and $100,000 for spaces over 15,000 square feet • A maximum of $150,000 is available for new grants in this category
Submittal Requirements (Both Programs)
• Signed Lease or Letter of Intent (LOI) for a vacant (as of the grant application date) tenant space in Hercules.
• Verification that all required Planning approvals for the business have been granted and applicable appeal periods have expired.
• Pro-forma detailing all construction and move-in expenses required to open the business.
• Grant amount requested and verification by the pro-forma that the grant amount will not exceed 50% of all construction and move-in expenses. • Complete and signed online application which will include:
o Verification that the business is within one of the eligible categories. o For Eating & Drinking Establishments, verification that the business is either independently owned/operated or a locally owned chain (as required under eligibility requirements)
Use of Funds
• Tenant improvements (construction costs)
• Signage
• City, County or Utility permitting and connection fees • Mechanical, Appliance and Equipment Costs
• Furniture and Furnishings
• Computer and Software Costs
Grant payments (up to the amount requested and awarded) will be upon submittal of receipts and/or invoices to HdL every 30 days, with a minimum payment of $5,000 per payment request. Business shall obtain a City Business license and have a Certificate of Occupancy prior to final reimbursement payment.