Business Oregon is now accepting applications for the 2026 Industrial Site Loan Fund (ISLF), a $25 million deferred loan program designed to help municipalities and private businesses prepare industrial land for development across the state.
The Request for Applications (RFA) opens July 8, 2026, at 8:30 a.m. PDT and closes Thursday, September 3, 2026, at 5:00 p.m. PDT. Eligible applicants include Oregon cities and counties, ports, tribal councils, airport districts, and private property owners partnering with a public entity on its industrial site.
This new program is a result of Governor Kotek’s proposed legislation last legislative session and helps address needs around industrial land development that are highlighted in the Governor’s Prosperity Roadmap to grow Oregon's economy, retain and expand Oregon businesses, and accelerate job creation statewide. Governor Kotek testified before the Legislature in February 2026 in support of House Bill 4084, which advanced industrial site readiness as part of her economic development package, and signed the bill into law in April 2026.
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“Economic growth starts with preparing Oregon’s communities for opportunity,” said Sophorn Cheang, Director of Business Oregon. “By investing in tools such as industrial site readiness, we are strengthening the economic foundation that allows communities to attract new business investments, support existing businesses as they expand, create jobs, and compete for opportunities statewide. The Industrial Loan Site Fund is one of the efforts helping Oregon build the strong, diverse economy our state needs for the future."
The Oregon Legislature allocated $25 million to the ISLF for the current biennium to support industrial land development that strengthens Oregon's competitiveness for manufacturing, food processing, clean technology, semiconductor, and other traded sector uses.
Loan types and eligible projects
Applicants may apply for one of two funding types:
- Planning projects: for land-use planning, engineering, feasibility studies, surveys, and related pre-development work. Forgivable loans of up to $250,000 will be considered.
- Development projects: for site acquisition, infrastructure, environmental remediation, construction, and related improvements. Loans of up to $4 million will be considered.
The minimum award per project is $25,000. Loan repayment may be deferred for up to five years, with a maximum loan term of 30 years or the useful life of the project, whichever is less.
Application evaluation and timeline
Applications will be evaluated on criteria including project readiness, sound budget estimates, potential for site readiness and business investment, leverage of outside funding, and alignment with local or regional economic development plans. A full scoring matrix and eligibility details are available in the RFA.
Applicants are encouraged to review the complete RFA for eligibility requirements, application materials, and submission instructions at: www.oregon.gov/biz/programs/ISLF/.
Questions about the RFA are due no later than Friday, July 24, 2026, at 5:00 p.m. PDT, and responses to those questions will be posted to the website by Wednesday, August 5, 2026. Business Oregon anticipates issuing Notices of Award in mid-to-late October 2026.
