Federal Disaster Loans Approved For Businesses Hit By Boyle Heights Warehouse Fire

LOS ANGELES, CA — Small businesses and nonprofits affected by the June warehouse fire in Boyle Heights can now apply for federal disaster loans, Gov. Gavin Newsom announced Tuesday.

The U.S. Small Business Administration approved California's request for a disaster declaration, opening its Economic Injury Disaster Loan program to eligible small businesses, small agricultural cooperatives and private nonprofit organizations that experienced financial losses tied to the fire.

“The Boyle Heights community has endured tremendous disruption, and we moved quickly to bring every available resource to bear,” Newsom said. “These loans will help local businesses and nonprofits meet essential costs, retain workers, and move forward as the community recovers.”

The declaration covers Los Angeles, Kern, Orange, San Bernardino and Ventura counties.

Economic Injury Disaster Loans provide working capital and are available even if a business or nonprofit did not sustain physical damage. The money can be used for expenses including payroll, fixed debts and accounts payable that could not be paid because of the disaster.

Loans are available for up to $2 million. Interest rates are as low as 4% for businesses and 3.625% for private nonprofits, with repayment terms of up to 30 years.

Interest does not begin accruing and payments are not due until 12 months after the first loan disbursement, according to the state. The SBA will determine eligibility, loan amounts and repayment terms based on each applicant's financial condition.

Agricultural producers, farmers and ranchers are not eligible for the program, with the exception of aquaculture enterprises.

Two Los Angeles-area Business Recovery Centers opened Tuesday to provide in-person assistance with applications.

The East LA/Boyle Heights Business Source Center is at 1780 E. First St. in Los Angeles. It is open from 8 a.m. to 5 p.m. Monday through Friday and from 9 a.m. to 2 p.m. Saturday.

The East LA Entrepreneur Center, also known as Centro Maravilla, is at 4716 E. Cesar Chavez Ave., Building B, in Los Angeles. It is open from 8 a.m. to 4:30 p.m. Monday through Friday.

Walk-ins are welcome, and appointments can be scheduled through the SBA.

Businesses and nonprofits can also apply online at sba.gov/disaster, call the SBA Customer Service Center at 800-659-2955 or email disastercustomerservice@sba.gov.

The deadline to apply for an Economic Injury Disaster Loan is May 14, 2027.