The Capitol Heights Town Council passed a resolution two weeks ago to make available $15 million in industrial revenue bonds to Laskin Associates of Landover for completion of the London Woods subdivision.
The bonds will allow Laskin Associates to obtain a tax-free loan of $15 million from a credit union or bank, town consultant Eugene A. Zamer said.
Laskin Associates must find a lender to be approved by the Town Council. The tax-free status of the loan should be an incentive to potential lenders, Zamer said.
Construction of London Woods has been started, but the original developer defaulted on a loan from the Department of Housing and Urban Development. Nearly 100 of the planned 679 town houses have been built. Laskin Associates has agreed to pick up where the original developer left off.
In other business, the Town Council appointed a review committee for its federally designated enterprise zone, bounded by East Capitol Street, Central and Southern avenues and part of the town's eastern limits.
Enterprise zones are sections of economically depressed areas to which the federal government is offering tax breaks for business development.
The review committee is to handle applications from those who wish to participate in program and to recommend to the Town Council which businesses should locate in the zone.
Members of the committee are Ralph A. Lange, assistant town manager; Debbie Johnson, project assistant; Mayor Leo P. Forami; Joseph Edward, director of the Prince George's County economic development agency; and Town Council member William Devine Jr.