The Calvert Farmland Trust has applied for $500,000 from the county's $1 million revolving loan fund to preserve an 111-acre farm on Hutchins Road in the central part of the county.

The farm has already been subdivided into 35 lots. County planners say the privately run Calvert Farmland Trust intends to buy the farm, sell most of the development rights, create four 20-acre lots and sell the remaining land to farmers.

The trust is the first to apply to the loan fund since the Calvert commissioners amended rules last year to make the money more easily available to land trusts. The trust would have five years to repay the loan.

The county commissioners will hold a public hearing before making a final decision on the loan, but they have indicated early support for the project. The county would receive a 1 percent administrative fee on the loan but no interest.

"It's a rarely used fund, and I'm glad to see someone come in and use it," Commissioner David F. Hale (R-Owings) said. "Any time we can turn 35 houses into four and it costs us nothing but a little bit of money for a few years, it's a good deal."