Dallas Tornado Victim Says SBA Loans Could Help Those Affected Rebuild

DALLAS (CBSDFW.COM) — Randal Colling toured what's left of one of the four commercial buildings he owns in West Dallas pummeled by last month's EF-3 tornado.

"The gas lines are gone, everything's gone... The lights are gone, it's just gone," Colling said.

Before, he had 36 tenants paying rent — Now, Colling said no one is, yet he still owes more than $1.7 million for the buildings.

"I got a mortgage payment, I got a family. I got no income," he said.

Colling said he's in limbo as he waits to hear from his insurance company.

He hopes to rebuild.

On Monday, he went to the Bachman Lake Branch Library, where the Small Business Administration opened an office to help tornado victims like him determine whether they can qualify for low interest loans.

The office will remain open for as long as the State of Texas requests.

Business owners could qualify for loans up to $2 million at an interest rate as low as 3.875%, while non-profit agencies could also be eligible to borrow up $2 million at an interest rate as low as 2.75%, the agency said.

The SBA said homeowners could borrow as much as $200,000 for damages against their houses, and receive interest rates as low as 1.5%, but the loans and interest rates vary on the borrower.

Homeowners could receive up to $40,000 in loans at the same interest rate for damages inside their house and for their vehicles. Renters can also borrow as much as $40,000 at an interest rate as low as 1.5%.

Those who have insurance are eligible to receive the SBA loans, but a duplication of benefits is not allowed — meaning anything received from the insurance company would be subtracted from what people are able to borrow from the government.

Colling said it would make a very big difference because he's expecting some money to come back from the insurance company.

"By the time my lender takes their cut, there won't be enough," he said. "I won't be able to do anything. I'd be able to rebuild. It's the difference between rebuilding or not."

Making repairs, Colling said, could cost up to $7 million dollars, and that it will take time to determine whether he qualifies for the SBA loan. But he remains thankful that he saved money over the years.

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