At the future site of The Shops at Riverwood in Hyde Park this morning, Boston Mayor Thomas M. Menino, joined by members of Boston’s development community, announced $15.7 million for the first of three Boston Invest in Growth loans which will enable developments to move forward in three Hub neighborhoods.

The developments include the new shopping center in Hyde Park; a neighborhood market in South Boston and a brand new hotel in the city’s Theater District.

The three projects represent a $230 million economic investment, and are expected to generate more than 650 new permanent jobs and hundreds more construction jobs.

Boston Invests in Growth, a $40 million loan pool made possible by U.S. Department of Housing and Urban Development (HUD) Section 108 funding, was first announced by Menino in a speech to the Greater Boston Chamber of Commerce last winter.

"We created Boston Invests to ensure that downtown Boston and our neighborhoods would not be deprived of important community development," Menino said. "And we’re extremely pleased to be part of the effort to help these developments move forward despite a tough economy. Not only will these projects add to the vitality of their neighborhoods, they will also put hundreds of people to work. Boston Invests is another way we are working to keep Boston’s economy strong."  

The initiative provides mezzanine financing for those projects that have both permanent financing and equity already in place, and city officials are currently working with another nine applicants for funding, and expect to issue additional loans in the coming months.