With a $6 million pre-approved loan from the state, projects at three industrial parks in the Mon Valley are moving closer to reality.

The funding, which comes through the Buildings PA fund, was announced last week and will go to the Regional Industrial Development Corp.

The RIDC runs a number of former brownfield sites in Allegheny County, including Keystone Commons in East Pittsburgh, the Industrial Center at McKeesport and the Duquesne City Center.

Keystone Commons and Duquesne City Center have expansions in the pipeline, and RIDC is in discussions with businesses for a potential expansion in McKeesport.

The two projects still have to be approved by the Legislature before the money is used, said Donald Smith, executive director of RIDC.

But the loan will remove some of the financial barriers created by the poor economy that are standing in the way of the two projects, he said.

"As the financial markets have become more conservative, it's harder to finance large projects," he said. "[The state loan] makes it more attractive both to the tenant and to the financial market. In today's financial market, these kind of funds are critically important."

Expansions mean new businesses, which mean more jobs for Mon Valley residents, he said.

At Keystone Commons, where 90 percent of the 2 million square feet of reused office and industrial space is currently leased, two new "office flex" buildings, which could be used either for office space or for light industrial manufacturing, are in the works.

Mr. Smith said his organization will not build the expansions until it has landed a tenant for both buildings.

And at the Duquesne City Center, a permitting issue with the Pennsylvania Environmental Protection Agency is holding up construction of a 20,000-square- foot "flex" building, Mr. Smith said. That building will be built even if a tenant cannot be found first.

With the loan, Mr. Smith said, the plan for building is closer to reality. Additionally, a flyover ramp under construction that will span the railroad tracks that currently bind the site also will make the site more appealing because potential tenants won't have to wait for passing trains.

Duquesne Mayor Phil Krivacek said he's excited about the prospect of more jobs in his city.

"It's always been my contention that everything has to move up the river. We're hoping that Duquesne and McKeesport benefit from [the loan]," he said.