Sea Isle City will receive a $2.5 million, low-interest loan and a $1 million grant from the federal Economic Development Administration to make road, sewer and drainage improvements to Central Avenue.

Construction is set to begin in September and conclude before next summer, Mayor Len Desiderio said Thursday.

“This should alleviate some of the flooding and make the road much smoother to drive on,” Desiderio said.

The sewer aspect of the project should begin either Sept. 4 or Sept. 10, Desiderio said, and the re-paving aspect of the project should begin in January.

“This is a very, very much needed project,” Desiderio said.