Developers overseeing the renovation of the American Brewery site in East Baltimore received approval for a $700,000 grant from the city's housing department yesterday.

Two companies, Gotham Development and Struever Bros. Eccles & Rouse, are investing more than $35 million to convert the five-story former brewery into office space for Humanim Inc., a nonprofit social services agency in Columbia.

The city's Board of Estimates unanimously approved a forgivable, no-interest loan for the project, which officials said they hope will spark revitalization in blighted blocks nearby. The development will also receive tax credits.

"We're very excited about this project. Obviously, it's a first-class development," said Paul T. Graziano, the city housing commissioner.