TROY — The city of Troy’s Community Development Block Grant committee approved two small business loans for the new tenants of the city’s Marina building on Thursday.
On Tuesday, the city’s Community Improvement Corporation approved the leases for Smith’s Boathouse Restaurant and Adventures on the Great Miami to utilize the recently renovated marina building.
Ron and Larry Smith have requested a 10-year, $150,000 small business loan.
According to a memo from Jim Dando, loan officer, Ron Smith owned and operated a restaurant business in Hawaii for several years. Larry Smith owns the local Greentech business in Troy. The brothers also grew up in the restaurant business when their father who operated the original “Brewery” restaurant in Troy.
The proposal includes a clause based on the restaurant’s liquor license request for building alterations and equipment costs, which would stay with the building. The equipment includes fire suppression, kitchen equipment and fixtures for a debt reduction of up to $49,900. If the state liquor control would happen to deny its liquor license request, “the business would not go forward and would suffer a loss of funds they already would have invested in the building alterations…”
The loan principal of $152,300 (including closing fee) would have a repayment period of 10 years.
Other terms of the loan request includes 1 percent interest-only payments for the first six months; 3 percent interest only payments for the second six months; 3 percent interest and principal payments thereafter.
Collateral includes a lien on all business assets and personal guarantees which also includes the Greentech business, according to city of Troy Director of Public Service and Safety Patrick Titterington.
Chris Jackson, owner of The Adventures of the Great Miami business had its loan request approved by the committee.
Jackson requested $25,500 for extra equipment for its second business site for the AGM recreational watercraft business. The recreational watercraft business would be located under the Marina building. The loan would buy new canoes, 12 kayaks, paddleboards, a used bus, equipment trailer, a truck and signage and trailer wrap.
Jackson’s business operates as a “cash business” and has no registered debt. Jackson also owns Jackson’s Excavating and Concrete, which will be part of the city’s collateral as well as a lien on his personal property on Ross Road and existing business assets.
Reach Melanie Yingst at firstname.lastname@example.org or follow her on Twitter @Troydailynews