This year’s trolley tour, we embarked on a journey to meet two remarkable Alameda-based businesses that have harnessed the power of the SBA 504 loan program to supercharge their growth and reach new heights. Join us as we explore the inspiring stories of Mariner Square and Alameda Fitness and Spa, two entrepreneurial ventures that exemplify the spirit of success and resilience.
Stop 1: Mariner Square – Navigating Towards Prosperity
Mariner Square is a name synonymous with innovation and resilience in the heart of Alameda. As the first marina you encounter when entering the Oakland/Alameda Estuary, it is not only a storage facility but also a haven for boat enthusiasts in the Bay Area. The owner of Mariner Square realized the immense potential of the SBA 504 program and embarked on a journey to secure the future of his business.
- Total Project Cost: $6,950,000
- Unlocking Cash Flow: The program allowed for a substantial cash-out of $900,000, providing essential breathing room and the means to explore new avenues of expansion.
- Loan Terms: Mariner Square secured a favorable 25-year fixed loan, setting the stage for financial stability.
- Refinancing Mastery: Mariner Square deftly refinanced a $3.1 million loan with an SBA 504 loan to lower their monthly occupancy costs by $10,000, freeing up capital for growth.
To Mariner Square, the cash-out feature was a game-changer, enabling him to cover inventory, utilities, and payroll, while also creating opportunities for expansion. The competitive interest rate was the icing on the cake, providing him with financial flexibility and a clean balance sheet.
Stop 2: Alameda Fitness and Spa – A Fit Investment
Owner: Mr. Chun Ming Liu
In the bustling heart of Alameda, Mr. Chun Ming Liu took on an ambitious venture, acquiring one of the city’s oldest fitness centers. Situated adjacent to the Alameda Landing Mall, this fitness center had been a local fixture for 45 years. Despite the challenges posed by the pandemic, Mr. Liu saw immense potential and embarked on a journey of revitalization.
- Total Project Cost: $7,750,000, marked by a 20% down payment
- Loan Terms: 25-year fixed loan at a below-market-rate, ensuring financial stability and room for growth.
- Property Ownership: Mr. Liu acquired a 48,000-square-foot facility complete with a rejuvenating pool, offering a wide range of wellness amenities.
Mr. Chun Ming Liu’s vision and determination led to a remarkable turnaround. The fitness center, which had witnessed a drop in membership during the pandemic, saw a resurgence under his leadership, growing from 500 to an impressive 1,500 memberships. With a spa, multiple fitness areas, racquetball courts, and more, this facility is set to redefine wellness in Alameda.
These two businesses, Mariner Square and Alameda Fitness and Spa, exemplify the transformative impact of the SBA 504 loan program, enabling entrepreneurs to achieve their dreams, invest in their businesses, and contribute to the vibrant Oakland community. TMC Financing is proud to be a partner on their journeys to success, and we look forward to many more inspiring stories in the years to come. The Trolley Tour is a celebration of these achievements, and we’re excited to share these remarkable success stories with you. Stay tuned for more inspiring tales of entrepreneurship and growth!