SBA 504 Program Helps North Bay’s Best Italian Restaurant Purchase their Building with 10% down
LoCoco’s Cucina Rustica in Santa Rosa, California is a favorite amongst locals and visitors alike, demonstrated by patron’s willingness to regularly wait over an hour for a table. The restaurant is known for its homey feel, energetic vibe and of course their authentic Italian food.
TMC Financing helped the proud owners of LoCoco’s, husband and wife team of Joe and Kendal LoCoco, purchase the building that they were previously leasing for their restaurant. By utilizing the SBA 504 Program, the LoCoco’s were able to purchase the 12,000 SF building with only a 10% down payment combined with a 20-year fixed interest rate.
“We now have a sense of security,” explains Joe. “When we were renting, the thought of our rent doubling or even losing our lease altogether was always in the back of our minds. Now that we are the owners of the building, we can concentrate our efforts on growing the business and ensuring we exceed our patrons’ expectations.”
“Owning our own building has always been a goal of ours but financially it just never made sense,” states Joe. “The 10% down feature of the 504 Loan made this possible for us. We were able to acquire the property but still have adequate capital reserved for other business expenses.”
Anna O’Brien, SVP of TMC Financing, facilitated the deal and was thrilled she could help Joe and Kendal realize their dream of owning real estate for their restaurant.
“The SBA 504 Loan was a perfect fit for LoCoco’s Cucina,” explains O’Brien. “They were a successful restaurant with a line regularly out the door, but they were at jeopardy since they weren’t the owners the building. Now, they continue to thrive but are able to write their rent checks to themselves while building equity each month.”
LoCoco’s, voted the best Italian restaurant in the North Bay for 12 years, has sights set for future expansion and plans to repeat the process with TMC Financing.
“Every person that helped us throughout the entire process truly felt like they cared. Everyone was helpful, supportive, and just great all the way around. We were surrounded by positive and encouraging people with every step and it meant so much to us.”