6. EDSR 06-14-2010 - Laserfiche WebLink

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MEMORANDUM TO: EDA Finance Committee Tim Simon, Finance Director FROM: Annie Deckert, Economic Development Assistant DATE:9 June 2010 SUBJECT: Consider Micro Loan Application -The Pizzeria, Frank Galli Attachment • The Pizzeria Micro Loan Application and related attachments dated June 2, 2010. Attached is the Micro Loan application submitted by Frank Galli, president and founder of The Pizzeria. The Pizzeria is a start-up business looking to open in downtown Elk River, in the old Elk River Travel location, 315 Jackson. The business is a fast casual Neapolitan Pizza restaurant (cooked at 700 degrees for two minutes or less). The distinctive competence to create Neapolitan pizza is high heat crust development and a high heat cooking technique. The business is similar to Punch Neapolitan Pizza (seven Twin Cities locations). The application includes background information about the owner and Pizzeria business. In short, Mr. Galli would like to provide the Elk River community Neapolitan pizza, made with local, fresh ingredients, as well as beer, wine, appetizers, salads and desserts in downtown Elk River. Mr. Galli and his wife have owned 315 Jackson for fifteen years and will be doing extensive remodeling in both the interior and exterior of the building; converting it from office to a restaurant use. Along with Mr. Galli (Management team), the Pizzeria will employ a full time chef and hire four part time employees. Mr. Galli will be in attendance at the Committee meeting to further describe the project and financing request. The Pizzeria is requesting an EDA Downtown Rehabilitation Micro Loan of $75,000 to assist in financing equipment and internal and external building revitalization necessary in starting up the business. The EDA would obtain a 1st position mortgage on 315 Jackson. The Galli's have refinanced their home in lieu of obtaining financing from a private lender.