Please be careful when you say “rent” as that invokes state regulations regarding your “tenant’s” occupancy. Most/all coworking spaces uses “memberships” like one would join a country club. Therefore, to get this 504 loan, I would recommend using another LLC to legally “rent” out the entire building, then have this LLC provide memberships to these member occupants.
Now, the bank should see that you, via your new LLC, are indeed occupying >50% of the building. :-) JEROME CHANG <> talk to us: (323) 330-9505 <> chat w/ us: <>http://www.BLANKSPACES.com/chat <https://lc.chat/now/7173741/> Santa Monica <> | <>Culver City <> | <>Downtown LA <> | <> Pasadena <> <>NOW OPEN: Larchmont | Irvine <> <>OPENING SOON: <>Long Beach > On May 7, 2019, at 8:31 AM, Denis Clijsters <denis.clijst...@gmail.com> wrote: > > Hi Scott, I would be curious to know how your experience went! > > I'm currently starting up a coworking space, we already own the building but > we're looking for money for renovations. One part I inquired for are solar > panels, and the 504 sba green loan, but there I've been denied because I > don't occupy the building myself for +50%, since we rent out to individual > businesses, and gradually as we're expanding, more and more to coworking > members. > > I agree with your reasoning that coworking isn't just real estate, but it's a > business in itself that definitely isn't a passive investment! > > Thanks, > Denis > > On Tue, May 7, 2019 at 8:24 AM Scott Tillitt / BEAHIVE <sc...@beahivebzzz.com > <mailto:sc...@beahivebzzz.com>> wrote: > I’m exploring getting an SBA 504 loan > <https://www.nybdc.com/about-us/SBA-504-Loans_54_24_sb.htm> to purchase the > building I’ve been in for 10 years. They’re arguing that coworking isn’t > eligible, as it’s a passive business, primarily engaged in real estate in > which we lease (license) it out to accommodate independent businesses that > provide services directly to the public. > > I think those of us who own or manage coworking spaces would not call it > passive… but has anyone had any experience successfully navigating this? > > Thanks! > scott. > > - -- - > SCOTT TILLITT > PR yogi + social entrepreneur + community catalyst + meditator > // Facebook <http://www.facebook.com/scott.tillitt> / LinkedIn > <http://www.linkedin.com/in/tillitt/> // 917.449.6356 > > BEAHIVE <http://www.beahivebzzz.com/> // pioneering spaces for work + > community + possibilities > > ANTIDOTE COLLECTIVE <http://antidotecollective.org/> // communications + > projects for a better world > > > - -- - t h i n k / f e e l - -- - > "...an idea or product that deserves the label 'creative' arises from the > synergy of many sources and not only from the mind of a single person." — > Mihaly Csikszentmihaly > > > -- > You received this message because you are subscribed to the Google Groups > "Coworking" group. > To unsubscribe from this group and stop receiving emails from it, send an > email to coworking+unsubscr...@googlegroups.com > <mailto:coworking+unsubscr...@googlegroups.com>. > To view this discussion on the web visit > https://groups.google.com/d/msgid/coworking/50500562-0730-42EE-AC0C-EBD0950E067D%40beahivebzzz.com > > <https://groups.google.com/d/msgid/coworking/50500562-0730-42EE-AC0C-EBD0950E067D%40beahivebzzz.com?utm_medium=email&utm_source=footer>. > For more options, visit https://groups.google.com/d/optout > <https://groups.google.com/d/optout>. > > -- > You received this message because you are subscribed to the Google Groups > "Coworking" group. > To unsubscribe from this group and stop receiving emails from it, send an > email to coworking+unsubscr...@googlegroups.com > <mailto:coworking+unsubscr...@googlegroups.com>. > To view this discussion on the web visit > https://groups.google.com/d/msgid/coworking/CAOC9UqPhZAGf%3DF_2A-3CWnoyx--YDoXoTnVXGPBv0EMgx52JCA%40mail.gmail.com > > <https://groups.google.com/d/msgid/coworking/CAOC9UqPhZAGf%3DF_2A-3CWnoyx--YDoXoTnVXGPBv0EMgx52JCA%40mail.gmail.com?utm_medium=email&utm_source=footer>. > For more options, visit https://groups.google.com/d/optout > <https://groups.google.com/d/optout>. -- You received this message because you are subscribed to the Google Groups "Coworking" group. To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscr...@googlegroups.com. To view this discussion on the web visit https://groups.google.com/d/msgid/coworking/C5C51B39-E6A3-4D40-A75E-32CD8D304F94%40blankspaces.com. For more options, visit https://groups.google.com/d/optout.
