Valley News – Bottom Line: Landmark Hanover commercial building sells for $6 million
Finally a second wave of stimulus money is coming to help small businesses. And if the second round is similar to the first, expect local Upper Valley businesses to use the funds to help them out in the difficult months to come.
Last week, after initially threatening to withhold his signature, President Donald Trump signed a new $ 900 billion bipartisan stimulus package aimed at propping up the economy hit by the COVID-19 pandemic. The legislation is the second economic rescue program launched by the federal government following the $ 2.2 trillion CARES bill enacted in March at the start of the pandemic.
The Coronavirus Response and Relief Supplemental Appropriations Act of 2021 – or “CARES 2” as the law is known – includes $ 285 billion earmarked for small businesses to extend their paycheck protection program, and $ 82 billion for schools and colleges, $ 70 billion in public health interventions. $ 25 billion in rental assistance and $ 600 in cash to eligible adults and children, and up to $ 300 per week for supplemental unemployment insurance.
The new law will also provide $ 15 billion to the hardest hit events industry, such as entertainment arenas, whose business – which relies on the gathering and close contact of people en masse – was wiped out due to the pandemic.
With the legislation only passed two weeks ago, estimates of how much of the $ 900 billion will go to New Hampshire and Vermont are tentative and likely to change over the coming weeks and months. The draft estimates exclude the $ 285 billion small business investment because that amount will not be known until companies apply for relief and the money is distributed.
However, some early analyzes paint a picture.
New Hampshire is set to receive approximately $ 2 billion from the federal government, the majority of which, $ 685 million, according to data from U.S. Sens. Jeanne Shaheen and Maggie Hassan, citing an analysis of impartial Congressional research on unemployment insurance Operation is forwarded.
New Hampshire residents also receive a total of $ 614 million in direct individual payments, while $ 259 million for educational needs, $ 219 million for COVID-19 mitigation and vaccination, and $ 200 million for rental assistance and $ 6 million for airport “relief” is $ 5 million for funeral services and $ 3 million for fishing.
Vermont, while having only 46% of New Hampshire’s population, will gain proportionally more: a total of about $ 1.5 billion, or 75% of the amount the Granite State will receive, at least according to estimates cited by the Vermont Legislature Joint Fiscal Office based on research by Federal Funds Information for States, a nonprofit that tracks the flow of federal funds to states.
According to FFIS estimates, the Green Mountain State stimulus package includes additional unemployment insurance payments of $ 471 million to Vermont residents, direct individual payments of $ 307 million, $ 211 million for COVID-19 mitigation and vaccines, $ 200 million for rental assistance and $ 161 million for education supplies, $ 4 million for “airport improvements,” and $ 903,000 for funeral services (no information was available on Vermont fishing).
For small businesses, according to Tracy Hutchins, Executive Director of the Upper Valley Business Alliance, CARES 2 will provide relief from two main sources: the Paycheck Protection Program and Economic Injury Disaster Loans (EIDL). Both programs are limited to companies with 300 or fewer employees this time around.
To qualify for a PPP loan, a company must have seen a 25% decrease in revenue in each quarter of 2020 compared to the prior year quarter.
The loan amount is based on the average monthly payroll for the past 12 months and cannot exceed $ 2 million.
EIDL, which targets businesses in low-income areas, receives a grant of $ 10,000 if they experience a 30% decline in sales over an 8-week period between March 2nd and December 31st the same period of 8 weeks recorded in the US last year.
Small businesses looking for PPP loans still have to apply through their bank. Companies seeking EIDL funding can apply online.
“This round (of CARES funding) is really aimed at smaller businesses,” said Hutchins. “That was a criticism of PPP earlier in the year – that a lot of big companies got the money and then all the funds were gone before the smaller companies could access it.”
Hot property in Hanover
There may be several vacant storefronts along South Main Street in downtown Hanover, but you wouldn’t know from the price of a staggering commercial property sale.
The Davison Block and Annex, whose retail tenants include Dirt Cowboy Cafe, Murphy’s on the Green, glassware maker Simon Pearce, and Tuk Tuk Thai restaurant, was sold for US $ 6 million, according to real estate agent William “Star” Johnson, who represented buyers of – dollars sold the property.
Owned by the Davison family since the early 20th century, Davison Block was the site of the original Nugget Theater, which was built in 1916 (hence why the alley between the building and the Dartmouth Senior Society is called Casque and Gauntlet Olde Nugget Alley ).
The sale follows the death of owner William H. Davison last spring, a member of a well-known Hanoverian family and a businessman who opened The Village Green restaurant in 1996, which later became Murphy’s.
The new owners are three Dartmouth alumni – Rick Kleeman (’85), Jonathan Paul (’86, Tuck ’90) and Jonathan Livadas (’09) – who work separately in the real estate business but have come together to create the Davison Acquire block as a personal investment.
Livadas, who has been the second owner of the building in more than a century, is aware of the legacy he inherited upon its acquisition and intends to respect the building’s place in the community.
“This is a generation good. We plan to own this building for a very, very long time, ”said Livadas, who lived in one of the apartments above the shops on Davison Block for his sophomore year. “We really appreciated our time in Hanover and would like to continue to see how the area flourishes.”
Livadas said that despite the devastating pandemic of local businesses, “all tenants are fine” and partners are not trying to mess things up other than improving the property.
“We’re going to be repainting the brick and facade, working with tenants on the shop fronts, and generally spending some money tidying them up a bit. We don’t want to change anything, ”he said.
In addition to street-level shops, the three-story, 30,000-square-foot building is on the second floor of Left Bank Books (which were also sold to Lyme poet and Dartmouth writing teacher Rena earlier this year by longtime owner Nancy Cressman) and Mosteirin Apartments traditionally rented to Dartmouth students.
Hanover city records show the building is currently valued at $ 3.8 million.
Contact John Lippman at [email protected]