Some NC country clubs got PPP small business loans for over $1 million during COVID
Country clubs in the Charlotte area were among more than a dozen clubs in North Carolina that received Paycheck Protection Program loans, according to data released Monday.
For instance, The Peninsula Club in Cornelius, which sits on Lake Norman’s shoreline, was one of a handful of N.C. country clubs receiving between $1 million to $2 million in loans, data show.
And Ballantyne Country Club in Charlotte, which includes a golf course, nine tennis courts and four pools, received a PPP loan for between $350,000 to $1 million, records show. A club spokesperson did not respond to questions from the Observer.
Since early April, the U.S. Small Business Administration guaranteed nearly 122,000 loans to N.C. companies hoping to save jobs during the novel coronavirus pandemic. PPP loans, which ranged from less than $100 to more than $5 million, were used to retain more than 1.2 million jobs, according to the data.
Almost 19,000 PPP loans were received in Mecklenburg County, according to the data, saving about 198,000 local jobs.
The SBA does not identify companies that applied for loans of less than $150,000 but does list the names of the 16,000 N.C. businesses that sought loans of more than $150,000.
At The Peninsula Club, members enjoy a resort setting and can use a golf course designed by Rees Jones, club house and dining venues, tennis courts and a swimming pool, according to its website.
General manager Christophe Hermine said Wednesday the club is still waiting to hear from the SBA if the application will be accepted.
“We have not touched the money until we know if it will go through,” he said.
While the club’s restaurants, golf, tennis and pool are now open, Hermine said like other businesses, the shutdowns in March affected the club with decreased revenue and worker furloughs.
Across North Carolina, other clubs receiving $1 million to $2 million in PPP loans are Grandfather Golf and Country Club in Linville, The Country Club of North Carolina in Pinehurst and Mountain Top Golf and Lake Club in Cashiers.
In an email, Don Hunter, chief operating officer at the Pinehurst club, said the loan was the only way the facility could justify keeping all of its employees. He said its gym, pool, restaurant and catering business were shut down by Gov. Roy Cooper as a result of COVID-19 orders.
“The restrictions have caused major interruptions in revenues this year,” he said.
Although North Ridge Country Club in Raleigh is listed with this group in the SBA database, general manager Jeff Earley said Wednesday the club did not receive a PPP loan or “employee assistance outside of the generosity of our membership.”
He said the club did apply but “as the process played out, we learned that we would not be eligible for a loan so we stopped the process.”
Some other companies in the SBA database, including Charlotte-based Bojangles, said they backed out of the process or did not obtain the PPP funds they were listed as receiving.
Yacht club loan
In addition to country clubs, at least one N.C. yacht club received a PPP loan, records show
Figure Eight Island Yacht Club in Wilmington received $150,000 and $350,000, according to the records. A club spokeswoman declined to comment.
The yacht club is on a private island, with many prominent, wealthy individuals. Former U.S. senator and presidential candidate John Edwards, as well as banking and other corporate executives, have called the island home, the Wilmington Star News has reported.
Other local PPP loans
These Charlotte area golf and country clubs also received loans, according to the data, include:
▪ NorthStone Country Club in Huntersville, $350,000-$1 million.
▪ River Run Golf & Country Club in Davidson, $350,000-$1 million.
▪ Timberlake Golf Club in Charlotte, $150,000-$350,000.
Efforts to reach officials with these clubs were unsuccessful.
Other NC PPP loans
These North Carolina clubs and golf courses also are in the SBA data:
▪ $150,00-$350,000 in loans: Pinewood Country Club in Asheboro, Bentwinds Golf and Country Club in Fuquay Varina, Walnut Creek Country Club in Goldsboro, Moorehead City Country Club, Wilson Country Club, Old Edwards Club in Highland and The Club at Balsam Mountain in Sylva.
▪ $350,000-$1 million in loans: Country Club of Greenville, Lake Toxaway Country Club, Governor’s Club in Chapel Hill and Champion Hills Club in Hendersonville.
Loans are low interest and can be used for payroll costs, interest on mortgages, rent and utilities. Loans are fully forgiven if at least 60% of the forgiven amount has been used for payroll, according to the SBA.
The new deadline to apply for a PPP loan is Aug. 8.
(Raleigh) News & Observer reporter Zach Eanes contributed to this report.
This story was originally published July 8, 2020 at 10:01 AM.
