The members of the Sturm & Drake Development LLC have requested a loan from the Downtown Revolving Loan fund for the amount of $125,000.  We will have a second position on the property after Western Security Bank and the members will be providing personal guarantees as well.  The Downtown Revolving loan committee conferred over email and after discussions about the members personal investments in the fund, have moved forward to recommend this loan be approved by City Council.

Sturm & Drake Development LLC has purchased the building located at 14 N. 29th Street in Billings. They have remodeled the existing building to update the apartments on the second floor.  They have retail and storage space on the main floor.  Hannesson Home and a beauty salon occupy the retail space at this time.

Stakeholders in Sturm & Drake Development LLC are as follows:
Matt Robertson
Haley Vanatta
Katherine Almanza
Ethan Kanning
Benjamin Rose
Brenda McNaney
Christian & Jessica Hannesson
Kevin Kraft
Brandon Wegner

City Council may:

• Approve; the current request of a loan of $125,000.00
• Not Approve the loan and Sturm & Drake Development LLC will have to secure other financing on their own.

Approval of this loan will decrease the cash in the Downtown Revolving Loan fund by $125,000.00  The current balance of cash in this fund at 8/17/2023 is approximately $1,895,000.00.  Current interest rate for this loan fund is 5.25% and will be updated in October.