The cozy Peanut Shoppe is “much-loved by locals and tourists alike.”

The Qahwa Coffee Bar “has become a vital piece of the Downtown landscape.”

Chef Tam’s Underground Café is new to Downtown but often draws “lines of potential customers waiting for their chance to experience Chef Tam’s cuisine.”

That was the warm and fuzzy language of staff reports for the first three of another dozen forgivable loans awarded Friday, April 17, to Downtown businesses stressed by COVID-19.

The Center City Development Corp, an affiliate board of the Downtown Memphis Commission, approved a total of $79,900 in forgivable loans on Friday. 

Such agencies might normally be expected to conduct themselves officiously, more stiffly, in administering something called the “Business Continuity Forgivable Loan” program.

But faced with the jolting distress that COVID-19 is causing Downtown businesses, the staff and board members seemed to wrap the small businesses in hugs instead of red tape.

The board and its committee have been putting in extra hours to dispense a total of $200,000 in forgivable loans as quickly as possible.

Friday’s was the board’s second meeting of the week; it approved the first eight forgivable loans on Monday. Its subcommittee will meet again April 22 to vet even more loan applications.

Brett Roler’s title with the Downtown Memphis Commission’s is vice president of planning and development. But in writing and reading aloud the staff reports for the forgivable loans, Roler seemed almost ministerial. He had something positive to say about every applicant.

For example, the restaurant called Pontotoc “has developed a reputation for lively gathering and great food.”

Bluff City Coffee “is a gathering place for local residents and travelers alike.”

Havana Mix Cigar Emporium “has become a destination business.”

Max’s Sports Bar “is part of an active commercial section of G.E. Patterson which contributes to the area’s commercial vibrancy.”

WKND Hang Suite “draws Memphians from all parts of our city.”

The 144-year-old A. Schwab Trading Company has “survived the test of time.”

Sam’s Main Street Eatery “has been a go-to location for many restaurants and employees during the daily lunch hour rush.”

Stock & Belle “has been a vibrant fixture” on South Main.

And Rizzo’s Diner “offers a unique variety of offerings such as lobster pups and Cajun and Creole entrees.”

The forgivable loans ranged from $2,400 for The Peanut Shoppe to $10,000 for A. Schwab and Havana Mix.

The money is to help the businesses survive either temporary closure or extreme drops in revenue because of the social-distancing requirements due to COVID-19.

The loans are used for expenses like rent, payroll, utilities and restocking inventory. The loans essentially become grants if the businesses continue to operate another two years.

The loans could be a maximum of $20,000, but the staff has recommended – and all the businesses have agreed – to voluntarily reduce the amount they apply for so more of the 50-plus applicants can receive help.

Forgivable loans approved for 8 Downtown businesses

The businesses and loan amounts approved Friday were:

• $2,400 for The Peanut Shoppe, 24 S. Main, which remains open;
• $5,000 for Qahwa Coffee Bar, 109 N. Main, which is now take-out only and has seen revenue drop by 60%;
• $5,000 for Chef Tam’s Underground Café, 668 Union, which has temporarily closed;
• $7,500 for Pontotoc restaurant, 314 S. Main, which has temporarily closed;
• $7,500 for Bluff City Coffee, 505 S. Main, which has experienced “a complete halt in business,” according to the agency’s staff report;
• $10,000 for Havana Mix Cigar Emporium, 250 Peabody Place, which has had a 90% drop in sales;
• $7,500 for Max’s Sports Bar, 115 G.E. Patterson, which has experienced a substantial drop in revenue;
• $7,500 for WKND Hang Suite restaurant and bar, 115 Vance, where business has come to a “complete halt;”
• $10,000 for A. Schwab, 163 Beale, which has temporarily closed;
• $5,000 for Sam’s Main Eatery, 7 N. Main, where sales have dropped 80%;
• $5,000 for Stock & Belle art, apparel and furniture store, 387 S. Main, which has temporarily closed;
• And $7,500 for Rizzo’s Diner, 492 S. Main, which has cut back to carry-out sales only.

(Correction: The Peanut Shoppe remains open. An earlier version of this story was incorrect.