SF LGBT Center Denies $1M Bailout Request From The City

The San Francisco LGBT Center has issued a statement denying yesterday's SF Chronicle story claiming that they'd requested a $1M mortgage bailout from the city. Via their PDF:

We do have $3.2 million in outstanding debt related to the construction of the building, which has been carried in a loan with First Republic Bank. After almost a year of very difficult bargaining, we have achieved a loan modification that financially benefits the Center. This includes a reduction our interest rate, which will save $200,000 over the next five years, and a modification of principle payments to help cash flow. The bank is requiring that we create a reserve account, with a balance of $157,500 – reserves which we do not have. The City have been involved in the discussions from the beginning and Supervisors Bevan Dufty and David Campos are sponsoring legislation to provide a loan from the City to the Center. This is a loan and not a grant. It is also $157,500 – not over $1 million as is reported in some sources.

Responding to the initial report, today SF Mayor Gavin Newsom said that numerous non-profits are in the same situation as the LGBT Center and a $1M bailout is out of the question with the city facing its own $522M budget shortfall.