By Amy Tropfenbaum
POA Board President
As we make our way through winter, there is much to look forward to in Big Canoe this year.
The Clubhouse is hosting activities again and lots of events are on tap for our 50th Anniversary celebration, which kicks off on March 19. A new POA website will be unveiled in early 2022, which will have a search feature and a calendar of events throughout the year. And be on the lookout for the 2022 Property Owner Satisfaction Survey in your email.
The Board, staff and volunteers are busy developing and implementing action plans that move us towards achieving our Strategic Vision and High-Level Strategic Objectives – and an important one was covered during the Jan. 27 Board Meeting regarding access to capital. If you attended via livestream or since have watched the video on YouTube, you are aware of our actions taken to achieve this objective.
Last fall, the Finance Committee reviewed results from the Voice of the Community survey conducted as part of the strategic planning process. They concluded that the majority of property owners want to maintain infrastructure and upgrade the amenities and were not opposed to borrowing to accomplish it.
In October 2021, the committee recommended the Board explore options to refinance our current loan and gain access to additional capital while interest rates were still historically low as the Federal Reserve has indicated that a series of rate hikes are coming. A team of financial experts on the committee began discussions with various lending institutions.
The results of those efforts were presented in the Board meeting, and a recommendation was made and approved by the Board to move forward in securing a long-term credit facility. Under this arrangement, we will be able to refinance our existing loan under favorable conditions and lock in the ability to access another $10 million over the next three years at a fixed rate no higher than 3.46% for the following 15 years. This is similar to a HELOC on your own home, except it converts to a predetermined fixed rate. We would also obtain an additional revolving $3 million line of credit, just as we have now, along with an equipment financing component for projects such as the new fire engine that should arrive sometime soon.
With inflation at a 40-year-high and the Federal Reserve signaling multiple rate hikes this year beginning as early as next month, now is the time to take advantage of the opportunity. It is of great benefit to Big Canoe having ready access to funds at a known cost for carrying out the priorities of the community – should we need financing to accomplish them – such as the postal facility solution, Clubhouse renovations, and other infrastructure projects, some of which will require approval by the Property Owners. For more information, please watch the video on YouTube or log on to POA website and go to POA>Meetings>2022.
Amy Tropfenbaum is the president of the POA Board of Directors.
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