CLEVELAND - KeyBank ranks first among area banks in SBA 504 loan production for fiscal year 2004, financing a total of 17 loans in conjunction with certified development companies active through the SBA Cleveland District Office. These efforts are highlighted by Key's receipt today of Cleveland-based Growth Capital Corp.'s Bank of the Year Award.

In Northeast Ohio, Key nearly tripled its number of 504 loans over 2003, six of which were approved with Growth Capital Corp. for a total of $2,598,500.

Key's top ranking and award-winning performance follow a record year in 504 loan approvals totaling 108 through the SBA Cleveland District office, a 33-percent increase over fiscal 2003. SBA district director Gill Goldberg, who notes that the SBA's job creation goal tied to each 504 project is one job for every $50,000 in lending, would like to see 504 loan approvals jump to 150 next year, with banks like Key leading the way.

"Our projected increase for fiscal 2005 is significant and achievable," says Goldberg. "The number of 504 loans approved this year over last is a true sign of economic recovery, based on business acquisitions and new constructions the loans are affording across Northeast Ohio. Our 504 loans are an engine for economic growth. As interest rates edge higher, now is the time to take advantage of 504 financing."

Goldberg notes that Key's recent work with Washington D.C.-based Social Compact to uncover hidden economies in Cleveland, is stirring even more interest among growth-minded companies in the position to benefit from 504 and other forms of financing. "We'll look to Key among other banks for their continued leadership in this area," he says.

Since jointly announcing the Social Compact study findings with the City of Cleveland last month, Key has issued more than 100 copies of the study reports to area community development corporations, business developers, real estates brokers, and entrepreneurs, all with an interest in tapping into Cleveland's uncovered $828 million cash economy. As a result, Key is in the position to be more receptive to lending to those using the study as part of their business cases.

In addition to increasing its 504 lending, Key this year is experiencing a 17-percent increase in overall local business lending, growth KeyBank Cleveland District President Elizabeth Oliver attributes to more than the economic upswing.

"As area businesses look for new, more dynamic ways to grow, we've done our work as well by putting more feet on the street," says Oliver. "We've hired six additional relationship managers this year including experienced private sector business owners and veteran in-market bankers. All 18 are talented professionals collectively carrying an expansive level of knowledge that we're passing along to clients we advise. As well, Key's new SBA lending officers, John Moshier in Cleveland and Tony Rufo, who serves Akron, Canton and Youngstown, are making a big difference."

As a result of a Key-financed 504 loan, Cleveland-based logistics company Mercury Messenger and Freight recently consolidated its warehousing operation into a single facility through which Mercury President Dominic Cirigliano says his business is streamlining its operations to the benefit of area business customers.

"We simply outgrew our previous facility," says Cirigliano. "With Key's loan, the construction of our new Strongsville warehouse gave us a whole new outlook. The cost efficiencies we've realized through expanded storage and delivery capabilities translate to cost-efficiencies and enhanced services for our customers, who no longer have to lease their own space. Essentially, we're passing on our savings to our customers, and that's good business."

Growth Capital Corp.
Growth Capital is affiliated with the Greater Cleveland Partnership, one of the nation's largest metropolitan chambers of commerce. Since 1982, Growth Capital Corp. has provided financing assistance to area businesses in support of the Greater Cleveland Partnership's overall mission to foster economic growth and jobs creation in Northeast Ohio.

KeyCorp
Cleveland-based KeyCorp is one of the nation's largest bank-based financial services companies, with assets of approximately $88 billion. Key companies provide investment management, retail and commercial banking, consumer finance, and investment banking products and services to individuals and companies throughout the United States and, for certain businesses, internationally.

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KeyBank

KeyBank

KeyCorp's roots trace back 190 years to Albany, New York. Headquartered in Cleveland, Ohio, Key is one of the nation's largest bank-based financial services companies, with assets of approximately $176.2 billion at March 31, 2021. Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 1,100 branches and more than 1,400 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit https://www.key.com/. KeyBank is Member FDIC. 

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