By Scott Jenkins
sjenkins@salisburypost.com
KANNAPOLIS ó With a bad economy draining its revenue and a major tenant moving out, the Cabarrus Regional Chamber of Commerce may have to sell its headquarters building on Dale Earnhardt Boulevard.
But Chamber President and CEO John Cox said that fate is ěnot a certainty,î and he hopes the organization wonít have to move from the building it constructed and has occupied for more than a decade.
ěIíd rather be working on some important community issue with all my time,î Cox said Monday. He said, though, that ěthe reality is the reality, and my job is to try to proactively figure out what the best course of action is and take it.î
Cox said the Cabarrus Chamberís finances ó like those of other chambers ó have taken a hit during the recession and sluggish recovery. Even as membership numbers are up, revenue is down as businesses opt for less expensive membership levels.
And in September, the Cabarrus Convention and Visitors Bureau ó which has been a tenant since the building was constructed ó plans to move to Bruton Smith Boulevard in the bustling area between Charlotte Motor Speedway and Concord Mills.
The Convention and Visitors Bureau has been paying about $60,000 a year in rent to the Chamber.
ěWe were counting on that revenue to continue to make our mortgage payments,î Cox said.
In an Aug. 12 letter to Chamber members, Cox wrote the chamber is ěexploring a number of options to address the indebtedness of our chamber headquarters and to assess opportunities for improving cash flow.î
The letter said committees appointed by the organizationís board of directors have been exploring two options:
Forming a limited liability corporation to hold the building and sell part of the equity to investors, which the letter calls ěa relatively common vehicle for commercial real estate financing and ownership.î
Selling the building and relocating to a new headquarters nearby or leasing space in the building from the new owner.
ěI suppose my preference would be to maintain operations where we are,î Cox said. ěItís very confusing when you move; itís not only confusing, but itís expensive.î
A commercial appraisal has pegged the market value of the building, which sits at 3003 Dale Earnhardt Blvd. off Interstate 85 at exit 60, at $2.6 million, Cox said. A committee is soliciting investors interested in buying the building. The Chamberís executive committee will consider offers submitted by Sept. 6.
For more information, interested parties can call Sam Leder at 704-786-8189.
If no offers are received by that date, the chamber plans to list the building with First Carolina Properties.