Tally Ho Koffie

PACE Business Spotlight

Tally Ho Koffie | Edgerton, MN

Rodney Van Essen owns a charming building on the corner of 845 Main Street in Edgerton in which his wife runs Tally Ho Koffie, providing customers with delectable coffee and a variety of services. The coffee shop used a PACE (Property-Assessed Clean Energy) loan to switch from fuel oil to a propane boiler. PACE loans help businesses finance energy-efficient and renewable energy upgrades on their buildings. This switch will save the Van Essens $2,738.59 a year on heating their building.

Patti Van Essen had come across information about PACE loans in some of her magazines, but it was their local banker, Brad Bruxvoort (First State Bank Southwest), who encouraged the couple to apply to help with the cost of installing the new heating system. With a PACE loan, the funds are repaid based on the business property tax assessment, which eliminates the burden of upfront costs. Additionally, the loan is low-cost (3% below prime) and has long-term financing.

patti tally ho koffie

Patti Van Essen, owner of Tally Ho Koffie, Edgerton, MN. with SRDC's Robin Weis at the closing of her PACE Loan

For the Van Essens, the turnaround time was quick. They applied at the end of September and closed on the loan in mid-October. "Once we got the paperwork items needed, it was really quick," commented Patti. The previous system, which Patti estimates to be as old as the building, had many issues over the past few winters. "It was time to replace it. We continuously struggled with the fuel oil smell and soot coming out of the building due to the boiler not functioning properly."

Rieck Plumbing and Heating assessed the system and recommended the best source of energy for the building and business. From there, the process of the PACE loan was put into place.

Over six years ago, the Van Essens acquired the coffee shop in Edgerton. "I think I was in the right place at the right time, and it was an offer we couldn't refuse," Patti said. Tally Ho Koffie is a mainstay of the community, offering a selection of great coffee, comfort food, health options, and even a kids' menu. The cozy and welcoming atmosphere gives customers the opportunity to enjoy the delicious dishes and outstanding service the coffee shop provides. Tally Ho Koffie is open for breakfast, brunch, lunch, and dinner, as well as offering a variety of desserts. Hours are 7:00 a.m. to 8:00 p.m. Patti says that she is fortunate to have great help, which makes running the business much easier.

In addition to the Tally Ho Koffie shop, the Van Essens also bought the Grey Wolf Saloon in Edgerton at the same time. They are very busy entrepreneurs. If the two establishments in Edgerton weren't enough, Rodney purchased the Buffalo Ridge Bar in Lake Wilson a couple of years ago.

Congratulations on your new heating system!

Through partnership with the Rural Minnesota Energy Board, SRDC administers the Property Assessed Clean Energy program which assists property owners with financing improvements that substantially increase energy efficiency. PACE allows businesses to make these fixture improvements without the up-front capital outlay. Costs for the improvements are paid back through a special assessment on their taxes. The increase in property taxes is offset by the decrease in energy costs so that the business sees no change in the bottom line.

For more information on the PACE loan: www.swrdc.org

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