Wealth

The billionaires and country clubs that received small business loans from the government

Key Points
  • Billionaires, country clubs, private jet companies and Kanye West all received millions in government funding under the Paycheck Protection Program, according to filings.
  • The PPP loans and grants were designed to help small businesses hurt by the pandemic to retain or rehire employees.
  • West's Yeezy fashion brand received $2 million to $5 million.
VIDEO3:5603:56
PPP billionaires: Following the stimulus money

Billionaires, country clubs, private jet companies and Kanye West all received millions in government funding under the Paycheck Protection Program, according to the Small Business Administration. 

The PPP loans and grants were part of the $2 trillion CARES Act, which President Donald Trump signed into law this spring. The loans were designed to help small businesses hurt by the coronavirus pandemic to retain or rehire employees. Yet according to a list of individuals and companies that received loans or grants of more than $150,000, recipients included large companies and billionaires that had access to other sources of capital and have recovered quickly from the pandemic.

Exterior views of the Soho House on in New York City.
Neilson Barnard | Getty Images

Soho House, the exclusive membership club controlled by billionaire Ron Burkle, received loans totaling $9 million to $23 million by applying for seven loans through its New York, Miami Beach, Chicago and West Hollywood locations. Last month, Soho House raised $100 million from private investors, including Burkle, that gave the company a valuation of $2 billion — equal to its pre-pandemic valuation.

All together, more than 400 country clubs and golf resorts received PPP funding.

VIDEO1:2301:23
Billionaires, country clubs and celebrities like Kanye West received loans from PPP program

Billionaire developer Joe Farrell, famed for building and renting megamansions in the Hamptons, received a PPP loan of up to $1 million. Farrell made headlines in May when he rented a megahome called "The Sandcastle" for nearly $2 million for the summer. 

US President Donald Trump shakes hands with West Virginia Governor Jim Justice, who announced during the rally he would switch parties from Democrat to Republican, during a Make America Great Again Rally at Big Sandy Superstore Arena in Huntington, West Virginia, August 3, 2017.
Saul Loeb | AFP | Getty Images

The Greenbrier Hotel, which operates the famed luxury resort in West Virginia and is owned by billionaire West Virginia Gov. Jim Justice, received $5 million to $10 million. The Greenbrier Sporting Club, part of the residential development next to the hotel, also received $1 million to $2 million.

Gores Vitac Holdings, part of the company controlled by by tech billionaire Alec Gores, is listed as having received $5 million to $10 million.

Rapper Kanye West, left, shakes hands with U.S. President Donald Trump during a meeting in the Oval Office of the White House in Washington, D.C., U.S., on Thursday, Oct. 11, 2018.
Andrew Harrer | Bloomberg | Getty images

The most famous billionaire to receive PPP funds is Kanye West. West's Yeezy fashion brand received $2 million to $5 million. West has said his brand is worth $3 billion and recently announced a collaboration with Gap that could be worth $100 million or more depending on the company's performance.

Private jet companies, which have rebounded quickly and received hundreds of millions of dollars under the aviation program of the CARES Act, also got millions in PPP funds. Clay Lacy Aviation, which received $27 million in CARES Act funding and prides itself on its celebrity and VIP client base, also received $5 million to $10 million in PPP funds.

Jet Linx Aviation, which received $20 million from the aviation program, received an additional $5 million to $10 million in PPP funds, according to the list. 

VIDEO4:3604:36
This company embraced the coronavirus economy and now it is hiring workers