Title
Consider/Discuss an Updates from Hugs Café Related to Project 4B25-01, New Hugs Headquarters, and Project 4B26-08, Expansion of Hugs Greenhouse.
Summary
COUNCIL GOAL: 1: Direction for Strategic and Economic Growth
1.3 Maximize partners and the pursuit of Workforce Development Programs to encourage training and employment options for McKinney residents
MEETING DATE: November 19, 2026
DEPARTMENT: McKinney Community Development Corporation
CONTACT: Cindy Schneible, President
ITEM SUMMARY:
Hugs will provide an update on two projects.
4B25-01:
In February 2025, MCDC awarded a total of $970,000 to Hugs Café, Inc. for infrastructure for the new Hugs Headquarters.
Hugs staff will discuss transferring the deed to Hugs Headquarters from Hugs Café to Hugs Real Estate Holding Co., as well as their commitment to grant compliance.
4B26-08:
In June 2026, MCDC awarded a total of $683,467 (50% as a grant and 50% as a loan) to Hugs Café, Inc. for expansion and site improvements at Hugs Greenhouse.
Hugs staff will discuss status of fundraising goals and their commitment to grant compliance.
BACKGROUND INFORMATION:
The mission of Hugs Café Inc. is to enhance the lives of adults with special needs through training and employment.
The goal for both Hugs Café and Hugs Greenhouse is to provide a place of training and competitively-paid employment for adults with special needs – teaching valuable skills and providing an ability-conscious career pathway.
Hugs utilizes its training and job readiness model to create meaningful employment opportunities in North Texas and across the country. It is a nationally acclaimed nonprofit with over a decade of experience in fostering opportunities for adults with disabilities.
FINANCIAL SUMMARY:
In February 2025, MCDC awarded a total of $970,000 to Hugs Café, Inc. for infrastructure for the new Hugs Headquarters.
In June 2026, MCDC awarded a total of $683,467 (50% as a grant and 50% as a loan) to Hugs Café, Inc. for expansion and s...
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