Comments on: Creative Commercial Real Estate Financing for Small Business Owners #cre

By: Former Buc Kicker Martin Gramatica and Terry Hunt Discuss Their Energy Efficient Building Products | Tampa Commercial Real Estate | Florida Commercial Property

Sun, 30 Oct 2011 21:29:53 +0000

[...] program and we give 20% of his rent back in a 5 year period so he can purchase the building. The SBA has programs that work well. Your banks will acknowledge that, so the energy savings alone will make a huge difference in his [...]

By: Eric Odum

Eric Odum — Mon, 28 Feb 2011 02:19:20 +0000

Moe, feel free to call me at 813.514.1070. I can put you in touch with another SBA lender.

By: moe

moe — Sun, 27 Feb 2011 16:16:18 +0000

Suddenly JOE number is no longer available, what a farce!

By: Top 5 SBA Lenders in Tampa Bay Area | Tampa Commercial Real Estate | Florida Commercial Property

Mon, 22 Nov 2010 05:10:17 +0000

[...] those unfamiliar with the SBA’s 504 Loan program, it is a terrific vehicle for financing owner-occupied real estate. Comments (0) [...]

By: Eric Odum

Eric Odum — Fri, 29 Oct 2010 21:33:19 +0000

Thanks for the SBA update, Joe!

By: Joe Couch

Joe Couch — Mon, 18 Oct 2010 20:03:56 +0000

Eric,
I want to thank you telling me about this blog. As you know, there are local banks and then there are national lenders such as CIT that offer both SBA 7A and 504 programs as well. I represent these non-local sources as an independent agent and do not charge broker fees when offering these exceptional products.

And now that it’s official, here are some highlights to the new SBA Updates.
7a
• Increase maximum SBA 7a loan amount to $5,000,000 (permanently)
• 90% guarantee through December 31, 2010
• Fee waiver for the rest of 2010 (subject to available funding)
504
• 504 2nd TD increase to $5,000,000 for most applications and
$5,500,000 for manufacturers (permanently) – now can do a combined 504 loan of up to $10m.
• Two year window for refinancing debt (details provided below)
• Fee waiver for the rest of 2010 (subject to available funding)
Special Use Property Types – 7a & 504 Programs
• Flagged gas stations – all 50 states up to $5m (not new to
program)
• Flagged hospitality, interior corridor – all 50 states up to $5m
(not new to program)
• Car wash – all 50 states up to $5m (not new to program)
• Self-Storage Facilities – new to the SBA program

I want to stress the importance of the inclusion of Self Storage facilities to the available property types list for both programs. This is going to be HUGE!!!
Thanks again,
Joe Couch 727-446-2109
727-446-2109

By: Eric Odum

Eric Odum — Sat, 26 Jun 2010 02:28:59 +0000

Hey Merril, thank you for the commentary. Merril is from the National Association of Development Companies, a trade association certified by the Small Business Administration to provide financing for small businesses through the 504 program.

By: Scott Jacobsen

Scott Jacobsen — Thu, 24 Jun 2010 13:59:46 +0000

Thanks, Merrill. Oversight on my part. You are correct on the Bank piece at 50%, SBA at 40%, and borrower at 10%.

I should have also mentioned that there is a proposal floating around in Congress to extend this program to refinancing existing owner occupied properties up to 90% of the current market value. This program is designed to help small businesses avoid foreclosure in those instances where there is little to no equity in the property.

By: Merril Ferber

Merril Ferber — Thu, 24 Jun 2010 11:57:21 +0000

It’s great to see some publicity on the SBA 504 Loan Program! It’s definitely a loan that many small business owners who are looking to purchase their facilities could benefit from.

One correction I would point out – the bank loan portion is always 50% and the SBA guaranteed 504 loan is typically 40% with the borrower coming up with a 10% down payment.

Check out our website at http://www.nadco.org for all the details on the 504 loan program.

By: David Repka

David Repka — Wed, 23 Jun 2010 20:46:01 +0000

Congratulations on your clear and concise presentation on this topic. SBA financing is a wonderful tool that needs to be considered for small and family held companies seeking high leverage financing to acquire their own place of business. In a world where 65% financing for investors is considered “high leverage” 90% financing for owner occupied properties is fantastic!