Special Purpose Financing
An SBA 504 loan can be ideal for special purpose properties that can be difficult to finance conventionally. Because such properties are constructed for specific, limited uses, a large capital investment may be required to convert special purpose properties to a more general use.
Using an SBA 504 loan to reduce a commercial lender’s exposure to this risk can result in a better financing package. Other benefits of the SBA 504 loan for special purpose properties include:
- As low as 15% down keeps your cash working to grow your business
- Below-market FIXED interest rates with payments fully-amortized over 20 years, no balloon
- No limit on the total loan amount. Projects over $25 million can still qualify.
- Finance real estate purchase, construction (including land), expansion, renovation and equipment/furnishings
- No additional collateral required
- Businesses implementing energy efficiencies may qualify for additional financing
What does the SBA consider a special purpose property?
Contact our experts or get started with a no-cost pre-qualification review today