{"id":17384,"date":"2021-03-29T15:36:10","date_gmt":"2021-03-29T22:36:10","guid":{"rendered":"https:\/\/www.tmcfinancing.com\/?p=15505"},"modified":"2021-04-27T21:33:56","modified_gmt":"2021-04-28T04:33:56","slug":"inland-empire-lease-rates-on-the-rise","status":"publish","type":"post","link":"https:\/\/www.tmcfinancing.com\/es\/inland-empire-lease-rates-on-the-rise\/","title":{"rendered":"Aumentan las tasas de arrendamiento de Inland Empire"},"content":{"rendered":"

[:en][vc_row][vc_column][vc_column_text]<\/p>\n

The Solution \u2013 Purchase Property with SBA 504 Program<\/em><\/strong><\/h2>\n

\"\"<\/a><\/p>\n

The Inland Empire remains one of the most dynamic industrial real estate markets in California. According to a new report from Jones Lang LaSalle<\/a>, Inland Empire\u2019s rent prices continue to rise, with more than a 50 percent increase in the past five years and an even stronger surge at the close of 2020. \u00a0The source of this recent growth stems from the pandemic\u2019s heightened demand for e-commerce and delivery. \u00a0Corporations have had to redesign their network to accommodate the consumer\u2019s need for home deliveries. The Inland Empire has a thriving industrial landscape and the capacity to develop land into new<\/em> industrial spaces.\u00a0 As a result, industrial lease prices are skyrocketing, and vacancy rates are dropping to record lows.<\/p>\n

Rising occupancy costs can be detrimental to the Inland Empire small business owners who are currently leasing property during the post-pandemic era. Business owners could subject to rent spikes and potentially being priced out of their buildings.\u00a0 To hedge against this booming market, it is more important than ever that business owners realize the benefits of purchasing their building. Fortunately, with the Small Business Administration\u2019s (SBA)\u00a0504 loan\u00a0program<\/a> business owners can\u00a0affordably\u00a0<\/em>finance a building purchase and stabilize their occupancy costs for the long term.<\/p>\n

The SBA 504 loan allows small and medium sized businesses to finance the purchase, construction, or improvement of commercial real estate with\u00a0long-term, below-market, fixed<\/em> interest rates.<\/em> Business owners that purchase their building through the SBA 504 program will gain stability and peace of mind knowing the potential rent increases brought forth by pandemic recovery will not drive them out of the area.<\/p>\n

Why choose the SBA 504 Loan for Real Estate Purchase?<\/strong><\/p>\n

Low Down Payment<\/u><\/p>\n

The 10 percent down payment is one of the best features of the SBA 504\u00a0program. In some cases, such as if the property is a\u00a0single use property<\/a>,\u00a0or if the business is less than two years old, owners may be required to provide a 15 percent down payment.\u00a0 In either case, the down payment is much less than a conventional loan, which can be as high as 40\u00a0percent.<\/p>\n

Below Market, Fixed Interest Rates\u00a0<\/u><\/p>\n

The interest rate on a 504 is\u00a0below-market, long-term and fixed<\/a>. The rate is unaffected by market instability or inflation expectations, which could cause a spike in monthly payments.\u00a0 The 504 loan guarantees fixed, low monthly payments for\u00a025 years, with no final balloon payment.\u00a0 The current rate as of March 2020 is 3.08%.<\/p>\n

Ability to Finance Equipment\u00a0<\/u><\/p>\n

The\u202fSBA 504 loan program also\u202fallows business owners to finance equipment and other fixed assets, such as fixtures, furnishings and machinery\u00a0with a service life of at least 10 years.<\/p>\n

Equipment financing<\/a>\u00a0examples include:<\/p>\n