Back to the full list of closings

news photo

The Madison Group arranged a 50/40/10 SBA 504 loan on a $6,000,000 owner occupied industrial property in Texas

Tags: Commercial Financing, Owner Occupied Financing, SBA financing, industrial financing, Nationwide Financing, Texas Financing, Commercial Real Estate Loans, 504 Loans
Tuesday, Sep 27, 2022
by Kyle Losch

The Madison Group (TMG), a leading national source of owner occupied commercial real estate loans, arranged an SBA 504 loan to purchase a 63,000+ sqft manufacturing facility in Texas. The repeat client contacted TMG requesting 90% financing to purchase a manufacturing facility they occupied.

TMG quickly identified this as an SBA 504 loan opportunity and was able to arrange a 50/40/10 SBA 504 loan with an SBA 504 lender and local CDC. With the teamwork of everyone involved, we were able to close the loan before the FOMC’s September interest rate hike. It was truly a team effort, and the process required a lot of attention to detail by all parties. In the end, the borrowers were very satisfied with their 90% financing.

Location: Texas

Property: Owner Occupied manufacturing / industrial

Bank Loan: $3,095,000

Interest rate: 6.5% - 5-year fixed rate

Term: 33 years with 3 years of interest only payments

Amortization: 30 years

Prepayment: Standard SBA 504 prepayment penalty

CDC Loan: $2,476,000

Interest Rate: 5.18% - 10-year fixed rate

Term: 10 years

Amortization: 25 years

Prepayment: Standard SBA 504 prepayment penalty

LTV: 90%



Full List of Recent Closings