With the current rising interest rate environment, now is a good time to lock in debt for as long as possible. One option is the SBA 504 program where anywhere from 35-40% of the loan package has a 25-year fixed rate.
The maximum amount from the CDC/SBA 25-year rate is $5 million (unless you pursue the “Green” program when it would become $5.5 million). The bank who holds onto the first mortgage can go up as high as they are comfortable with allowing borrowers to receive loans in the $15-$20 million range.
It is important to consider that self storage is not considered a special use property.
Nick Collins
Commercial Lender – Vice President
Bank Five Nine
155 W. Wisconsin Avenue | Oconomowoc, WI 53066
p: (262) 560-2016 c: (262) 468-6169 f: (262) 804-9926
nick.collins@bankfivenine.com
