Behavioral Health Feasibility Study in the Minneapolis-St. Paul-Bloomington, MN-WI Metro Area

Twin Cities behavioral health ranks 4 of 218

Behavioral health and addiction treatment stands 4 of 218 nationally in the Minneapolis-St. Paul-Bloomington record, even though the class is only fourteenth, 14 of 39, in the metro's own mix. A location quotient of 2.12x says the local share of lending is more than double the national share. The metro logged 50 loans and $22.2 million across FY2017 to FY2026; its midpoint is $350,500, 1.17x the national midpoint, with the central half of loans stretching from $100,000 to $500,000.

Franchise share is 0.00%, as expected for clinics and treatment centers. The 7(a) versus 504 split goes unpublished on a thin cohort. Behavioral health and addiction treatment share a code, so the two cannot be separated; a study of an outpatient clinic and a residential program would cite different evidence, and the borrower should say which it is.

Who holds the loans, and where

SBA lists 11 loans and $4.3 million under Wells Fargo Bank National Association, and 5 loans and $1.4 million under Hiawatha National Bank, both from SBA's holder field with nothing implied about either bank. Ramsey County, MN has 16 loans, Hennepin County, MN 14, Washington County, MN 7 and Dakota County, MN 6, so St. Paul's county outranks Minneapolis's, which is unusual for a metro list, and a borrower in Washington County, MN or Dakota County, MN will find fewer local precedents than one in Ramsey or Hennepin.

Loss-side rates are absent for the Twin Cities cohort, suppressed by SBA as thin, and neither gap is a zero. Years that print are FY2017 (7 loans, $4.8 million), FY2019 (7, $2.2 million), FY2023 (9, $5.9 million) and FY2024 (6, $1.5 million). The rest are hidden. Wisconsin counties belong to this metro under the 2023 delineation, though none appears among the named rows.

Twin Cities behavioral health: what to prove

Referral sources, payer mix and licensing for the specific service line need testing first, since reimbursement drives revenue far more than foot traffic. The facility must be costed against the $350,500 midpoint and visit volume or census must support debt service coverage after clinical payroll. The appraisal covers the operating practice and the real estate. Loan Analytics prepares the report with Daniel Smith, MAI, as signatory, and no lender decision is promised.