Gas Station Feasibility Study in Kentucky

Kentucky fuel loans are small and only 7(a)

The distinctive measure for Kentucky is loan size: a median of $450,000 is 0.43x the national midpoint for gas stations and truck stops, a difference our screen counts as distinct, and most requests sit between $333,000 and $885,000. SBA 7(a) is the only program used, with all 41 loans, and no 504 loan appears at 0. Over FY2017 to FY2026 they total $30.2 million, which ranks Kentucky 35 of 53, and the class holds 13 of 39 within the state. A location quotient of 0.73x shows fuel retail is lighter here than nationally.

Brands, lenders and counties

Franchise affiliation reaches 29.3% of loans. Community Trust Bank, Inc. holds 15 loans worth $8.0 million, and The Huntington National Bank has 10 loans totalling $3.6 million, so these two lenders account for most of the file; Huntington's tickets are smaller. Kenton County has 6 loans, Campbell and Jefferson 5 each, and Marion 3, which suggests the northern Kentucky corridor near Cincinnati is a core market.

Cancellation, charge-offs and the calendar

Between FY2017 and FY2024, at least 12.9% of Kentucky fuel approvals fell through, and 16.1% if loans still waiting on disbursement are included. No charge-off history is published, as the funded group falls short of 30 loans, and an empty cell never signals a zero. The annual record has gaps: 8 loans in each of FY2019 and FY2025, none at all in FY2024, and 2 loans worth $9.2 million in FY2026, which implies unusually large tickets in the latest year.

Testing a Kentucky fuel site

Begin with traffic counts and competing stations, then in-store sales that give a site its margin, and keep lender conversations honest about the weak spots. Costs for tanks, canopy and environmental diligence should carry a contingency. With smaller loans than the class elsewhere, a project must be sized to what lenders have financed here. Coverage should be stressed using conservative fuel margins, and the appraisal and brand supply terms deserve early review.

Classification follows the borrower's own industry. Truck stops and travel centers remain inside the fuel station group, and vehicle charging is absent from the 2022 index.