Hotel Feasibility Study in the Syracuse, NY Metro Area

Syracuse: hotels third among classes, with large loans

SBA's file places hotels and motels at position 3 of 39 for Syracuse, and places Syracuse at 81 of 807 among areas. In dollars, the Syracuse record comes to $74.4 million on 28 loans between FY2017 and FY2026. Location quotient 1.38x; median loan $2.6 million, or 1.19x the national median. Syracuse therefore pairs a heavier-than-national weight with larger-than-national loans.

Syracuse is a place where both of the main SBA programs show up in the hotel record, and the dollars per loan are high in both: $74.4 million over 28 loans. That total, together with a middle half from $1.5 million to $3.9 million, tells a borrower to expect a lender to read a hotel request in the millions and to ask for a detailed budget.

Syracuse's central loans, the middle half, span $1.5 million to $3.9 million. Of the 28 loans, 21 are 7(a) and 7 are 504. Empire State Certified Development Corporation is listed as holder of 7 loans carrying $21.1 million, and the page says nothing further about it. Franchised shares stay off the page for Syracuse.

No printable year

Syracuse has no year with enough loans to print, so the page carries no yearly series. Other Syracuse years sit below the line for printing. No cancellation or charge-off rate for Syracuse: its cohort has fewer than 30 loans. Only one code exists for hotels and motels, mixing limited-service and full-service properties together; the Syracuse figures describe lodging in general.

Reading the pieces together, Syracuse hotels rank 3rd locally, sit at 81st among areas and carry a location quotient of 1.38x, with a median 1.19x the national one. That mix is common enough to give a lender familiarity and large enough that a request needs careful justification. The one named holder carries $21.1 million on 7 loans, which shows how much of the dollar volume can sit with a single holder.

What a Syracuse hotel study must test

The study has to show occupancy against the nightly rate, plus revenue for each available room, weighed against what land, building and furnishings will cost, and a payment covered when occupancy lags plan. Against a $2.6 million median and middle-half loans running $1.5 million to $3.9 million, a lender will compare the request with those marks. The plan should say which program it assumes, since the two programs mix in this record. Competing properties near the actual site, and any brand terms, belong in the study.