Medical Office Feasibility Study in Mississippi

Small-ticket medical offices

Mississippi medical office lending is small and nearly all under 7(a). From FY2017 to FY2026 the state shows 35 loans worth $17.1 million, with 34 under SBA 7(a) and 1 under SBA 504. A $300,000 median equals 0.88x the national figure, and loans in the core run from $101,000 to $572,000. The class is 38 of 53 among the states and 10 of 39 within Mississippi, with a location quotient of 0.84x. No franchise brands appear. None of the metrics stands out against the benchmarks.

Banks and counties

Trustmark Bank has 8 loans worth $1.4 million and BankFirst Financial Services has 6 worth $1.7 million, two local banks that write most of the repeat business. Hinds County has 5 loans, Oktibbeha 4 and Lowndes 3, with Bolivar, DeSoto, Forrest, Leflore, Lincoln, Madison and Tate at 2 each. The map is a mix of the capital region, university towns and smaller markets.

Recent growth

Approvals ran between 2 and 5 loans a year, with FY2022 at $222,000 and FY2023 at $644,700 the lowest dollar years. FY2024 brought 5 loans and $2.1 million, then FY2025 brought 5 loans and $6.9 million, the biggest year by far. FY2026 closed with 3 loans worth $1.6 million. The most recent loans have had little time to season, and with only a few loans in each year, every figure on this page rests on small counts and should be read that way.

What we do not print

Mississippi shows no cancellation floor and no charge-off rate, since the groups behind them are smaller than 30 loans. Neither gap says anything about safety.

What the study has to test

A medical office plan depends on physicians and referrals. The study should count the specialists who will practise in the building, the hospital or health system they are tied to, and the share of patients in the area who are insured. Compare asking rents with what practices pay nearby, and test whether the project is an owner-occupied office or a building leased to several practices. With a median near $300,000, the loan probably covers a practice purchase, equipment, or a modest building. Run debt service with the departure of a key physician. An appraiser values the office as special-purpose medical space, with limited use for other tenants.