Quick Service Restaurant Feasibility Study in the Virginia Beach-Chesapeake-Norfolk, VA-NC Metro Area

The $272,000 median in Virginia Beach, VA

Across FY2017 to FY2026, Virginia Beach businesses in limited-service restaurant took 81 approvals worth $36.3 million. The median loan comes to $272,000, with the middle half spanning $125,000 up to $500,000. Compared with the national median for limited-service restaurant, Virginia Beach stands at 0.87x, and that is below it.

Where Virginia Beach, VA stands, 1 of 39 in class

The program split in Virginia Beach is 73 for 7(a) against 8 for 504. Branded units account for 54.3% of Virginia Beach, VA loans in this class. Among metro and micro areas, Virginia Beach, VA is 48 of 779 for limited-service restaurant; inside Virginia Beach, the class itself is 1 of 39. A location quotient of 1.24x leaves limited-service restaurant pulling Virginia Beach, VA lending toward the class harder than national lending. By county, Virginia Beach city, VA leads with 30 loans, then Chesapeake city, VA with 12 and Norfolk city, VA with 12. Virginia Beach is not a one-state area: NC and VA both fall inside it.

Virginia Beach, VA lenders, years and the $36.3 million record

Annual loans peak in FY2023 at 17 ($12.9 million) and bottom out in FY2019 at 8 ($2.1 million). Loan Analytics withholds the years where limited-service restaurant loans were too few to print for Virginia Beach, and does not treat them as zero. Under 7(a) the names are 11 loans and $2.4 million at The Huntington National Bank; 6 loans and $1.6 million at Newtek Bank, National Association; 5 loans and $1.3 million at Truist Bank. The Huntington National Bank is named here as SBA's listed holder of 11 loans; that says what it holds, not what it requires. The Virginia Beach cancellation floor is 16.2%, while its ceiling is not printed, and that is not zero. Virginia Beach-Chesapeake-Norfolk shows 81 loans yet no charge-off rate for limited-service restaurant, since the disbursed cohort holds under 30 loans, and silence is not zero.

What a Virginia Beach study must test at $272,000

Revenue around Virginia Beach-Chesapeake-Norfolk depends on the daypart mix, drive-through and counter volume and delivery and pickup demand, built from the ground up, not from 81 past loans. Cost comes next: a Virginia Beach-Chesapeake-Norfolk budget must carry franchise-related outlays, the pad or buildout and the drive-through lane, each priced against Virginia Beach quotes. Stress Virginia Beach, VA cash flow with a $125,000 loan and a $500,000 loan, then check where coverage weakens. Virginia Beach appraisers will value the lease terms, the building or pad and the fixtures and equipment separately, and the Virginia Beach, VA study ought to price them the same way. The 81 loans are context for the study, while any approval rests on the project and the lender alone.

Method for Virginia Beach, VA's 81 loans

Placement of 81 Virginia Beach-Chesapeake-Norfolk loans runs on the project county. Matching Virginia Beach city, VA and its neighbors to Virginia Beach, VA uses names under the July 2023 delineation. Virginia Beach-Chesapeake-Norfolk cancellation covers FY2017 to FY2024 approvals around Virginia Beach-Chesapeake-Norfolk; charge-offs cover FY2017 to FY2021 disbursements.