SBA 504 Behavioral Health Feasibility Study in Utah

Scale, size and standing of Utah behavioral health lending under SBA 504

Between FY2017 and FY2026, SBA authorized 28 loans in the 504 program to behavioral health projects in Utah, carrying $20.5 million in gross dollars. Position: 2 for the Utah SBA 504 behavioral health approvals, and 12 of 39 among Utah's own classes. The median behavioral health loan in Utah is $391,000; against the national median for behavioral health loans under SBA 504, 0.63x is the ratio, so Utah projects use smaller loans as their peers elsewhere. Half of all Utah loans run from $280,500 to $779,750. The franchise share of Utah loans is 0.00%. Over those 28 loans the distinctness margin is never cleared in Utah, so Utah behavioral health lending cannot be told apart from its parent classes, and the detail on lenders, counties and timing is where Utah readers should look.

For Utah behavioral health: lenders and local spread

Among Utah certified development companies, the leaders by loans backed are Mountain West Small Business Finance, 19 loans at $11.5 million and Intermountain Business Lending, Inc., 8 loans at $7.5 million. Since SBA names each Utah behavioral health loan's holder today, Mountain West Small Business Finance could equally be the buyer of a note, not the lender that first wrote it. By county, Salt Lake with 12, Washington with 3, Davis with 2 and Weber with 2 lead the behavioral health approvals in Utah. Timing tells a simple story for behavioral health in Utah: approvals peaked at 6 loans, worth $4.7 million, in FY2021, while the latest year, FY2026, shows 3 loans and $2.0 million; in FY2017 the record opens at 1 loans.

Behavioral health outcomes in Utah under the 504 program, taken as floors

We hold back the Utah behavioral health cancellation rate, because few Utah loans sit in the cohort; read the Utah gap as withheld, not as zero behavioral health cancellations. On Utah behavioral health loans disbursed in FY2017 to FY2021, the Utah behavioral health loss rate is withheld; too few Utah loans sit in that cohort for a stable figure, so no rate appears here, and an empty cell should not be taken as zero losses. Lenders should treat any Utah rate here as a floor and not as a final outcome. One coding limit shapes Utah behavioral health totals: outpatient counseling and substance use programs share both the NAICS codes used for this class, so Utah's count blends the two.

Testing an Utah behavioral health loan request

Because a 504 financing in Utah pairs an Utah certified development company with a separate senior behavioral health lender, the structure rests on Utah real estate the borrower owns, plus long-lived behavioral health equipment, so the study has to prove that an owned behavioral health project can carry two layers of debt. Need for behavioral health services in Utah should be read through payer mix, referral sources and licensing requirements, and not by headcount of residents alone. Build-out for behavioral health sites brings regulatory-driven requirements, including private rooms, and the Utah budget must price that. Debt service coverage runs at $391,000 and also at $779,750, plus a slower case, so an Utah reader sees where behavioral health the margin narrows. An appraisal of a behavioral health property must separate property value from business value, so the study keeps them separate. Institutions such as Mountain West Small Business Finance appear in this Utah record; the record is history, and what Mountain West Small Business Finance or any other Utah lender wants from a behavioral health study is its own to state.

These $20.5 million of Utah approvals are SBA's own Utah records, offered as context for a behavioral health request; the local work is carried by the study that Daniel Smith, MAI, signs for this Utah behavioral health project, and no figure on this Utah page assures an approval.