SBA 504 Grocery Store Feasibility Study in New York

What New York shows for SBA 504 grocery store lending

For grocery store projects in New York, SBA logged 27 approvals, $56.2 million in gross dollars, in New York under 504 across FY2017 to FY2026. Of all the states, New York sits at 3 for grocery store lending under SBA 504 on count, and within New York grocery store takes spot 10 of 39. The median grocery store loan in New York is $1.9 million; against the national median for grocery store loans under SBA 504, 2.21x is the ratio, so New York borrowers take heavier amounts than the typical borrower nationally. Half of all New York approvals fall from $593,500 to $3.1 million. Franchised borrowers account for 11.1% of the 27 loans. At $1.9 million, the New York median is not an outlier among 27 loans; for New York, lean on the named lenders and the local spread.

The institutions and places behind New York's grocery store loans

Within New York, the counties in SBA's files are Kings with 8, Queens with 5, Suffolk with 3 and Erie with 2. Year by year in New York, approvals peaked at 7 loans, worth $15.2 million, in FY2022, and this series closes at 1 loans and $2.6 million in FY2026; this series opened with 0 loans in FY2017.

New York: outcomes, read as minimums for grocery store

For New York grocery store, the rate of cancellation after approval stays blank, since the New York cohort holds too few grocery store loans for a rate; that blank is a withheld figure for this grocery store cohort and should not be read as zero. On New York grocery store loans funded in FY2017 to FY2021, the New York grocery store loss rate is withheld; with so thin a New York cohort we print no number for it, and we do not imply a zero for grocery store. Any rate shown here for New York grocery store counts as a floor, since undisbursed grocery store loans may yet change. No separate coding limit is noted for grocery store, but SBA files New York industries by code, and a grocery store operator in New York may be filed under another class than grocery store.

The work behind a New York grocery store loan application

In New York, two loans sit behind a 504 grocery store project: one from a New York certified development company, one from a separate New York lender. A grocery store study has to demonstrate that the acquired grocery store site and its improvements can service both, with New York equity from the borrower. Sales at a New York grocery store rest on household numbers, nearby grocers and the access from the main corridor. Refrigeration cost, opening stock and early cash needs sit in the New York grocery store plan. Present the New York grocery store case at $1.9 million to start, then at $3.1 million, and one slower year beside each, because the lender in New York expects the study to show the point at which debt service stops being covered. Valuation for grocery store property across New York turns on occupancy cost against sales.

Daniel Smith, MAI, signs the New York grocery store study: the $56.2 million approved before is orientation, while the grocery store study itself tests the local issues; New York approval is never promised here.