SBA 504 Hotel Feasibility Study in New Hampshire

New Hampshire hotels: loans far below the national scale

Hotels and motels in New Hampshire borrow under SBA 504 at a fraction of the national scale: the median of $716,000 is 0.35x the nationwide figure, the metric our test finds distinctive. The middle half begins at $387,500 and tops out at $1.4 million, and across the ten fiscal years there are 43 approvals worth $43.6 million. Hotels rank 2 of 39 among the state's classes, though the state stands at 24 among states by count. Franchise share is 23.3%, so many properties are independent inns, a pattern consistent with tourist lodging in a small state.

One development company, and the north country

Granite State Economic Development Corporation shows 35 loans and $30.7 million in the lender table, according to SBA's current-holder record, so most of the class passes through a single name. Carroll County leads the map with 11 loans, ahead of Grafton and Rockingham at 8 each and Hillsborough at 5, with Coos at 3. Approvals reached 7 loans and $14.7 million in FY2025, after 6 loans and $10.5 million in FY2022, against just 1 loan of $468,000 in FY2026.

Hotel approvals through FY2024 lost at least 11.4% to cancellation, a share that reaches 14.3% if the undisbursed are included. Charge-offs are unrated, there being too few early funded loans, and unrated is not a zero.

What a hotel study here has to prove

With no split between limited-service and full-service in the lodging code, the study must define the product. Seasonality is the central issue in New Hampshire: foliage, ski and summer lake periods create peaks, and shoulder months may run at a loss. The study should model occupancy and rate by month from competing properties, not annual averages, and show how the reserve covers the low season. Franchise projects should list brand fees and required renovations; independent inns should show how bookings will be won without a reservation system. The property is the collateral under 504, so purchase or construction cost, renovation scope and condition deserve line-item treatment. The appraisal will separate real estate from the going concern, and a lender will want a coverage test that holds with a weak season. Staffing a remote resort is also a real cost.

At a median of $716,000, a typical New Hampshire project is far smaller than the national 504 hotel, so the study should say what that sum buys: a modest inn, a motel renovation, or a share of a larger project. The room count and the investment per room belong near the top of the document.