SBA 504 Hotel Feasibility Study in Oregon

Hotels top Oregon's 504 table

Hotel and motel is 1 of 39 among classes in Oregon under 504, which makes lodging the state's leading use of the program. The 49 loans sum to $101.9 million, with a midpoint of $2.0 million, 1.00x the national 504 hotel midpoint, and the middle half runs from $864,000 to $2.8 million. Franchise share is 46.9%, so nearly half of the loans carry a flag. Oregon ranks 23 against other states for this program and class.

Development companies and counties

Evergreen Business Capital holds 20 loans worth $34.8 million. The Mortgage Capital Development Corporation holds 12 worth $33.0 million, Cascade Capital Funding 7 worth $12.9 million, and Northwest Business Development Association 5 worth $11.3 million. Names are the present holders per SBA. Lincoln County, on the coast, leads with 7 loans, Multnomah has 5, Marion 4, and Deschutes, Douglas and Jefferson 3 each, so lodging loans follow tourism corridors as much as population. The year FY2025 shows 10 loans worth $26.0 million against 2 in FY2018.

One code for every kind of hotel

Oregon lodging is counted under a single hotels-and-motels code that lumps select-service and full-service properties, and a roadside motel with a resort. The reader should therefore not compare a particular property to the midpoint without knowing its type. Oregon hotel approvals up to FY2024 show cancellation of at least 11.4%, ceiling identical. The charge-off figure is not printed, because the funded cohort fell short of the loan count SBA requires, and that silence is neither good news nor bad.

Proof an Oregon lodging study owes

A lodging study is built on occupancy and daily rate, so it should document the demand generators: the coast and mountain attractions, business travel, events, and the supply of rooms already competing. Seasonality is severe in much of Oregon, so show monthly occupancy and a trough that the debt can survive. Franchise or independent matters: the study should cost the brand's fees and renovation standards against the rate premium it brings. Construction or renovation per room needs a contractor basis, plus furniture and equipment. Show the payment at stabilised occupancy and in a weaker year, since lodging revenue swings with travel. A hotel appraisal rests on the going concern, so the study should also say what the real estate would bring without the brand.