SBA 7(a) Charter School Feasibility Study in New York

How large New York charter school loans run

SBA approved 26 SBA 7(a) loans for schools in New York over FY2017 to FY2026, $19.9 million in gross dollars. The median New York loan is $245,000, and the middle half of schools loans runs from $100,000 to $603,750. Measured on the schools median nationwide under SBA 7(a), the New York median is 0.52x, smaller than the nationwide schools book carries. Franchised borrowers account for 7.7% of the schools loans in New York.

On SBA 7(a) loan counts for schools, rank 6 belongs to New York; the class sits at 24 of 39 in New York's own table. The busiest New York year was FY2021, with 7 loans and $3.6 million; with FY2026 at 3 loans, $7.1 million. New York stands at rank 6 among states for 7(a) school lending, with a median ratio of 0.52x, and the table shows approvals recovering after FY2020.

Most New York loans sit with Hanover Community Bank, which holds 5 worth $3.3 million. In New York, Hanover Community Bank is the lead name on 26 loans, SBA's file recording schools loans each holds or held. By area, New York leads with 8 loans, then Suffolk with 5 and Kings with 4. Lower on the list are Queens 3, Erie 2 and Monroe 2.

What the New York outcome figures leave out

Given just 26 loans in New York, the New York approval cohort cannot carry cancellations, and also New York loss rates lack a funded cohort. No gap here claims zero. Charter and private schools share a code, and most charters are nonprofit organizations outside SBA's lending, so New York loans here are largely private-school loans. Financing without SBA never enters New York's tables.

What a New York school study must prove

Enrollment is the revenue base, so show how many students near New York the school can draw. Per-pupil funding follows the child, so the forecast must stay covered if enrollment arrives below target. The building is a major cost, and a loan near $245,000 needs a plan for classrooms, safety and access. Teacher hiring drives quality and cost. An appraiser values a school building on conversion potential, which is limited in a single-purpose layout.