SBA 7(a) Medical Office Feasibility Study in Indiana

Physician medical office borrowers under SBA 7(a) in Indiana

Indiana borrowers received 58 SBA 7(a) approvals for physician medical office during FY2017 to FY2026, a gross $26.0 million. State rank for physician medical office loan volume is 27, and within Indiana the class stands 14 of 39. The typical Indiana physician medical office ticket, $150,000, sits below the national median for physician medical office under SBA 7(a) (0.60x), and half of approvals land between $75,000 and $300,000. Franchise-flagged physician medical office loans make up 1.7% of the Indiana cell.

Lenders and counties in Indiana

Indiana physician medical office holders: The Huntington National Bank, 14 loans, $4.7 million | Centier Bank, 5 loans, $881,100. The holder names are SBA's, and the loans sit with those lenders today. In Indiana, Hamilton has 13, Marion has 7, Allen has 5, Floyd has 5 and Bartholomew has 4 physician medical office loans.

The FY2017 to FY2026 physician medical office run

By year, FY2017 is the busiest, with 9 loans and $1.8 million, while FY2024 had 7 loans and FY2026 had 3.

Indiana cancellations and charge-offs

In Indiana, at least 10.9% of FY2017 to FY2024 physician medical office approvals were cancelled once approved; counting undisbursed physician medical office loans as cancelled leaves it at 10.9%. Physician medical office loans funded in Indiana in FY2017 to FY2021 number 32; 6.3% stand charged off to date in Indiana (a floor) and 3.1% within five years of approval.

Indiana physician offices: the study's burden

The study begins with the patient base for the specialty and the competing practices, including hospital-employed groups, and the referral and payer mix that revenue rests on. Compare the fit-out budget with the $150,000 median, which suggests many borrowers are fitting out leased space rather than building. Debt service coverage must reflect the months before a new practice is credentialed with payers. If the borrower buys the building, the appraiser will value it as a medical office, and the study should separate real estate income from practice income.

Indiana physicians: scope of these figures

No coding caveat is recorded for physician offices, so Indiana totals above speak to the class itself. The loss floors are minimums on loans that may still fail, which is why the study should model payer delays and credentialing gaps.