New SBA Refinancing Program Announced
February 20, 2011
URGENT – Any small business with a real estate mortgage maturing before 12/31/2012 should be aware of a recently announced SBA program to assist in refinancing those loans. Applications will be accepted beginning February 28, 2011 for this program which is being administered by SBA under the 504 program. It is only authorized to take applications through September 27, 2012. Please note these comments from the executive summary contained in the announcement:
“Market research shows that a large percentage of commercial mortgages outstanding are set to mature within the next few years, particularly those held by community banks. As real estate values have declined, however, even small businesses that are performing well and making their payments on time can have a hard time refinancing these loans and may need to restructure their debt.
Under the Small Business Jobs Act, the SBA will implement a temporary program—authorized until Sept. 27, 2012—allowing small businesses to refinance eligible fixed assets in its 504 program without requirement of an expansion, as is the case with typical 504 loans. This program will provide small businesses the opportunity to lock in long-term, stable financing, as well as protect jobs.”
Here is the link to the announcement on SBA’s website http://www.sba.gov/content/504-loan-refinancing-program
I am available to assist any business in working with a CDC/lender to obtain one of these loans.
Jeff Greene
216.570.2977
