An SBA 504 Loan is a great tool for a business to use when considering purchasing, building or renovating owner-occupied commercial real estate. With loan limits up to $12 Million, many commercial real estate Business requests will fall into this range and 1st Commercial Lending is here to help.

An SBA 504 Loan can be used for the following:

  • Purchase, Remodel or Expand Commercial Real Estate
  • Refinance or Consolidate Commercial Real Estate Debt
  • Construct, Expand or Improve Commercial Real Estate

In order for your Business to meet the eligibility requirements for a SBA 504 Loan, it must be for-profit and located in the United States with a net worth less than $15 Million and/or net income after taxes of less than $5 Million. You must occupy or plan to occupy 51% of the real estate as SBA funds are not for Owner-Occupied and not investment properties.

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Program Highlights

  • 640 minimum credit score
  • Loan amounts fROM $500k to $12 million
  • Business must occupy 51% of the property
  • Blended Interest rates start in the 5% range
  • Low down payment - Up to 95% financing available
  • 20 - 25 year terms


Use of Proceeds

  • Real estate - purchase, construction, renovation or refinance of commercial real estate.
  • Machinery & Equipment - purchase
  • Build-Out


  • 504 Loan Structure
    • 50% financing - First mortgage (up to $5 million)
    • 40% financing - SBA 504 second mortgage (SBA Certified Development Corporation provides up to $5 million
    • 10% minimum down payment by the borrower
  • First Mortgage
    • 25 Year Term - Fully Amortized
    • 5, 7 & 10 Year Fixed Interest Rates
    • Prepayment Penalty
  • Second Mortgage
    • 20 Year Fixed Term - Fully Amortized
    • Fixed rate is determined at SBA-guaranteed 504 debenture sale
    • Fees set by CDC
    • Prepayment Penalty
  • SBA Guarantee Fee is paid directly to U.S. Small Business Administration and finance into the loan. Amount varies based on loan guarantee amount. Other customary fees also apply

    All 504 loans are fully amortized and are assumable.

    Loan Proposal Issued In 48 Hours Guaranteed!

    At 1st Commercial Lending, we pride ourselves on guiding each client through the often challenging and confusing process of SBA 504 Financing. Our Business Loan Advisors have over 35 years of combined lending experience and will work with you to evaluate the financial feasibility of the opportunity you are considering.

    To speak with one of our business loan advisors and learn more about the SBA 504 Real Estate Loan program, call us TOLL FREE at (800) 341-6199 or click here to get started online.

    What Our Clients Have To Say

    • 1st Commercial Lending helped me in finding the best terms that I was able to get from any lender, and then saw the process through all the way to closing the deal, capably answering all of my questions and concerns along the way.

      Of all of the lenders that I came across in this search, I found David to be the most knowledgeable and resourceful; he had thorough knowledge of his industry.

      If you have a need for financing the purchase of an agency I would highly recommend that you put 1st Commercial Lending on the "short list" of lenders that you need to give strong consideration to working with.

      Ron Tinnerman - Tinnerman Ins. Agency

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    To speak with a Business Loan Advisor Call Us: (833) 201-4039 or