January 4, 2024
December 2023 SBA 504 Funding Rates:
SBA 504 Loans Ruled CRA Eligible:
On October 24, 2023, the Federal Reserve, the FDIC, and the OCC issued a Final Rule amending the agencies’ Community Reinvestment Act (CRA) regulations. All bank loans made in conjunction with a 504 loan will automatically qualify as economic development and meet the Community Development Financing Test for CRA credit. The bank’s permanent loan and the interim loan will both qualify for CRA Credit. All the more reason to think 504.
SBA 504 Rates:
The real estate 504 rates decreased this month. The 25 year and 20 year rates decreased by 43bps and 41bps, respectively from the month prior. The 10 year equipment rate remained as-is from November, as it adjusts every two months.
The real estate 504 rates decreased this month. The 25 year and 20 year rates decreased by 43bps and 41bps, respectively from the month prior. The 10 year equipment rate remained as-is from November, as it adjusts every two months.
Recent SBA 504 Deals from CDC New England:
SBA 504 Term Loans:
- Long-term loans for purchasing land and buildings, new construction, renovation and leasehold improvements, machinery & equipment
- Lowest cost; low rate fixed for 10, 20, or 25 years
- Down payment financing, if needed
- Bridge financing available
*Note Rate 5.334 + 1.464 servicing spread (25 years)
*Note Rate 5.304 + 1.464 servicing spread (20 years)
*Note Rate 5.658 + 1.464 servicing spread (10 years)
*For Loans Approved After 10/01/23
Contact CDC New England:
Paul F. Flynn, Jr., President & CEO
(781) 928-1133
(617) 921-2695 (cell)
Mike Topalian, Managing Director
(781) 928-1122
(508) 612-5661 (cell)
Dave Raccio, Senior VP – Director of SBA Lending
Territory: New England
(860) 218-2901
(203) 780-1097 (cell)
Carol Brennan
Territory: New England
(781) 928-1123
(413) 237-6648 (cell)
Nancy Gibeau
Territories: Massachusetts, Rhode Island, & Connecticut
(508) 254-7891 (cell)
Ryan Johnson
Territories: Massachusetts & New Hampshire
(781) 928-1132
(617) 762-6708 (cell)
Matt Brothers
Territories: Massachusetts, New Hampshire, & Connecticut
(781) 928-1124
(603) 512-3411 (cell)
Lauren Franco
Territories: Connecticut, Western Massachusetts, & Vermont
(860) 299-6025 (cell)
