Deal Summary
INSIGNIA arranged $1,275,000 of SBA 7(a) acquisition financing for an owner-occupied medical office property in Nutley, New Jersey, with a 25-year term.
| Item | Detail |
|---|---|
| Transaction type | Owner-user acquisition financing |
| Property | Medical office, owner-occupied |
| Location | Nutley, New Jersey 07110 |
| Total financing | $1,275,000 |
| Financing program | SBA 7(a) |
| Term | 25 years |
| Loan to purchase price | 85% |
The Transaction
The borrower acquired a medical office property, consisting of two parcels, to occupy for its own practice. INSIGNIA arranged an SBA 7(a) loan that financed 85% of the purchase price on a 25-year term, the longest available for owner-occupied real estate and well beyond what most conventional commercial real estate loans offer.
Capital Structure
| Item | Detail |
|---|---|
| Loan amount | $1,275,000 |
| Program | SBA 7(a) |
| Term | 25 years |
| Loan to purchase price | 85% |
| Borrower equity | 15% of purchase price |
INSIGNIA
INSIGNIA arranged the financing, including structuring the request, selecting the capital source and coordinating the process through closing. Owner-occupied commercial real estate is a core part of our practice, and SBA programs are among the tools we use for lower-middle market business owners who want to own their building.
This summary describes a closed transaction for informational purposes and is not an offer of financing or a statement of current pricing, which varies with market conditions, property type, sponsor credit and program requirements.
