By Jeff Rauth. Email Here or 248 885-8797. SBA Loan Officer at a Bank That Lends Nationally. 15 Years Commercial Real Estate Experience. Past Commercial Mortgage Broker.
Convenience store loans are divided between having a gasoline component versus no gas. In most cases, a convenience store that sells gas will be classified as a gas station loan and borrowers should seek financing under that category. Loans for convenience stores range based on their loan to value, historical financial performance, borrower experience and credit.
In general, borrowers have two types of loan options for their c-store loan. Conventional bank loans and SBA loans. SBA loans will provide the highest level of financing and some of the longest fixed rates available for this building type. For example 85% loan to cost financing is common for convenience stores. Fixed rates can be for as long as 10 years.
Conventional bank financing will normally provide a quicker loan process for the borrower, however the fixed period will normally only be for only five years with shorter amortization periods of 15 to 20 years. Loan to values will also drop considerably to approximately 60%.