Posts tagged Tools for Your Toolbox
Commercial real estate mortgages that are maturing by the end of 2012 can now turn to the U.S. Small Business Administration for help to refinance the loan. SBA is accepting refinance applications for long-term, fixed-rated loans under the SBA 504 program. Loans under this program can be for up to 40 percent of the appraised property value. Applicants must provide at least 10 percent down and the balance must come from another source of funds such as a community development corporation.
For more information, check out www.sba.gov. (Source: REALTOR magazine)
Now that you and your commercial real estate broker have found suitable space to rent, negotiated the lease terms and signed the lease, one last important step as you move forward is to identify and record all critical lease dates that require action. Critical lease dates can include lease expiration dates, rent step-up or escalation dates, renewal and option dates, etc. Failure to manage a particular date could result in such things as a late charge if the full rent is not received; higher rents if a renewal option is not exercised timely; or limited options for new space if the lease expiration date is missed. So knowing and understanding what is contained in your lease agreement is a critical requirement for any commercial tenant.
Small businesses are critical to the strength of our local and national economy. At the monthly meeting for the Commercial Brokers Committee of the REALTORS Association of Lincoln, Michael Niehaus, Lead Lender Relations Specialist of the U.S. Small Business Administration, spoke about the various programs and services they provide to small businesses. If you are looking to start a business or desiring to build and grow your small business, be sure to check out what SBA can offer at www.sba.gov/ne or contact your local lender.