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Commercial Loans of Texas

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Texas Direct Lender Since 1998

Commercial Loans Texas
That Close Fast

SBA – Hard Money – DSCR – Stated Income – Construction – Church Loans
No upfront fees. No tax returns on most programs. Fast approvals. We lend in 44 states.

Call 877-895-3634
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No credit pull to get rates. Same-day response. Direct lender, not a broker.

25+
Years Lending
$500M+
Loans Closed
Same Day
Response

Free — No Credit Pull

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$0
Upfront Fees
Direct
Lender, Not a Broker

Commercial Loan Programs We Close

Every loan type below closes right here in Texas. No middleman. No runaround.

Hard Money

Fast closings, no income docs. Up to 70% LTV. 1-3 year terms.

9% – 13% | 7-14 day close

DSCR Loans

Qualify on rental income, not personal income. Up to 80% LTV. 30-year fixed.

7% – 9% | 30-yr fixed

SBA 504 / 7(a)

Owner-occupied commercial property. Up to 90% LTV. 20-25 year terms.

6% – 7% | Low down payment

Stated Income

Self-employed? No tax returns required. Up to 80% LTV. 5-30 year terms.

8% – 11% | No tax returns

Construction

Ground-up or renovation. Up to 85% LTC. 12-24 month terms with draws.

10% – 13% | Draw schedule

Church Loans

Specialized church financing. Refinance, purchase, renovation. 10-25 yr.

7% – 10% | Texas specialist

Fix and Flip

Purchase and rehab in one loan. Up to 90% of purchase. 6-18 month terms.

10% – 13% | Fast close

30-Year Fixed

Long-term stability on commercial property. Up to 80% LTV. Fully amortized.

7% – 9% | Predictable payments

View All Rate Sheets

How It Works

Most deals get a same-day response. Closings in as few as 7 days on hard money.

1

Call or Click

Call 877-895-3634 or click Get FREE Rate Quote. Tell us about your deal in 5 minutes.

2

Get Your Options

We match your deal to the right program and send exact rates the same day. No credit pull.

3

Close Fast

We handle everything start to finish. Hard money closes in 7-14 days. Conventional in 30-45.

Why Texas Borrowers Choose Us

Closing Texas commercial loans since 1998. Here is what that means for you.

Direct Lender – We Hold the Money

No broker fees, no middleman delays. When we say yes, it is funded.

No Upfront Fees – Ever

You do not pay us until your loan closes. No application or processing fees.

No Tax Returns on Most Programs

Self-employed, LLC, or complex income? Our programs are built for that.

Spanish Speaking Available

Se habla espanol. We serve the full Texas market.

Brokers Protected

We work with mortgage brokers. Your client, your commission. Always.

Statewide Texas Coverage

Houston, Dallas, Austin, San Antonio, and everywhere in between.

What Our Clients Say

4.8 ★  |  37+ verified Google reviews

NJ
Nicole Johnson
Google Review

★★★★★

“Got a challenging loan approved and closed. Best customer service. They get’m DONE in a timely manner.”

WM
Weston Martinez
Google Review

★★★★★

“As a former Texas Real Estate Commissioner I can tell you this group knows what it takes to get business done with prompt professionalism.”

JL
Jesus Life
Google Review

★★★★★

“We are thankful for Dan Peterson and the team who gave us the funds to consolidate our debt. Thank you.”

MS
Mark Spence
Google Review

★★★★★

“Every step from LOI through closing was guided with great service. Highly recommend.”

LR
Lawrence Roberts
Google Review

★★★★★

“Great experience, will do further business with Dan. Responsive, professional, and fast.”

DD
Derek Diaz
Google Review

★★★★★

“I strongly recommend Commercial Loans of Texas! Daniel was instrumental in getting my hard-money bridge loan approved.”

JC
John Coco
Google Review

★★★★★

“Daniel Peterson did a fantastic job closing my construction loan. He went out of his way to make sure I had all my options.”

NJ
Nicole Johnson
Google Review
★★★★★

“Got a challenging loan approved and closed. Best customer service. They get’m DONE in a timely manner.”

WM
Weston Martinez
Google Review
★★★★★

“As a former Texas Real Estate Commissioner I can tell you this group knows what it takes to get business done with prompt professionalism.”

JL
Jesus Life
Google Review
★★★★★

“We are thankful for Dan Peterson and the team who gave us the funds to consolidate our debt. Thank you.”

MS
Mark Spence
Google Review
★★★★★

“Every step from LOI through closing was guided with great service. Highly recommend.”

DD
Derek Diaz
Google Review
★★★★★

“I strongly recommend Commercial Loans of Texas! Daniel was instrumental in getting my hard-money bridge loan approved.”

JC
John Coco
Google Review
★★★★★

“Daniel Peterson did a fantastic job closing my construction loan. He went out of his way to make sure I had all my options.”



See All 37 Google Reviews

Serving Texas & 43 Other States

Based in Texas, we lend in 44 states nationwide.

Near Me
Dallas
Austin
San Antonio
Houston
Fort Worth
Magnolia

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Commercial Loans of Texas – Magnolia, TX – Texas Lender Since 1998
Rates are estimates. OAC. Not all borrowers qualify. Subject to change daily.

Service Areas: Houston | Dallas | Austin | San Antonio | Fort Worth | Near Me TX Construction Rates
Common Questions: Credit Score Required | How Long to Close | Hard Money vs DSCR | Bad Credit OK | DSCR Requirements | No Income Verification | Minimum Down Payment | Documents Required
✆ Call 877-895-3634 📄 Free Quote
Senior Housing Finance

Assisted Living & Memory Care Loans in Texas:
Financing the Fastest-Growing Sector in Healthcare Real Estate

Texas is adding 500,000 residents per year and aging faster than it can build senior housing capacity. The 65+ population in Texas will nearly double by 2040 — creating a structural undersupply of assisted living, memory care, and skilled nursing beds that is already driving occupancy above 90% in most major markets. For operators and investors who understand the licensing and underwriting requirements, this is one of the most compelling commercial real estate opportunities in the state.

55–65%
LTV Range
1.35×
Min DSCR
92%+
TX ALF Avg Occupancy
SBA 10%
Down (Owner-Operated)
Most Common

Type A Assisted Living (16+ Beds)

Texas HHSC-licensed facilities providing 24-hour supervision, personal care, medication assistance, and meals. The dominant institutional format. Underwritten on operator NOI — private pay vs Medicaid mix matters significantly. Private pay operators command 60–70% higher margins.

LTV: 58–65% · Rate: 8–10.5% · License: TX HHSC Type A required
Highest Demand

Memory Care / Dementia

Secured units serving residents with Alzheimer's and dementia. Higher staff ratios, specialized programming, higher daily rates ($150–350/day). Limited supply nationally — memory care vacancy rates are among the lowest in senior housing. Requires additional HHSC licensing beyond standard ALF.

LTV: 55–63% · Rate: 8.5–11% · Premium rates: $150–350/day
Residential Scale

Type B ALF (1–15 Beds)

Smaller residential care homes — often converted SFR or small commercial building. Texas Type B license covers 1–15 residents. Lower capital entry point ($300K–$800K) vs institutional. SBA-eligible. Ideal for operators entering the space with a single home before scaling.

SBA 504: 10% down · Conv: 25–30% · Scale: 6–15 residents
Complex Care

Skilled Nursing Facility (SNF)

Medicare/Medicaid-certified skilled nursing — most complex regulatory environment, highest reimbursement rates, and most lender-intensive underwriting. Requires CMS certification, state licensure, and certificate of need in some Texas counties. Specialty lenders and HUD 232 financing dominant at this level.

HUD 232: 80–85% LTV · Conv: 55–60% · CMS cert required
Market Growth

Independent Living / 55+ Community

Age-restricted apartment communities without care services — residents live independently but in a senior-oriented environment. Amenity-rich, no licensing burden, financed like conventional multifamily. Fastest-growing segment in Texas DFW and Houston suburbs. DSCR and agency financing available.

LTV: 65–75% · Rate: 7–9% · No care license needed
Value-Add

Acquisition & Repositioning

Buy an underperforming ALF (80% occupancy, below-market private pay mix), improve staffing and programming, shift payer mix toward private pay, and refinance at stabilized NOI. Bridge financing during repositioning. Texas has numerous legacy facilities ripe for professional management upgrades.

Bridge: 55–60% as-is · Rate: 10–13% · Refi at 90%+ occ

Texas HHSC Licensing: The Non-Negotiable Before Any Financing

Every lender on an assisted living deal will require proof of current HHSC licensure or a clear timeline to licensure. The license is the business — without it, the facility cannot legally operate. Here's how Texas licensing breaks down:

Type A License

16+ residents. Full 24-hour care including medication management. Requires sprinkler system, licensed administrator, and RN medical director. Application to license: 4–6 months. Annual inspection.

Type B License

1–15 residents. Residential-scale care. Simpler infrastructure requirements. Can operate from adapted SFR. Shorter licensing timeline (2–4 months). Popular entry point for first-time operators.

Memory Care Endorsement

Added to Type A or B license. Requires secured unit, specialized dementia training for all staff, and activity programming documentation. Separate HHSC inspection. Adds 60–90 days to licensing timeline.

Administrator License

Texas requires a licensed Nursing Home Administrator (NHA) or Assisted Living Manager (ALM) for each facility. ALM requires 1-year experience + 40-hour training. Lenders verify the licensed administrator is identified before closing.

CMS Certification (SNF)

Skilled nursing facilities require both state licensure AND CMS Medicare/Medicaid certification. Survey process is separate from HHSC licensing. CMS surveys can take 12–18 months from initial application — factor into your project timeline.

Lender Documentation

Lenders require: current license certificate, most recent HHSC survey (and deficiency responses if any), administrator credentials, and operator track record at other facilities. Deficiency-free surveys = better terms.

What ALF Lenders Want to See

Current HHSC license in good standing — no outstanding citations or enforcement actions
Occupancy at 85%+ sustained for 6+ months — census consistency matters as much as the number
Private pay as 60%+ of payer mix — private pay margins are 3–5× higher than Medicaid, dramatically improving NOI
Experienced operator with 3+ years running licensed ALF or SNF — first-time operators face significantly harder financing
T-12 financials showing stable or growing revenue and positive NOI after all operating costs including management fees
Certificate of occupancy and life safety compliance — sprinkler systems, egress, fire suppression per NFPA 101

What Creates Friction or Kills the Deal

HHSC enforcement actions or outstanding deficiencies — class A or B violations are deal-stoppers until resolved
High Medicaid census (70%+) — Medicaid reimbursement rarely covers cost of care, compressing margins to near-zero
Operator with no track record — most lenders require operating history at a similar facility before financing a new or acquired one
High staff turnover — ALF operations are labor-intensive; turnover above 60%/year signals management problems lenders price in
Deferred building maintenance — life safety issues (sprinklers, fire doors, egress lighting) must be corrected before or at closing
Single-operator dependency — if the licensed administrator or owner-operator is the entire operation, lenders want a succession plan

Assisted Living or Memory Care Facility in Texas? Let's Structure the Financing.

Type A and B ALFs, memory care, independent living, and value-add repositioning — we've financed senior housing across Texas. SBA 504 at 10% down for owner-operators, conventional for investor-owned, bridge for acquisitions and repositioning. Licensed operator or not-yet-licensed with a timeline — bring us both. Term sheet within 24 hours.

Submit Your Senior Housing Deal →

Bad Credit Commercial Loans in Texas — Still Possible

A low credit score does not automatically disqualify you from commercial financing in Texas. Here's what's actually available at every credit level.

500–579
Poor Credit
Options Available ✓
• Hard money bridge loans (asset-based)
• Private money (relationship-based)
• Joint venture with stronger borrower
• Requires strong property equity (65% LTV max)
580–649
Fair Credit
Good Options Available ✓
• Hard money up to 70% LTV
• Stated income programs
• DSCR loans (some lenders)
• Higher rate but fully closeable
650+
Average–Good Credit
Full Menu Available ✓
• All loan programs available
• Stated income, DSCR, bridge
• Best rates and terms
• 75–80% LTV on most programs
Common Myths About Bad Credit Commercial Loans
MYTHYou need a 700+ credit score to get a commercial loan in Texas.
TRUTHHard money and stated income programs go as low as 500. The property's value matters more than your score.
MYTHA bankruptcy or foreclosure automatically disqualifies you.
TRUTHMany direct lenders will work with discharged bankruptcies (2+ years ago) and prior foreclosures. We evaluate the current situation.
MYTHBad credit means you'll pay 20%+ interest.
TRUTHHard money rates in Texas range from 9.99%–12.99% regardless of credit score — the property is the primary collateral.
Bridge Financing

Commercial Bridge Loans in Texas:
Speed When Conventional Can't Move

A bridge loan is short-term, asset-based financing that closes fast and gets out of the way. It's not a replacement for conventional financing — it's what you use when timing, property condition, or deal complexity makes a bank impractical.

🏗️

Lease-Up & Stabilization

Property has significant vacancy and doesn't qualify for permanent financing yet. Bridge covers the acquisition and operating gap while you lease the asset to stabilization.

Typical term12–24 months
ExitPermanent CMBS/bank refi
🔨

Value-Add Renovation

Buying a C-class property and repositioning it to B. Conventional lenders won't touch the as-is condition. Bridge funds acquisition plus renovation draws.

Typical term12–18 months
ExitDSCR loan at stabilization
⏱️

Time-Critical Close

Off-market deal, auction purchase, or motivated seller who needs to close in 10–21 days. Bank timelines of 60–90 days make the deal impossible. Bridge makes it possible.

Typical term6–12 months
ExitRefinance or sale
📋

Entitlement & Permitting

Land or a building in the permit/entitlement process. Construction lenders won't fund until entitlement is in hand. Bridge finances the gap between purchase and shovel-ready.

Typical term12–36 months
ExitConstruction loan
📤

1031 Exchange Timing

45-day identification and 180-day close deadlines under IRC 1031 create timing pressure. Bridge funds the replacement property purchase while the exchange is being structured.

Typical term6–12 months
ExitConventional refi or DSCR

Bridge vs. Hard Money vs. Bank: Side by Side

Three very different tools — knowing when to use each one saves you time, money, and headaches.

Bridge Loan
Hard Money
Bank / CMBS
Best For
CRE value-add, lease-up
Fix-and-flip residential
Stabilized income properties
Close Time
14–30 days
7–14 days
45–90 days
Rate
9–12%
10–13%
7–9%
Max LTV
70–75% LTC
65–75% LTC
65–75% stabilized
Term
12–36 months
6–12 months
5–30 years
Income Requirement
Asset-based, minimal
None
Full DSCR underwrite
Distressed OK?
Yes
Yes
No — stabilized only

Real Texas Bridge Loan Scenarios

How investors use bridge financing to execute deals that conventional lenders simply can't handle:

1
Houston Strip Center — 60% Occupied at Acquisition

Investor acquires a 10-unit strip center at $1.2M with 4 vacant units. At 60% occupancy the NOI doesn't support conventional financing. Bridge loan at 65% LTV ($780K) funds the acquisition. Over 14 months investor leases remaining units, pushing occupancy to 92%. Refinances into CMBS at $1.55M appraised value — pulling $120K cash at refi.

Bridge term: 18 months | Bridge rate: 10.5% | Exit: CMBS at 7.25% | Net outcome: increased property value by $350K, pulled $120K cash at refi
2
DFW Office Building — 1031 Exchange with Timing Pressure

Investor sells an apartment complex and enters a 1031 exchange. With 38 days left in the identification window, they locate a 12,000 SF suburban office building at $1.8M. The seller needs to close in 21 days — impossible for a conventional lender. Bridge loan closes in 18 days. Investor takes 6 months to complete the 1031 paperwork, then refinances into a SBA 504 owner-occupancy loan at 6.8%.

Bridge term: 8 months | Bridge rate: 11% | 1031 exchange completed successfully | Deferred capital gains: ~$210,000
3
San Antonio Mixed-Use — Renovation + Lease-Up

A 6-unit mixed-use building (4 retail, 2 residential) needs $180K in renovations and has 3 vacant units. Purchase price: $650K. Bridge loan covers acquisition ($650K) plus renovation holdback ($180K) = $830K total commitment at 72% LTC. Renovation completed in 9 months, all units leased at market rate. Permanent DSCR loan at stabilization pays off the bridge at a $980K appraised value.

Bridge term: 14 months | LTC: 72% | Renovation via draw schedule | Exit: DSCR at 1.31× coverage
14–21
Days to Close
For experienced borrowers with title open
9–12%
Interest Rate Range
Varies by LTV, deal complexity, borrower experience
75%
Max LTC
Of total project cost (purchase + renovation)
36 mo
Max Term
Standard 12–18 months; complex projects to 36
$500K+
Min Loan Size
Commercial bridge loans; smaller = hard money

Have a Deal That Needs to Close Fast?

Submit your deal — address, acquisition price, rehab scope, and your exit plan. We'll have a bridge loan term sheet back within 24 hours. Texas CRE only.

Get a Bridge Term Sheet →
Broker & Referral Partners

Your Clients Get Funded.
You Get Paid. Fast.

We work with commercial mortgage brokers, residential agents, financial advisors, and CPAs across Texas. When your client needs a commercial loan we can close, you earn a referral fee at closing — no license required.

💵

Referral Fees at Closing

Paid directly to you at closing. No waiting, no invoices. We handle all paperwork.

Fast Answers, No Runaround

You get a direct line to the decision-maker. Term sheet in 24–48 hours, not 2 weeks.

🤝

We Never Poach Your Client

Your relationship stays yours. We close the deal and you stay in the loop the whole way.

📋

No License Required

Referral arrangements are available to anyone in Texas. CPAs, attorneys, agents — all welcome.

🏢

All Property Types

Office, retail, industrial, multifamily, mixed-use, land, hard money — we cover all of it.

🔒

Direct Lender = Real Answers

No middle-man, no broker chain. We underwrite in-house, so we know immediately if we can close.

Step 01

Send Us the Deal

Email or call with the property address, loan amount, and what the borrower needs. Takes 2 minutes.

Step 02

We Respond in 24 Hours

You get a preliminary term sheet or a clear "no" — never left wondering. No wasted client time.

Step 03

We Close the Deal

We handle everything from here. You stay copied on key milestones so your client stays happy with you.

Step 04

You Get Paid

Referral fee wired at closing. Simple, clean, and no paperwork headaches on your end.

"I had a client with a $1.2M warehouse purchase that kept getting turned down by conventional lenders. Sent it to Commercial Loans of Texas on a Friday — had a term sheet Monday morning. Closed in 19 days. My client was thrilled and I had a new referral source for life."

— Commercial real estate agent, Houston TX

Send Us Your Next Deal

No obligation. We'll tell you in 24 hours if we can close it, what the rate looks like, and what your referral fee would be. Most brokers send us 3–4 deals a month once they see how fast we move.

Specialty CRE Finance

Car Wash & Gas Station Loans in Texas:
Financing America's Most Cash-Intensive Businesses

Car washes and gas stations are among the most cash-generative small businesses in Texas — and lenders who understand the sector offer surprisingly favorable terms. The key is matching your property type to the right lender and presenting the business correctly. Here's exactly how these deals get financed.

55–65%
LTV (Car Wash)
50–65%
LTV (Gas Station)
1.35×
Min DSCR Required
SBA 10%
Down (Owner-Occupied)

Express Exterior Car Wash

The dominant format today — conveyor tunnel, unlimited wash memberships, minimal labor. Express washes with 1,000+ active members underwrite like annuities. Texas has seen explosive growth with IQ Car Wash, Mister Car Wash, and regional chains acquiring and building aggressively. Highest lender demand of any car wash format.

Loan Terms

LTV 60–65%
Rate 7.5–9.0%
DSCR Min 1.30×
Amortization 20–25 years
SBA Option 10% down (owner-occ)

What Lenders Focus On

Member count 700+ ideal
Revenue/member $25–40/mo avg
Monthly recurring 60%+ of gross
T-12 car count Trending up
Real estate separate Land value matters

Full-Service & Detail Car Wash

Labor-intensive model — vacuuming, hand drying, interior cleaning. Higher ticket per car ($25–60 vs $10–18 express) but lower volume and higher labor cost. Margins are thinner and lenders scrutinize labor ratios closely. Still financeable with strong T-12 and owner track record. Self-service bays are add-on revenue but lenders don't weight them heavily.

Loan Terms

LTV 55–62%
Rate 8.0–10.0%
DSCR Min 1.35×
Amortization 15–20 years
Lender appetite Selective

Key Underwriting Inputs

Labor % of revenue Target <35%
Car count trend Stable or growing
Revenue per car $28+ average
Owner's experience 3+ years ideal
Lease vs own Own preferred

Independent Gas Station / Convenience Store

Unbranded or locally branded fuel + c-store combo. Lenders underwrite on c-store revenue (NOT fuel margin — fuel margins are thin and volatile). A gas station doing $1.2M/year in c-store revenue with $80K net is fundable. Texas border markets and rural fuel stations serve captive markets with consistent volume. Environmental liability is the primary underwriting hurdle.

Loan Terms

LTV 50–60%
Rate 8.5–11.0%
DSCR Min 1.35×
SBA option Available — 10% down
Phase I/II Required always

What Drives Approval

C-store gross profit Primary income source
Gallons/month Volume confirms traffic
UST age/status Modern tanks = easier
Environmental clean Phase I clear required
Operator experience 3+ years preferred

Branded Fuel Station (Shell, Valero, Chevron, ExxonMobil)

Franchise fuel stations with a major oil brand are the most lender-friendly gas station format. The brand supply agreement, volume guarantees, and equipment standards reduce lender risk. Valero and ExxonMobil have heavy Texas concentration — many operators own 2–10 branded locations and use portfolio financing. SBA works well for first acquisition.

Loan Terms

LTV 55–65%
Rate 7.75–9.5%
DSCR Min 1.30×
Amortization 20–25 years
Portfolio loans Available 3+ locations

Franchise Factors

Supply agreement Review term/renewal
Brand approval Required for transfer
Gallons committed Volume minimums
Equipment standards Canopy, dispensers
C-store concept Branded food = premium

What Gets These Deals Approved

3 years of tax returns showing consistent or growing net income — lenders normalize add-backs carefully on cash-heavy businesses
Clean Phase I Environmental Site Assessment — petroleum sites require it; Phase II if any recognized environmental conditions
Modern underground storage tanks (USTs) installed post-1998 with double-wall construction and leak detection — old tanks are a deal-stopper
Operator with 3+ years in the business — SBA and conventional lenders want a proven track record, not a first-timer
Strong location — traffic count, ingress/egress, competitive density all matter more than the building itself
Car wash: membership base with 700+ active members and recurring revenue above 60% of gross

What Creates Friction or Kills Deals

Environmental contamination — leaking USTs or soil contamination can render a property unlendable until remediation is complete
Cash-heavy business with unexplained revenue — lenders are cautious about car washes and gas stations with income that can't be traced to bank deposits
Single-owner operator dependency — if the owner leaves, does the business survive? Absentee-run operations are harder to finance
Aging underground storage tanks (pre-1985 single-wall) — immediate replacement required, adds cost to acquisition
Declining car count or member churn — a car wash losing 50 members/month is a story lenders don't want to finance
Electric vehicle transition concern — lenders in primary EV markets scrutinize long-term fuel demand more carefully

The Environmental Hurdle: What Every Gas Station Buyer Must Know

Every gas station loan in Texas requires a Phase I Environmental Site Assessment. If the Phase I identifies a Recognized Environmental Condition (REC), lenders will require a Phase II. Here's the process and what it means for your timeline and financing:

Phase I
Desktop review + site walk. $1,500–$3,000. Required 100% of the time. Identifies RECs (recognized environmental conditions).
Phase II
Soil/groundwater sampling. $5,000–$25,000+. Required only if Phase I finds RECs. Quantifies contamination.
Remediation
If contamination confirmed — seller typically responsible. Texas TCEQ VCP program available. Can delay close 60–180 days.
Clear Letter
TCEQ issues No Further Action letter post-remediation. Lenders require this before closing on contaminated sites.

Car Wash or Gas Station in Texas? Let's Structure the Deal.

We specialize in specialty commercial lending that most banks won't touch — car washes, gas stations, c-stores, and branded fuel stations across Texas. SBA 7(a) or 504 for owner-operators, conventional for investor-owned, bridge for value-add acquisitions. Bring your tax returns and Phase I and we'll have a term sheet in 24 hours.

Submit Your Deal →
Industrial & Cold Chain Financing

Cold Storage & Refrigerated Warehouse Loans

Cold storage is the fastest-growing subsector of industrial real estate in Texas, driven by food distribution, pharmaceutical logistics, and e-commerce grocery. It's also the most capital-intensive and specialized warehouse type to finance — here's how we underwrite it.

Refrigerated and frozen warehouse space costs 2-4x more to build than dry industrial space per square foot, once you account for insulated panel construction, refrigeration systems, backup power, and specialized racking. That capital intensity is exactly why cold storage commands rents 40-80% above comparable dry warehouse space in most Texas submarkets — and why lenders underwrite it differently than a standard distribution building.

We finance three categories of cold chain real estate: conversion projects (dry warehouse retrofitted with refrigeration), ground-up cold storage construction, and acquisition of stabilized, tenant-occupied cold facilities. Each carries a different risk profile and different terms.

What Drives Underwriting on Cold Storage

Refrigeration equipment age and condition matters more here than almost any other industrial category — a facility with an aging ammonia refrigeration system nearing end-of-life represents real capital risk that shows up in our underwriting, regardless of how strong the tenant's credit is. We also look closely at backup power (a cold facility without generator redundancy is one extended outage away from a total loss of inventory, which affects both insurance and lease structure), dock configuration for temperature-controlled loading, and whether the tenant's use is single-temperature or multi-temperature (freezer, cooler, and ambient zones in one building command premium rent but also premium construction cost).

Common Cold Storage Deal Types We Fund

Conversion

Dry-to-Cold Retrofit

Converting existing dry industrial to refrigerated space. Lower basis than ground-up, but requires careful underwriting of the building shell's ability to support insulation and refrigeration load.

Ground-Up

Build-to-Suit Cold Facility

New construction for a food distributor, grocery e-commerce fulfillment operator, or 3PL with a signed long-term lease. Highest cost basis, but strongest underwriting when anchored by a credit tenant.

Acquisition

Stabilized Cold Facility Purchase

Buying an existing, leased cold storage asset. We underwrite off in-place NOI, remaining lease term, and refrigeration system remaining useful life.

Typical Texas Cold Storage Deal Terms

Loan-to-Value / Loan-to-Cost
60-70%
Rate Range
7.75-10.5%
Term (Bridge / Stabilized)
18-36 mo / 5-10 yr
Minimum DSCR (Stabilized)
1.25x
Construction Cost per SF (Refrigerated)
$120-$220

Texas's cold storage boom is concentrated around DFW, Houston, and San Antonio — driven by their positions as national distribution hubs and the continued growth of grocery e-commerce and meal-kit fulfillment. If you're acquiring, converting, or building refrigerated warehouse space anywhere in the state, send us the deal specifics — refrigeration system details, tenant credit, and lease terms if applicable — and we'll underwrite it directly.

Financing a Cold Storage Deal?

Conversion, ground-up, or acquisition — tell us the specs and we'll tell you what it qualifies for.

Submit Your Deal →
New Construction

Commercial Construction Loans in Texas:
Ground-Up Financing That Moves

Commercial construction loans fund the build, not the finished product. Understanding how they're structured — draws, inspections, interest reserves — tells you what to expect from Day 1 through certificate of occupancy.

🏗️Ground-Up Construction

Funds horizontal development and vertical construction on raw or entitled land. The most complex construction loan type — requires complete plans, permits, cost breakdown, and contractor vetting. Interest paid on drawn balance only.

Loan-to-CostUp to 70–75% LTC
Loan-to-ARVMax 65% of completion value
Term12–24 months
InterestOn drawn balance (IO)
ExitPerm loan, sale, or CMBS refi

🔨Gut Rehab / Major Renovation

Existing structure being taken down to studs — new MEP, new interior, potentially new exterior skin. Treated like construction by most lenders. Requires full scope of work, licensed GC, and draw schedule aligned to renovation phases.

Loan-to-CostUp to 75% LTC
Max ARV loan65–70% of ARV
Term12–18 months
Draws3–5 per project
InspectionThird-party per draw

🏢Build-to-Suit

Construction of a commercial building pre-leased to a specific tenant. The lease agreement reduces lender risk significantly — many build-to-suit deals close at 75–80% LTC because a credit tenant lease is essentially collateral. Office, industrial, and healthcare are common BTS property types in Texas.

Loan-to-CostUp to 80% (with credit tenant)
Term12–24 months construction
ExitPermanent NNN loan or sale
Rate advantageOften 0.5–1% lower rate

🏘️Horizontal / Land Development

Raw land development — utility infrastructure, roads, pads. Highest risk construction category. Lenders look closely at entitlement status, absorption projections, and developer experience. Typically requires 30–35% equity with proceeds released in phases as lots sell or infrastructure milestones are reached.

Loan-to-Cost60–70% LTC
Equity required30–40%
Term18–36 months
PrerequisiteEntitlement in hand preferred

How Construction Draw Schedules Work

The full loan amount isn't disbursed at closing — it's released in stages as verified construction milestones are completed. Here's a typical 5-draw commercial construction loan:

Draw 1
10%

Foundation & Mobilization

Released at loan close after land acquisition confirmed. Covers site prep, utility rough-ins, and foundation work.

Footings poured and inspected · Utility connections started · GC mobilized on site
Draw 2
25%

Framing Complete

Largest draw — framing is the most material-intensive phase. Structural inspections required before release.

Framing passed inspection · Roof deck installed · Windows and exterior doors rough-in
Draw 3
25%

Rough MEP Inspections

Mechanical, electrical, and plumbing rough-ins complete — the work that lives inside the walls before drywall goes up. Must pass city inspection.

Electrical rough-in passed · Plumbing rough-in passed · HVAC ductwork complete
Draw 4
25%

Drywall & Interior Finishes

Drywall hung and finished, interior finishes in progress. Exterior complete. Lender inspection confirms progress matches disbursement.

Drywall complete and taped · Exterior paint/finish done · Flooring in progress
Draw 5
15%

Certificate of Occupancy

Final draw released upon receipt of Certificate of Occupancy from the city. Building is complete, punch-list done, ready for occupancy or lease-up.

CO issued by city · Final inspections passed · Lien waivers from all subs collected

Construction Loan Qualifies If:

Borrower has prior development or construction experience
Licensed, bonded general contractor with commercial project history
Complete construction plans, permits in hand or in review
Detailed cost breakdown with contractor bids for major trades
Realistic completed value supported by market comps or pre-lease
Borrower equity of 25–35% or strong land position
Clear exit strategy: permanent loan, sale, or lease-up with known tenant

Construction Loan Won't Work If:

No entitlements or permits — lenders won't fund speculative pre-approval
No licensed GC — owner-builder commercial loans are extremely rare
Construction budget unsupported by contractor bids ("I'll figure it out")
No equity — 100% LTC deals are essentially unavailable outside equity JV structures
Unrealistic completion timeline (bank requires completion reserves for overruns)
No clear take-out plan — lenders won't fund if exit is unknown
75%
Max LTC
Of total project cost; less for land-heavy deals
65%
Max LTV (ARV)
Based on completed appraised value
24 mo
Max Term
12-24 months typical; complex projects to 36
IO
Payment Type
Interest-only on drawn balance during construction
$500K
Min Loan
Minimum project size for commercial construction

Shovel-Ready or Planning Stage — We Want to Hear About It

Submit your project summary: property address, plans status, total project cost estimate, and your contractor. We'll tell you where you stand and what the financing looks like within 24 hours.

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Why Use a Direct Lender Instead of a Broker?

Commercial Loans of Texas lends our own money — we don't broker your loan to someone else. Here's why that matters on every deal.

✦ Commercial Loans of Texas — Direct Lender
We make the lending decision in-house — no third party to approve or deny you
No broker markup — the rate we quote is the rate you pay
Close in 7–14 days — no waiting for an out-of-state lender to review your file
One point of contact from application to funding — no hand-offs
We can structure creative deals brokers can't — because it's our capital
Flexible underwriting — we look at the whole picture, not just a checklist
Portfolio lender — we keep loans, so we care about long-term relationships
⚠ Typical Mortgage Broker
Submits your file to 3–5 lenders — any one can kill the deal
Adds 1–2 points on top of the lender's rate as their fee
Closing takes 45–90 days — dependent on the end lender's timeline
You talk to the broker, who talks to the lender, who makes the call
No ability to negotiate terms — locked into lender's program guidelines
Rigid underwriting — file gets declined if it doesn't fit a box
No long-term relationship — they get paid and move on

Bottom line: When you work with a direct lender, you get a faster answer, a lower rate, and someone who actually has skin in the game. We've been direct lending in Texas since 1998 — not brokering, not selling your loan to Wall Street. Your loan stays with us.

In-Depth FAQ

The Questions Serious Borrowers Ask

Beyond the basics — answers to the harder questions about commercial financing in Texas.

Yes. We lend to newly formed LLCs regularly. The property qualifies, not the entity. We look at the deal — purchase price, ARV, rental income, and your personal guaranty. Your LLC doesn't need tax returns, bank statements, or P&Ls. Most of our borrowers use LLCs for asset protection and we're set up to underwrite them from day one.
Not automatically. Discharged bankruptcy (2+ years ago) is workable on hard money and stated income loans because we're not underwriting to Fannie Mae guidelines. We look at: the reason for the bankruptcy, your equity in the deal, your exit strategy, and your experience. A single medical bankruptcy with a strong deal behind it is very different from a pattern of financial defaults.
Cross-collateralization is allowed on our portfolio loans — meaning equity in another property you own can serve as additional collateral instead of cash. Gift funds are case-by-case depending on the loan type. For hard money fix-and-flip, we typically require the borrower to have some skin in the game (minimum 10–15% of project cost from own funds), but creative structures are possible.
Hard money and stated income rates run 9–14% vs. 7–8% bank rates — roughly 2–5% higher. But compare the full picture:
  • Speed: We close in 5–15 days. Banks take 45–90 days. On a competitive deal, speed is worth $10,000+.
  • Access: Banks decline self-employed borrowers, LLCs with no history, and non-standard property types. We say yes where they say no.
  • Terms: 1–3 year bridge vs. 30-year bank. You're not paying 12% for 30 years — you're paying it for 6 months to bridge to a refinance or sale.
On a 6-month flip with $50K profit, paying an extra 3% annualized costs ~$6,000. The profit math still works overwhelmingly.
Most of our bridge and hard money loans have no prepayment penalty after a short lock period (typically 3–6 months). We want you to pay off fast — it frees capital for us to redeploy. For longer-term commercial loans (5+ years), there may be a step-down prepay. We'll always disclose this on your term sheet before you commit to anything.
Typical all-in closing costs on our loans:
  • Origination: 1.5–3 points (1 point = 1% of loan amount)
  • Appraisal: $400–800 for residential, $1,500–3,500 for commercial
  • Title & escrow: $800–1,500
  • Recording/doc fees: $200–400
No junk fees. No application fees to start. We give you a full fee breakdown on your term sheet.
For a preliminary term sheet we need:
  • Property address
  • Purchase price or current value
  • Loan amount requested
  • Your intended use (flip, rental hold, refinance, bridge)
That's it. No tax returns, no financial statements, no application fee. We'll respond within 24 hours with whether we can do it and at what rough terms.
Yes — we've closed in 3 business days. The variables: title search turnaround (usually 3–5 days in TX), appraisal or inspection scheduling, and how fast you return signed docs. If you have a clean title, a cooperative seller, and we've already pre-qualified you, a week is realistic. Tell us your closing deadline upfront and we'll tell you honestly if we can hit it.
Yes — vacant properties are our specialty. Banks won't touch them. We lend on the after-repair value (ARV), not the current as-is condition. A vacant building with $0 income today but $200K ARV after renovation is a deal we do every month. The key is a realistic rehab budget and a clear exit strategy (sell or refi to a permanent loan).
Mixed-use: yes, routinely. Gas stations: yes, with environmental review. Special-purpose (churches, car washes, daycares): case by case — these have limited resale markets so we underwrite more conservatively. The rule of thumb: if it generates income and has Texas real estate as collateral, talk to us. We'll give you a fast yes or no rather than making you wait 3 weeks to find out.

Have a question that's not here? Call or submit your deal — we answer in plain English, same day.

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Reference Guide

Texas Commercial Real Estate Glossary

30+ key terms every commercial real estate borrower and investor should know — from NOI to DSCR to cap rate. Click any term for a plain-English explanation.

All
Valuation
Financing
Income & Cash Flow
Loan Structure
Legal & Title
IncomeNOINet Operating Income

Annual rental income minus all operating expenses — but before mortgage payments, depreciation, and income taxes. NOI is the single most important number in commercial real estate underwriting. It's what the property earns, independent of how it's financed.

NOI = Gross Rental Income − Vacancy Loss − Operating Expenses
Note: Does NOT subtract mortgage P&I
ValuationCap RateCapitalization Rate

Cap rate converts a property's NOI into a value. Divide NOI by the cap rate to get value. Lower cap rate = higher price relative to income (used in stronger markets). Higher cap rate = more income relative to price (used in secondary markets or distressed assets). Cap rates are market-driven — no formula sets them.

Cap Rate = NOI ÷ Property Value
Property Value = NOI ÷ Cap Rate
Example: $100,000 NOI ÷ 6.5% cap = $1,538,461 value
FinancingDSCRDebt Service Coverage Ratio

Measures how well a property's income covers its mortgage payment. 1.0x = break-even (income exactly equals debt payment). 1.25x = 25% cushion above the payment. Most commercial lenders require 1.20x–1.25x minimum. DSCR loans use this ratio as the primary qualifying metric instead of borrower income.

DSCR = Annual NOI ÷ Annual Debt Service
Example: $120,000 NOI ÷ $96,000 payment = 1.25x DSCR ✓
FinancingLTVLoan-to-Value Ratio

The loan amount expressed as a percentage of the property's appraised value. 75% LTV on a $400K property = $300K loan. LTV determines how much equity the borrower must contribute. Lower LTV = more equity cushion = lower risk for lender = potentially lower rate. Commercial DSCR loans typically max at 75–80% LTV.

LTV = Loan Amount ÷ Appraised Value × 100
Example: $300,000 ÷ $400,000 = 75% LTV
FinancingLTCLoan-to-Cost Ratio

Used in construction and value-add lending. The loan amount as a percentage of the total project cost (land + construction/rehab). Different from LTV, which uses appraised value. Most construction lenders will lend 75–80% LTC. At 75% LTC on a $500K project, the loan is $375K and you contribute $125K.

LTC = Loan Amount ÷ Total Project Cost × 100
Example: $375,000 ÷ $500,000 = 75% LTC
ValuationARVAfter Repair Value

The estimated market value of a property after all planned renovations are complete. Used heavily in hard money lending and fix-and-flip underwriting. Lenders typically lend based on purchase price LTV, not ARV — but ARV determines whether the deal makes sense and how much equity will be created by the rehab.

Profit = ARV − Purchase Price − Rehab Cost − Carrying Costs − Selling Costs
70% Rule: Max offer = (ARV × 0.70) − Rehab Cost
IncomeCoCCash-on-Cash Return

Annual pre-tax cash flow divided by total cash invested. The real-world return on your out-of-pocket investment after paying the mortgage. Different from cap rate (which ignores financing). A 6% cap rate property with 75% LTV at today's rates might yield only 2–4% cash-on-cash — or even negative. CoC is what actually lands in your account.

CoC = Annual Cash Flow (after debt service) ÷ Total Cash Invested × 100
Example: $6,000 annual CF ÷ $80,000 invested = 7.5% CoC
IncomeGRMGross Rent Multiplier

A quick screening metric: property price divided by annual gross rent. Lower GRM = more rent relative to price = better income deal. Useful for rapidly comparing deals in the same market but not a substitute for full underwriting — it ignores expenses, vacancy, and debt service completely.

GRM = Purchase Price ÷ Annual Gross Rent
Example: $300,000 ÷ $30,000/yr = 10x GRM (fairly typical in TX)
StructureIOInterest-Only Loan

A loan where payments cover only the interest owed — no principal is paid down during the IO period. Common in bridge loans, hard money, and commercial deals where the investor plans to sell or refinance before the loan converts to amortizing. IO maximizes cash flow during the hold period but leaves the full principal balance due at maturity.

Monthly IO Payment = Loan Amount × (Annual Rate ÷ 12)
Example: $300,000 × (10% ÷ 12) = $2,500/month
StructureBalloonBalloon Payment

A large lump-sum payment due at the end of a loan term — often the entire remaining principal. Commercial loans frequently have a 5-year or 10-year balloon on a 25–30 year amortization schedule. This forces a refinance or sale at maturity. Know your balloon date and have your exit strategy in place 12–18 months before it hits.

LegalTitleClear Title & Title Insurance

Title is legal ownership of a property. "Clear title" means no undisclosed liens, judgments, or ownership disputes cloud the property. Title insurance protects lenders and buyers from title defects discovered after closing. In Texas, title insurance rates are set by the state — the premium is the same regardless of which title company you use, so shop for service quality.

Legal10311031 Like-Kind Exchange

An IRS provision allowing investors to defer capital gains taxes by rolling proceeds from one investment property sale directly into the purchase of another "like-kind" property. Rules: identify replacement property within 45 days of closing; close within 180 days; use a qualified intermediary to hold funds. Can be repeated indefinitely — some investors never pay capital gains tax in their lifetime.

Key deadlines: 45 days to identify replacement | 180 days to close
Must be investment property (not primary residence)
IncomeVacancyVacancy & Credit Loss

The expected percentage of potential rent lost to vacant units and uncollected rent. Lenders apply a standard vacancy factor (typically 5–10% for residential, 10–15% for commercial) when underwriting — even if the property is 100% occupied today. This is the difference between "potential gross income" and "effective gross income."

Effective Gross Income = Potential Gross Income × (1 − Vacancy Rate)
Example: $120,000 potential × (1 − 0.08) = $110,400 effective

Ready to Apply These Concepts to Your Deal?

Submit your deal — Daniel will walk through the numbers with you and issue a term sheet in 24 hours.

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Hospitality Financing

Hotel & Hospitality Loans in Texas:
How Lenders Underwrite Operating Properties

Texas is one of the top hotel markets in the United States — driven by corporate travel in Houston and Dallas, leisure demand in Austin and the Hill Country, and convention traffic in San Antonio. Hospitality financing is specialized: lenders analyze revenue-per-available-room, occupancy rates, and brand agreements rather than standard lease-based cash flows. Here's what you need to know.

68%
TX Hotel Occupancy (2026)
$142
Average TX RevPAR
55–65%
Typical LTV on Hotels
1.35×
Min DSCR Most Lenders

Hotel Types We Finance

Most Lendable

Branded Limited-Service

Hampton Inn, Courtyard, Fairfield, Holiday Inn Express. Strong flag recognition, predictable ADR, proven franchise systems with mandatory PIPs and brand standards enforcement.

LTV: 60–65% · Rate: 7.5–9.0% · DSCR min: 1.35×
Strong Market

Extended Stay

WoodSpring, InTown Suites, Extended Stay America. Weekly/monthly rates, lower operating costs per key, recession-resistant demand base (insurance, construction crews, relocating workers).

LTV: 60–65% · Rate: 7.75–9.25% · DSCR min: 1.35×
Higher Rate

Independent / Boutique

Non-branded hotels with distinct positioning. Strong story and RevPAR track record required. Limited comparable data makes appraisal harder — lenders apply more conservatism.

LTV: 55–60% · Rate: 9.0–11.0% · DSCR min: 1.40×
Specialized

Full-Service / Select-Service

Hilton, Marriott, Hyatt full-service or brands like AC, Autograph, Tapestry. F&B and meeting space add revenue but also complexity. Higher ADR markets support the underwrite.

LTV: 55–65% · Rate: 7.5–9.0% · DSCR min: 1.40×
Value-Add

Flag Conversion

Acquiring an independent or weak-flag property and converting to a stronger brand. Bridge loan funds the acquisition and PIP; permanent loan placed once the flag is secured and renovations complete.

Bridge LTV: 55–60% · Bridge Rate: 10–13% · Term: 18–24 mo
Emerging

Glamping / Outdoor Resort

Yurts, treehouses, airstream parks, and cabin resorts — Texas Hill Country and East Texas piney woods driving demand. Limited comparable data; underwritten on STR income projection + land value.

LTV: 50–60% · Rate: 10–13% · Case-by-case

The Three Metrics Every Hotel Lender Uses

Unlike multifamily or retail, hotel underwriting centers on three operating metrics that don't appear in any other commercial real estate category:

RevPAR

Revenue Per Available Room. The primary top-line metric. Calculated on ALL rooms — occupied and vacant — so it captures both rate and occupancy performance in a single number.

Lenders benchmark your hotel's RevPAR against the competitive set (your STR report). RevPAR index above 100 (outperforming the comp set) is a meaningful positive underwriting factor.

RevPAR = ADR × Occupancy Rate

NOI (After FF&E Reserve)

Net Operating Income after a mandatory FF&E (furniture, fixtures, and equipment) reserve — typically 4–5% of gross revenue set aside for ongoing capital replacement. Hotels depreciate faster than other asset types; lenders won't ignore this.

DSCR is calculated on NOI after FF&E reserve, not before. Most branded hotels require a minimum 4% FF&E reserve as a franchise condition.

Hotel NOI = Gross Revenue − Operating Expenses − FF&E Reserve

Trailing 12 vs. T-3 Annualized

Lenders look at both the trailing 12 months of operating history and the trailing 3 months annualized. If the T-3 annualized is significantly higher than T-12, the property is trending up — which lenders weigh favorably. A declining T-3 relative to T-12 raises concern.

Seasonal Texas markets (Hill Country, coastal) are analyzed on a 12-month rolling basis rather than peak season only.

T-3 Annualized = Last 3 Months Revenue × 4

What Makes a Hotel Loan Approvable

Stabilized occupancy 65%+ over trailing 12 months (market-dependent)
RevPAR index ≥ 95 vs. competitive set (STR report in file)
Branded flag with franchise agreement extending beyond loan term
PIP (property improvement plan) completed or funded — no outstanding brand requirements
Experienced hotel operator — own or third-party management company with track record
NOI (after FF&E reserve) supports 1.35× DSCR at proposed loan amount
Strong Texas market with diversified demand generators (corporate + leisure)

What Makes Approval Harder

Occupancy under 60% — lender will stress-test heavily or decline until stabilized
Outstanding PIP with unfunded capital requirements — lender holds reserve until complete
Single demand generator (one large employer or one seasonal event) — concentration risk
First-time hotel owner — hospitality is operationally intensive; track record matters
No branded flag — independent properties require stronger performance history
Market oversupply — new supply pipeline can erode RevPAR during loan term

Brand Flags: How Lenders View Them

Brand FamilyLender ReceptionNotes
Marriott (Hampton, Courtyard, Fairfield)FavorableConsistent system-wide standards, high distribution through Marriott Bonvoy loyalty program, strong ADR support
Hilton (Hampton, Garden Inn, DoubleTree)FavorableHilton Honors drives significant direct bookings; strong brand recognition across all segments
IHG (Holiday Inn Express, Candlewood)FavorableValue-oriented brands with broad market coverage; strong extended-stay (Candlewood) track record in TX
Choice Hotels (Comfort Inn, Quality)Case-by-CaseMid-tier brands acceptable in secondary markets; lenders look carefully at comp set and RevPAR index
Independent / Soft BrandCase-by-CaseStrong operating history and unique positioning can overcome lack of flag — boutique Austin/SA properties often work
Economy Flagged (Super 8, Motel 6)SelectiveLower ADR compressed margins; require stronger occupancy history; bridge/private capital often more appropriate

Hotel or Hospitality Property to Finance in Texas?

We've closed hospitality loans on limited-service branded hotels, extended-stay properties, boutique independents, and glamping resorts across Texas. Provide your STR report, trailing 12-month P&L, and franchise agreement, and we'll have a term sheet within 48 hours. Flag conversions, acquisitions, refinances, and value-add bridge loans — we handle all of them.

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Industrial Real Estate

Industrial & Warehouse Loans in Texas:
Financing the Asset Class That Won the Decade

Industrial real estate — warehouses, distribution centers, flex space, and manufacturing buildings — has been the top-performing commercial asset class for a decade and Texas sits at the center of it. The state's position as a logistics hub, its proximity to Mexico, its port infrastructure at Houston, and its role as a major e-commerce distribution center for the south-central US make Texas industrial one of the most compelling investment stories in CRE. Here's how the financing works.

3.8%
TX Industrial Vacancy (2026)
65–75%
LTV Range
6.5–8.5%
TX Industrial Cap Rates
1.25×
Min DSCR Required
Most Lendable

Bulk Distribution / Warehouse

100,000+ SF single-tenant distribution centers on long NNN leases. Amazon, FedEx, Home Depot, and large 3PLs. Underwritten on tenant credit and lease term. Texas logistics corridors (I-35, I-10, I-20, I-45) are the epicenter.

LTV: 70–75% · Rate: 7.0–8.25% · DSCR: 1.20×
High Demand

Last-Mile Distribution

Smaller infill warehouses (20K–80K SF) in urban locations serving same-day delivery. Tight vacancy nationwide. Premium rents, high investor demand. DFW and Houston submarkets are top-5 nationally.

LTV: 68–73% · Rate: 7.25–8.5% · DSCR: 1.25×
Versatile

Flex / R&D Space

Office/warehouse combination — front office buildout with warehouse or light manufacturing behind. Dominant small-business industrial product. Consistent demand from contractors, tech, distribution, light manufacturing.

LTV: 65–70% · Rate: 7.5–8.75% · DSCR: 1.25×
Specialized

Cold Storage / Refrigerated

Food-grade cold storage and refrigerated distribution. Capital-intensive buildout creates deep tenant stickiness. Growing demand from grocery delivery and food processing. Specialty lenders required.

LTV: 60–65% · Rate: 8.0–10% · Specialized uw
Owner-Occupied

Manufacturing / Light Industrial

Business owner buying the facility their company operates from. SBA 504 at 10% down available if 51%+ owner-occupied. Texas manufacturing has grown steadily — semiconductor, EV, defense, and food processing sectors driving demand.

SBA 504: 10% down · Conv: 25–30% · Rate: 6.75–8.5%
Value-Add

Multi-Tenant Industrial Parks

5–30 tenant industrial parks with 3K–15K SF bays. Diverse tenant base reduces risk. Common value-add target — buy at below-market rents, drive to market over 2–3 year lease roll. Bridge then perm at stabilization.

LTV: 62–70% · Rate: 7.5–9.5% · Bridge available

What Industrial Lenders Want

Clear span, dock-high loading, adequate truck court — functional building specs that serve multiple tenant types
Lease terms with 3+ years remaining — industrial leases of 3–10 years are standard; longer is better
Stabilized occupancy 90%+ for multi-tenant; single-tenant on long NNN lease
Strategic location — proximity to major highways, intermodal, or airport is a material positive
No environmental concerns — Phase I environmental report required on all industrial loans
Rents at or below market with near-term renewal upside

What Adds Friction

Environmental contamination — prior industrial use creates potential liability that must be resolved before closing
Obsolete specs — low ceiling heights (<24'), no dock doors, outdated power — limits the tenant pool
Single-tenant short-term lease — if the tenant leaves, what's the re-tenanting plan?
Remote location without highway access — limits future demand if current tenant exits
Heavy manufacturing use — specialized buildout that few tenants can use reduces liquidity
Lender unfamiliarity — some banks don't actively lend industrial; seek a lender with a track record in this asset class

Top Texas Industrial Markets

DFW Metroplex

800M+ SF industrial base — #1 nationally

Alliance, South Dallas, Great Southwest, Mesquite. Amazon, FedEx, UPS all have mega-hub presence. I-35E and I-20 corridors dominate leasing activity.

Houston / Gulf Coast

650M SF — petrochemical + port logistics

Port of Houston is the #1 US port by foreign tonnage. Bayport, Barbours Cut drive container-related distribution. Energy Corridor generates industrial support demand.

San Antonio / Laredo

Nearshoring boom — Mexico supply chain

I-35 corridor from San Antonio to Laredo is the most active nearshoring industrial corridor in North America. Automotive parts, electronics, consumer goods from Mexico.

Austin / Central Texas

Tech + semiconductor manufacturing

Samsung ($17B fab), Tesla Gigafactory, Applied Materials — semiconductor supply chain has created a new industrial ecosystem in Round Rock, Hutto, Kyle, and Manor.

El Paso

Twin-plant maquiladora gateway

Largest border city industrial market. Manufacturing and distribution serving Juárez maquiladora complex. Fastest-growing industrial rents in Texas 2024–2026.

Secondary Markets

Lubbock, Midland, Corpus, Waco

Energy sector support, agricultural processing, and regional distribution driving demand in secondary Texas markets. Cap rates 75–125 bps higher than primary markets.

Industrial Property to Finance in Texas? Let's Underwrite It.

From 5,000 SF flex bays to 500,000 SF bulk distribution — we've financed all formats across Texas. Send us your rent roll, lease abstracts, and a description of the building specs, and we'll have a term sheet within 24 hours. SBA for owner-occupied, conventional for investor-owned, bridge for value-add.

Submit Your Industrial Deal →
Land & Development Financing

Commercial Land Loans in Texas:
What Lenders Fund and Why It's Different

Land is the highest-risk loan category in commercial real estate — it produces no income to service debt, and its value is entirely speculative until something is built on it. Yet Texas's growth means land deals are everywhere. Here's how to get yours funded.

Land Types and What Each Gets You

Hardest to Finance

Raw / Unentitled Land

No utilities, no entitlements, no clear development plan. Pure speculation. Most institutional lenders won't touch this — requires private/bridge capital or seller financing.

40–50%
Max LTV
12–16%
Rate Range
1–2 yrs
Max Term
Moderate

Land with Infrastructure

Utilities stubbed to the property line, road access confirmed, some grading or site work done. More lendable — reduces "how do we get there" risk.

50–60%
Max LTV
11–14%
Rate Range
2 yrs
Max Term
More Lendable

Entitled / Permitted Land

Zoning approved, preliminary plat filed or approved, environmental cleared. This is what turns a speculative land play into a financeable development deal.

60–70%
Max LTV
9–12%
Rate Range
2–3 yrs
Max Term
Most Fundable

Shovel-Ready / Pad Sites

Fully entitled, engineered, permitted, with a builder or tenant lined up. This is the closest land gets to an income-producing asset — and lenders price it accordingly.

65–75%
Max LTV
8–11%
Rate Range
2–5 yrs
Max Term

What Makes a Land Loan Approvable

Clear exit strategy: builder LOI, development timeline, or refinance plan post-entitlement
Borrower has development experience — this is not a beginner loan category
Location with demonstrated demand: proximity to rooftops, employment, or announced development
Comparable land sales within 12 months confirming the appraised value
30%+ equity down — lenders want real skin in the game
Entitlement status understood — know your zoning, setbacks, and density allowed
Strong personal liquidity: 12+ months of carry costs in reserves

What Makes Approval Harder

No clear exit — "I'll figure out what to build later" doesn't get funded
First-time land buyer with no development track record
Environmental unknowns: flood plain, wetlands, prior industrial use
Speculative value — paying for future zoning that hasn't been granted yet
Remote or rural location without clear infrastructure path
Thin comparable sales — appraisers struggle with unique parcels
Asking for 70%+ LTV on unentitled land — not realistic in any market

The Texas Land-to-Development Timeline

Understanding what happens at each phase helps you structure the right financing at the right time — not one loan that tries to cover everything.

Phase 1 — Months 1–3
Acquisition & Due DiligencePurchase land under contract. Environmental Phase I, survey, title search, preliminary discussions with city planning. Land loan closes at acquisition.
Phase 2 — Months 4–12
Entitlement ProcessZoning applications, preliminary plat submission, public hearings, utility district agreements. Texas municipalities vary wildly — Austin is slow (12–18 mo); Dallas suburbs can move faster.
Phase 3 — Months 12–18
Engineering & PermittingCivil engineering, final plat approval, construction drawings, building permits. This is when the land becomes "shovel-ready" and value inflects sharply upward.
Phase 4 — Months 18+
Construction or SaleEither break ground with a construction loan (refinancing the land loan) or sell entitled land to a developer at a premium. This is the exit that justifies the carry cost.

The Land-to-Construction Loan Bridge Strategy

Most developers don't use one loan — they use a sequence. Land loan carries the acquisition through entitlement, then a construction loan replaces it when permits are in hand. Here's how sophisticated Texas developers structure it:

STEP 1
Land Acquisition Loan50–65% LTV, 12–24 month term. Carries you through entitlement. Interest-only payments. Exit: refinance into construction loan.
STEP 2
Entitlement & EngineeringNo new loan — carry costs come out of reserves. This is why lenders want 12 months liquidity. Entitlement increases land value without requiring new capital.
STEP 3
Construction LoanLand value + construction budget. Typically 65–75% of completed project value. Land equity counts toward the down payment on the construction loan.

Have a Land Deal in Texas? Let's Underwrite It.

We've funded land acquisitions from shovel-ready pads to raw acreage with a solid exit plan. Tell us your parcel, your entitlement status, and your exit strategy — we'll tell you what we can do and at what terms. No obligation.

Submit Your Land Deal →
Commercial Lease Guide

NNN vs. Gross vs. Modified Gross vs. Percentage Leases:
What Every Texas Commercial Investor Must Understand

The type of lease on a commercial property changes everything — your cash flow predictability, your expense exposure, and how lenders underwrite the NOI. Here's a plain-English breakdown of each structure.

NNN

Triple Net Lease

Tenant pays base rent + taxes + insurance + maintenance
Investor Favorite

The holy grail of commercial leases for passive investors. The tenant pays a base rent (lower than gross lease) plus all three "nets": property taxes, building insurance, and CAM (common area maintenance / structural repairs). The landlord receives a predictable, nearly-expense-free income stream.

Expense
Landlord Pays
Tenant Pays
Base Rent
Receives
Pays
Property Taxes
Tenant
Pays ✓
Building Insurance
Tenant
Pays ✓
Maintenance/CAM
Tenant
Pays ✓
Structural Repairs
Sometimes
Varies

Best for: Single-tenant retail (gas stations, pharmacies, fast food, dollar stores), long-term leases with creditworthy national tenants. NNN tenants are often corporate entities with 10–20 year leases. The "passive income" ideal.

Example: Walgreens NNN lease — tenant pays $18,000/month base rent + all taxes, insurance, and maintenance. Landlord receives $18K/month with near-zero operating expense. At a 5.5% cap rate on a $3.9M property, this is a pure income play.
Gross

Full Gross Lease

Tenant pays one flat rent — landlord pays all expenses
Most Common

The simplest lease structure: tenant pays one flat monthly rent. The landlord pays all operating expenses — taxes, insurance, maintenance, and utilities. Tenant has maximum cost predictability. Landlord absorbs all expense variability. Common in office buildings and multi-tenant retail.

Expense
Landlord Pays
Tenant Pays
Base Rent
Receives
Pays
Property Taxes
Pays ✗
Building Insurance
Pays ✗
Maintenance/CAM
Pays ✗
Utilities
Often pays
Sometimes

Best for: Multi-tenant office, co-working space, smaller retail where tenants expect all-inclusive rent. Landlord takes on expense risk but can charge higher base rent to compensate. Lenders will underwrite NOI carefully since expenses are variable.

Example: 10,000 SF office building. Gross rent = $25/SF = $250,000/yr. Landlord pays $80,000 in taxes, insurance, and maintenance. Net to landlord: $170,000 NOI. Compare carefully to NNN where tenant carries those costs.
MG

Modified Gross Lease

Split expenses — negotiated case by case
Most Flexible

A hybrid between gross and NNN where expenses are negotiated individually. Tenant pays base rent plus some expenses (often utilities, sometimes taxes); landlord retains liability for others (often structural). The exact split depends entirely on lease negotiation. Common in industrial and flex space.

Expense
Who Pays
Notes
Base Rent
Tenant
Usually lower than gross
Property Taxes
Negotiated
Often landlord
Insurance
Negotiated
Varies by deal
Utilities
Typically Tenant
Most common tenant cost
Roof/Structure
Usually Landlord
Big-ticket items

Best for: Industrial properties, flex/tech office, smaller local tenants who need cost predictability on some items. Investors should carefully model which expenses they retain before underwriting the NOI.

Example: 5,000 SF warehouse. MG lease: tenant pays $8,500/month + utilities + their own liability insurance. Landlord pays property taxes and roof/structure. NOI is predictable but landlord retains tax exposure.
%

Percentage Lease

Base rent + percentage of tenant gross sales
Retail Only

A retail-specific structure where the tenant pays a base rent plus a percentage of their gross sales above a "natural breakpoint." Common in shopping centers, malls, and high-foot-traffic retail strips. Gives the landlord upside participation in tenant success — but also creates income variability.

Component
Structure
Example
Base Rent
Fixed monthly
$4,000/month guaranteed
Natural Breakpoint
Base ÷ % Rate
$4,000 ÷ 6% = $66,667/mo in sales
Percentage Rent
Above breakpoint
6% of sales > $66,667/mo
Expenses
Varies (often NNN)
Combined w/ NNN frequently

Best for: Shopping center landlords with anchor-tenant draws. Percentage rent aligns landlord and tenant — the tenant succeeds, the landlord benefits. Lenders will underwrite to base rent only (not percentage rent) when evaluating NOI — conservative and correct.

Example: Boutique gym chain at $4,000 base + 5% of monthly revenue over $80,000. In a strong month ($150K revenue), tenant pays $4,000 + $3,500 = $7,500. In a slow month, just $4,000. Lender will qualify the loan on $4,000/month base only.
FactorNNNGrossMod. GrossPercentage
Landlord expense riskLowHighMediumMedium
NOI predictabilityHighMediumMediumLow
Lender preferenceHighestMediumMediumLowest
Passive income qualityBestGoodGoodVariable
Common property typeRetail/NNNOfficeIndustrialMall/Center

Financing the Right Property for Your Lease Structure

We underwrite to the income the property actually produces — regardless of lease type. Submit your deal and we'll structure the loan around your actual NOI.

Submit Your Deal →
How It Works

From First Call to Funded:
Our 5-Step Loan Process

We've closed Texas commercial loans in as few as 7 business days. Here's exactly how the process works — and why we move faster than any bank you've tried.

1
Day 1 — Same Day

Submit Your Deal

Fill out our one-page application or call Daniel directly. We need the basics: property address, purchase price or loan amount, property type, and your exit strategy (or refinance goal). No financials required at this stage.

Daniel personally reviews every submission. You won't deal with a junior processor or an automated system.

1-page applicationNo financials yetSame-day review
2
Day 1–2 — Within 24 Hours

Term Sheet Issued

We issue a non-binding term sheet with proposed loan amount, rate, LTV, and term. This is a real answer from a real decision-maker — not a "we'll get back to you" after a committee meeting.

If the deal needs structure (e.g., different LTV, IO period, partial release provisions), we discuss it now — not after you've spent $2,000 on an appraisal.

Rate + LTV + termDirect from DanielNegotiable structure
3
Days 3–7 — Underwriting

Property Underwriting & Due Diligence

We order a third-party appraisal (or desktop BPO for smaller deals) and review property condition, title, rent rolls, and market comps. For income-producing properties, we underwrite to DSCR — not personal income.

We work in parallel with your attorney and title company. Most commercial lenders work sequentially — we don't. That's how we cut weeks off the timeline.

Appraisal orderedTitle reviewDSCR underwritingParallel processing
4
Days 7–12 — Approval

Loan Commitment Letter

Once underwriting is complete, we issue a firm loan commitment letter — the binding agreement that says we will fund this loan at these terms. No more surprises at the closing table.

Conventional banks issue commitments only after 30–60 days of processing. Our commitment comes in week two — giving you time to negotiate, satisfy contingencies, or plan your rehab.

Binding commitmentFixed termsNo last-minute changes
5
Days 10–21 — Closing

Close & Fund

We coordinate directly with your title company to schedule closing. Funds wire the day of closing. Most of our loans close in 2–3 weeks total — some faster when the property and title are clean.

We remain your lender for the life of the loan. No loan servicing transfers. Same contact, same terms, same relationship — whether you're in month 3 or year 5.

Wire same day2–3 week closeNo servicing transfers
Commercial Loans of Texas

Direct Lender — Our Speed

Term sheet in 24 hours
Close in 2–3 weeks
One decision-maker (Daniel)
DSCR underwriting — no W-2 needed
All property types funded
Flexible structure (IO, partial release)
No arbitrary 10-loan limits
Traditional Bank

Typical Bank Timeline

Pre-approval in 1–2 weeks (maybe)
Close in 60–90 days
Committee approval required
Full tax returns, P&L, W-2s required
Rigid property type restrictions
Standardized terms only
Strict DTI and property count limits

Documents We Need — vs. What We Don't

We keep the paperwork minimal. Here's what's actually required for a standard commercial loan:

What We Need

Property address and description
Purchase contract or current mortgage statement
Rent roll (if income-producing)
Entity docs (if LLC or corporation)
Photo ID and basic borrower profile
Exit strategy or refi rationale

What We Don't Need

W-2s or personal income verification
2 years personal tax returns
Business P&L statements
Bank statements (most deals)
Employment verification letters
Fannie/Freddie eligibility documentation

Start Your Loan in the Next 5 Minutes

One short form. Daniel reviews it today and sends a term sheet within 24 hours. No commitment required.

Submit Your Deal →
Loan Type Guide

5 Types of Texas Commercial Loans —
Which One Do You Need?

Bridge, hard money, construction, permanent, SBA — each serves a different purpose at a different cost. Here's how they compare so you can match the right loan to your deal.

1
Bridge Loan

Bridge Financing

Short-term gap financing, 6–36 months
Rate8–11%
Term6–36 months
Max LTV75–80%
AmortizationInterest-only
Close Time2–4 weeks

Used to bridge from one state to another: buy before you sell, buy a property that needs stabilization before a permanent loan, or fund a value-add project before a conventional refinance. Lower rate than hard money, slightly slower close.

2
Hard Money

Hard Money Loan

Asset-based, fast close, distressed properties
Rate11–14%
Term6–18 months
Max LTV75–85% of purchase
AmortizationInterest-only
Close Time7–14 days

The fastest close, highest rate. Used for fix-and-flip, auction purchases, and distressed acquisitions that can't qualify for bridge or conventional. Property condition is irrelevant — we lend on ARV and equity.

3
Construction

Construction Loan

New builds and major rehabs, draw-based
Rate9–13%
Term12–24 months
Max LTC75–80% of cost
AmortizationDraw schedule (IO)
Close Time3–5 weeks

Funds released in draws as construction milestones are met — not upfront. Interest only on drawn amount. Converts to permanent loan or is paid off upon completion. Requires approved plans, permits, and a licensed GC.

4
Permanent / DSCR

Permanent Loan

Long-term hold, income-producing property
Rate7–8.5%
Term5–30 years
Max LTV75–80%
Amortization25–30 years
Close Time2–4 weeks

The long-game loan: stabilized rental income qualifies the loan, not your personal W-2. DSCR loans have no property count limit, work for LLCs, and close faster than conventional. Used for buy-and-hold investors who want predictable 30-year payments.

5
SBA

SBA 7(a) / 504

Owner-occupied business real estate, low down
RatePrime+2.75% / 5.5–6.5%
Term10–25 years
Down Payment10–15%
AmortizationFully amortizing
Close Time45–90 days

Only for businesses that owner-occupy the property (51%+ for 7(a), 51%+ for 504). Lowest down payment available. Slowest close. SBA 504 splits the loan between a bank (50%) and SBA CDC (40%) — best fixed-rate option for qualifying businesses.

Loan Sequencing by Deal Type

Most deals use multiple loan types in sequence. Here's how experienced Texas investors stack them:

Fix & Flip (In-and-Out)
Hard Money (acquire)Hard Money (carry rehab)Payoff at sale
BRRRR — Buy, Rehab, Rent, Refi, Repeat
Hard Money (acquire)Stabilize + rentDSCR Permanent (30yr)
Ground-Up Construction → Hold
Construction LoanLease-up periodPermanent / DSCR
Value-Add Multifamily Acquisition
Bridge Loan (acquire + rehab)DSCR at stabilized value (pull equity)
Owner-Occupied Business Property
SBA 504 or 7(a)Hold + business growth

Not Sure Which Loan Type Fits Your Deal?

Describe your project and Daniel will tell you which structure makes the most sense — and issue a term sheet within 24 hours if it's fundable.

Submit Your Deal →
Market Outlook 2026

Texas Commercial Real Estate in 2026:
What Borrowers Need to Know

Rates have stabilized. Texas population growth is still outpacing every other state. Here's what the market looks like right now — and where experienced investors are moving.

#1
Net Migration
Texas leads all U.S. states 2024–2026
6.8%
SOFR-Based Comm. Rate
Typical bridge/CRE rate range in TX
+$41K
Avg Income, DFW
Per-capita income growth 2022–2026
6.2%
Multifamily Cap Rate
Houston/SA stabilized assets, mid-2026
$0
State Income Tax
Texas investor advantage vs CA/NY/IL

Multifamily

Buying Window

2022–2024 overbuilding has softened rents in Austin and San Antonio, but absorption is now catching up. Houston and DFW remain undersupplied. Class B value-add is the strongest play in 2026 — buy at today's soft rents, reposition, hold for the rebound.

Houston Cap Rate5.8–6.5%
DFW Cap Rate5.5–6.2%
Austin Cap Rate4.9–5.6%
Loan LTV AvailableUp to 75%

Industrial / Warehouse

Strong Demand

E-commerce and near-shoring continue to drive industrial demand. DFW is the #2 industrial market in the country. Last-mile distribution, manufacturing support, and cold storage all have sub-4% vacancy. Cap rates remain compressed but fundamentals support pricing.

DFW Cap Rate5.0–5.8%
Houston Cap Rate5.3–6.1%
Vacancy Rate3.2–4.8%
Loan LTV AvailableUp to 70%

Retail

Selective

Strip centers anchored by essential services (grocery, medical, nail/salon) outperform. Class A suburban retail in high-growth submarkets is strong. Avoid single-tenant big box and Class B/C enclosed malls. Texas has no income tax which supports discretionary spending.

Grocery-Anchored5.5–6.5%
Strip Center6.0–7.5%
Single-Tenant NNN5.0–6.2%
Loan LTV AvailableUp to 65%

Office

Proceed Carefully

National hybrid work trends continue to suppress office demand, but Texas outperforms: DFW and Houston office absorption is better than coastal markets. Medical office and Class A suburban remain fundable. Downtown Class B/C office faces serious headwinds — discounts create opportunity if you can reposition.

Suburban Class A6.5–7.5%
Medical Office5.8–6.8%
Downtown B/C8.0–11%+
Loan LTV AvailableUp to 60–65%

What Commercial Rates Look Like Right Now

Rates have come down from 2023 peaks. Deals that penciled out at 5% two years ago need to be re-underwritten at today's rates — but a lot of distressed sellers are motivated.

Permanent / DSCR (30yr)
7.0–8.5%
30-yr amortization, investment property
Bridge / Value-Add
9–12%
12–36 month term, IO, repositioning deals
Hard Money (Fix & Flip)
11–14%
6–18 month, distressed acquisitions
SBA 7(a) — Owner-Occ
Prime + 2.75%
Variable, small business owner-occupied
SBA 504 — Fixed
5.5–6.5%
25yr fixed portion, 10% down
Construction
9–13%
Draw schedule, interest-only, 12–24 months

Rates as of mid-2026. Actual rate depends on LTV, DSCR ratio, property type, and borrower credit profile.

Where Experienced Investors Are Looking in 2026

  • Houston Northside industrial corridors — sub-5% vacancy, new tenants relocating from California and Illinois manufacturing
  • DFW suburban multifamily (Denton, Rockwall, Mansfield) — strong absorption, population spillover from Irving/Plano
  • San Antonio medical corridor — South Texas Medical Center expansion driving demand for medical office and healthcare-adjacent retail
  • Class B Austin multifamily acquisitions at 2019 prices — overbuilding softened prices; long-term Austin fundamentals unchanged
  • Distressed office conversions — downtown B/C office at cents on the dollar, converting to medical/flex/mixed-use where zoning permits
  • Texas panhandle storage facilities — Amarillo and Lubbock self-storage still under-supplied relative to population, cap rates 7–9%

Ready to Move on a 2026 Texas Opportunity?

We know these markets and can get you a term sheet in 24 hours. No 60-day committee wait. Just a direct answer from someone who's been lending in Texas since 1993.

Submit Your Deal →
Healthcare Real Estate

Medical Office & Healthcare Real Estate Loans in Texas:
Why Physicians and Investors Both Win

Medical office is among the most stable commercial real estate categories — healthcare tenants sign longer leases, move less frequently than any other commercial tenant type, and their businesses are largely recession-proof. Texas's physician population, growing healthcare system, and population influx make medical office one of the most attractive CRE plays in the state. Here's how lenders underwrite it and what terms to expect.

3.1%
TX Medical Office Vacancy
8–12 yrs
Avg Healthcare Lease Term
65–75%
LTV Range
10%
Down (SBA 504 Owner-Occ)
🏥

Long Lease Terms

Healthcare tenants average 8–12 year leases — 2–3× longer than general office. Medical buildout is expensive and tenant-specific, making moves costly.

📈

Recession-Resistant

People don't stop needing healthcare in a downturn. Medical office occupancy barely moved during 2008–2009 or COVID — the strongest track record of any office subcategory.

💊

TX Population Growth

Texas adds ~500K residents per year. More residents = more patients = more physician demand. Healthcare employment in Texas grew 4.2% in 2025, outpacing every other sector.

🏗️

High TI Cost = Low Turnover

Medical buildout runs $80–200/SF for exam rooms, plumbing, medical gas, and ADA compliance. Tenants absorb that cost and rarely move — protecting your occupancy.

Investor-Owned Medical Office (Leased)

Single-Tenant Medical (NNN)
Physician group or health system on NNN lease. Underwritten like any NNN — on tenant credit and lease term. Hospital-affiliated tenants offer near-investment-grade credit.
LTV: 65–72% · Rate: 7.0–8.5% · DSCR min: 1.20×
Multi-Tenant Medical Office Building (MOB)
3–20 physician/ancillary tenants. Diversified income, lower single-tenant risk. Strong demand from urgent care, imaging, physical therapy, dental groups seeking professional environment.
LTV: 65–72% · Rate: 7.25–8.75% · DSCR min: 1.25×
Ambulatory Surgery Center (ASC)
Outpatient surgical facility — specialized buildout, operator-dependent income. Strong growth nationally as procedures shift from hospital to outpatient setting. Requires healthcare operator track record.
LTV: 60–65% · Rate: 8.5–10.5% · Case-by-case
Behavioral Health / Addiction Treatment
Growing sector. Residential treatment facilities and outpatient behavioral health offices. State licensing is the primary risk variable — lender will verify licenses are current and in good standing.
LTV: 60–65% · Rate: 8.5–11% · Licensing docs required

Owner-Occupied Medical Office (Physician-Owned)

Solo Physician Practice
Physician buying the building they practice in. Business cash flow + real estate collateral. SBA 504 at 10% down is the most common structure — 25-year term, below-market blended rate.
SBA 504: 10% down · Conventional: 20–25% · Rate: 6.75–8.25%
Multi-Physician Group Practice
Partnership or PC buying their medical office. Multiple physician borrowers strengthens the credit profile. Common for established groups in primary care, orthopedics, OB/GYN, dermatology.
SBA 504: 10% down · Conv: 20–25% · 51% owner-occ required
Dental Practice
One of the most consistently fundable owner-occupied medical transactions. Dental practice revenue is predictable and insurance-backed. SBA 7(a) often covers both real estate and equipment in one loan.
SBA 7(a)/504: 10% down · Strong credit req: 680+ · 10–25 yr term
Veterinary Practice
Vet clinics have seen strong revenue growth since 2020 — pet ownership surged. Many vet practice owners now buying their building after years of leasing. SBA-eligible, treated like any professional office.
SBA 504: 10% down · Conventional: 20–25% down available

Why SBA 504 Is the Physician's Best Tool for Buying Their Office

The SBA 504 program was practically designed for physician practice owners — here's why it dominates owner-occupied medical office financing:

10% Down

Preserve cash in the practice. A $2M medical office at 10% down = $200K in, not the $400–500K a conventional loan demands. Practice cash flow stays in the business.

25-Year Fixed on the SBA Piece

The CDC debenture (40% of the project) is fixed for 25 years — a rate certainty that no floating-rate commercial loan can match. No refinance risk on 40% of your debt.

No Balloon Payment

Unlike conventional commercial loans that balloon at 5–10 years, the SBA 504 piece is fully amortizing — no forced refinance at a bad time in the rate cycle.

Build Equity Instead of Rent

A physician paying $12K/month in rent builds zero equity. The same payment on a $2M building with SBA 504 builds $600K+ in equity over 10 years while the practice benefits from ownership stability.

Tax Advantages

Depreciation on the building structure reduces taxable income. Interest is deductible as a business expense. A physician in the 37% bracket benefits materially from commercial real estate ownership.

Practice Stays Put

Landlord risk is eliminated. No lease renewal negotiations, no rent increases, no risk of being forced to relocate a practice that has built a patient base around a location over 10+ years.

Medical vs. Standard Office: How Lenders View the Difference

FactorStandard OfficeMedical Office
Average lease term3–5 years8–12 years
Tenant improvement cost ($/SF)$30–60$80–200 (supports sticky tenants)
Vacancy riskHigher — general office oversupplied in many TX marketsLower — healthcare demand is population-driven
Remote work exposureHigh — many firms have reduced footprintsZero — medical care cannot be delivered remotely at scale
Re-tenanting difficultyModerate — generic suite can accommodate many usersHigher cost — medical plumbing/gas buildout is specialized
Typical LTV60–65%65–72% (better collateral perception)
Owner-occupied SBA eligibilityYesYes — often easier to qualify (stable revenue)

Physician Buying Your Office? Investor Building a Medical Portfolio? Let's Talk.

We've structured owner-occupied medical office loans for solo practitioners and group practices, and financed investor-owned MOBs with hospital-system tenants across Texas. SBA 504 at 10% down, conventional at 20–25%, or investment loans on leased medical buildings — we do all three. Get a term sheet in 24 hours.

Submit Your Medical Office Deal →
Manufactured Housing Communities

Mobile Home Park Loans in Texas:
The Highest Cash-on-Cash Asset Class Most Lenders Ignore

Manufactured housing communities (MHCs) post some of the strongest cap rates and lowest turnover of any commercial real estate category — but most banks won't touch them. We underwrite land-lease parks, pad-rented communities, and tenant-owned-home deals across Texas.

65-75%
Max LTV
7.5-10.5%
Rate Range
20-25 yr
Amortization
1.20x+
Min DSCR

Mobile home parks — more accurately called manufactured housing communities in underwriting circles — occupy a strange spot in commercial real estate. Institutional capital has poured into the sector over the last decade because the fundamentals are extraordinary: tenants own their own homes and simply rent the land underneath, which means move-out costs run into the thousands of dollars for a resident and turnover across well-run Texas parks frequently sits under 5% annually. Add limited new supply — most Texas municipalities have not approved a new MHC in years due to zoning pushback — and you get an asset class with rent growth and occupancy stability that rivals Class A multifamily at a fraction of the price per pad.

Despite that, community banks and life insurance lenders frequently pass on manufactured housing deals. Some carry outdated stigma from decades-old "trailer park" perceptions; others simply don't have an underwriting box built for land-lease income. That gap is where direct commercial lenders compete hardest — and where borrowers who understand the asset class can win financing terms that traditional buyers never see quoted.

What We Underwrite On a Texas MHC Deal

Pad count and occupancy trend over the trailing 12 months, tenant-owned vs. park-owned home mix (park-owned homes carry more maintenance risk but also higher blended income), utility structure (submetered water/sewer/electric materially improves NOI versus master-metered), city or county infrastructure status, and — critically — whether the community is a legal, permitted use under current zoning. Texas has thousands of legacy parks that predate current zoning codes and operate as legal non-conforming uses; we verify that status before underwriting, because it directly affects refinance and exit options.

Financeable vs. Difficult Park Types

Strong Underwriting Profile

Land-lease model — residents own homes, park owns dirt and infrastructure
Paved roads, city water/sewer, individually metered utilities
90%+ pad occupancy sustained 12+ months
Waiting list or documented demand for available pads
Age-restricted (55+) communities with stable, long-tenure residents
Located within 30 minutes of a Texas metro or growth corridor

Harder to Finance

Majority park-owned homes in poor condition — treated more like a housing operator than real estate
Well and septic systems with no path to municipal utilities
Unclear or contested legal non-conforming zoning status
Gravel or unpaved internal roads needing capital improvement
Rural locations with declining population or no economic driver
Deferred infrastructure maintenance — aging water/sewer lines

Value-Add MHC Financing

A large share of the manufactured housing deals we fund are value-add: an operator buys a mismanaged park below replacement cost, converts master-metered utilities to submetered (typically the single highest-ROI capital improvement in the sector), fills vacant pads, and pushes below-market lot rents up to submarket rates over 12-24 months. We structure these as bridge-to-permanent financing — an initial loan sized to the in-place cash flow with a clear path to refinance at a lower rate and higher proceeds once the business plan is executed and NOI has stabilized.

Texas MHC lot rents remain meaningfully below coastal and Sun Belt peer markets even after several years of increases, which is exactly why institutional and private capital continues targeting the state. If you're acquiring, refinancing, or repositioning a manufactured housing community anywhere in Texas, we can underwrite it directly — no committee, no "we don't do parks" rejection three weeks into the process.

Own or Buying a Texas Mobile Home Park?

Send us the rent roll and pad count. We'll tell you what it qualifies for — acquisition, refinance, or value-add bridge — usually within 48 hours.

Submit Your Park Deal →
Multifamily Financing

Apartment & Multifamily Loans in Texas:
From Duplex to 100+ Units

Multifamily financing isn't one product — it's a spectrum that changes fundamentally at 5 units, at $1M, and at $5M. Understanding which loan type applies to your deal size prevents wasted time applying to the wrong lender with the wrong program.

2–4
Units
Small Multifamily
Residential DSCR or conventional
Residential
5–20
Units
Small Apartment Building
Commercial DSCR or balance sheet
Commercial
21–100
Units
Mid-Size Apartment
Agency, bank, or bridge + perm
Commercial
100+
Units
Institutional Multifamily
Fannie/Freddie Agency, CMBS, life co.
Agency / CMBS

What Lenders Look at on a Multifamily Deal

Unlike residential loans that rely on your personal income, multifamily loans are underwritten on the property itself. Here's what drives approval — and what kills deals:

What Gets You Approved

DSCR at or above 1.20× (NOI ÷ annual debt service)
Occupancy at or above 90% (or credible lease-up plan for sub-90%)
Rent rolls showing leases in place with expiration dates staggered — no cliff maturities
Operating history (T-12 bank statements + current rent roll + operating statement)
Experienced sponsor — 1+ prior multifamily deal of similar size preferred
Clear exit: permanent refinance, hold, or sale with realistic timeline
Property in good condition — no deferred maintenance that threatens occupancy

What Creates Problems

Sub-1.10× DSCR even after lender's underwritten expense ratio is applied
Occupancy below 85% without a clear lease-up plan and evidence of absorption
Month-to-month leases on majority of units — income uncertainty
No operating history (brand new construction or just acquired)
First-time multifamily sponsor on a 50+ unit deal without an experienced operating partner
Significant deferred maintenance — roof, parking, HVAC, electrical panel
Prior foreclosure or mortgage default within 7 years

Sample Multifamily Underwrite by Property Size

See how the numbers work across three common Texas apartment deal sizes:

12-Unit (Houston)
42-Unit (DFW)
88-Unit (SA)
ItemLender's Underwritten Numbers
Units / Avg Rent12 units @ $1,150/mo average
Gross Potential Rent (GPR)$165,600/yr
Vacancy Allowance (7%)-$11,592
Effective Gross Income (EGI)$154,008
Operating Expenses (40% ratio)-$61,603
Net Operating Income (NOI)$92,405
Loan Amount (75% LTV on $1.1M appraisal)$825,000
Annual Debt Service (7.0%, 30yr amort)-$65,940
DSCR1.40× ✓ Approved
ItemLender's Underwritten Numbers
Units / Avg Rent42 units @ $1,320/mo average
Gross Potential Rent (GPR)$665,280/yr
Vacancy Allowance (6%)-$39,917
Effective Gross Income (EGI)$625,363
Operating Expenses (42% ratio)-$262,652
Net Operating Income (NOI)$362,711
Loan Amount (70% LTV on $4.8M appraisal)$3,360,000
Annual Debt Service (6.75%, 30yr amort)-$261,590
DSCR1.39× ✓ Approved
ItemLender's Underwritten Numbers
Units / Avg Rent88 units @ $975/mo (workforce housing)
Gross Potential Rent (GPR)$1,029,600/yr
Vacancy Allowance (8%)-$82,368
Effective Gross Income (EGI)$947,232
Operating Expenses (48% ratio — Class C)-$454,671
Net Operating Income (NOI)$492,561
Loan Amount (65% LTV on $6.8M appraisal)$4,420,000
Annual Debt Service (7.25%, 30yr amort)-$361,334
DSCR1.36× ✓ Approved
2–4 Units

Residential DSCR

Treated as residential — same loan process as a single-family rental but with rent from all units counted in income.

Max LTV80%
Min DSCR1.10×
Term30yr fixed
Income docsNone
5–20 Units

Commercial DSCR

Underwritten on NOI with a commercial expense ratio (35–45%). No personal income verification required.

Max LTV75%
Min DSCR1.20×
Term5/1–30yr options
Income docsNone
Any Size — Value-Add

Bridge to Perm

Sub-90% occupied or in renovation. Bridge loan carries the asset through lease-up, then permanent DSCR or CMBS replaces it.

Bridge LTC70–75%
Bridge term12–24 months
ExitDSCR or agency refi
Close time14–30 days
20+ Units

Agency / CMBS

Fannie Mae, Freddie Mac, or CMBS securitization. Lowest available rate — requires stabilized, 90%+ occupied asset and longer timeline.

Max LTV80% (Fannie/Freddie)
RateLowest available
Close time45–90 days
Min units5 (Freddie Small)

Have a Texas Apartment Deal?

Submit the unit count, current occupancy, gross rents, and your acquisition price. We'll tell you which program fits, what LTV you can achieve, and have a term sheet back in 24 hours.

Get Multifamily Financing →
Office Lending

Multi-Tenant Office Building Loans in Texas:
What Still Works in a Remote-Work World

Office lending has gotten harder — but it hasn't stopped. The investors and lenders who understand what's actually happening in Texas office markets are finding real opportunity: suburban Class B buildings with diversified tenant bases are holding occupancy, medical office is thriving, and value-add repositioning of well-located Class C buildings is generating strong returns. The key is knowing which office assets lenders will fund and how to structure the deal.

What Lenders Are Funding

Suburban B/C — multi-tenant, strong occupancy, diversified rent roll
Medical office — healthcare tenants, 8–12 yr leases, recession-proof
Professional services — attorneys, CPAs, financial advisors — sticky tenants
Government/NNN — GSA and municipal tenants on long leases
Value-add — undermanaged B/C with clear lease-up path at strong basis

What Lenders Are Avoiding

Downtown Class A — high vacancy, tech & finance tenants shrinking
Single-tenant office — one tenant leaves = 100% vacant
Short remaining lease terms — 12 months left is a refinance, not a new loan
Large floorplates — 20,000+ SF suites are hardest to re-tenant
High-rise urban core — DFW/Houston CBD vacancy is elevated; lenders are cautious

Texas Office at a Glance (2026)

Suburban vacancy: 12–16% (manageable)
Downtown vacancy: 18–26% (problematic)
Medical office vacancy: 3–5% (thriving)
Typical LTV: 60–68% (tighter than other asset classes)
DSCR minimum: 1.25–1.30×
Most Lendable

Suburban Multi-Tenant (B Class)

5–10 tenant mix of professional services, healthcare, financial, and business services. Stabilized 85%+ occupancy. 3–5 year leases typical. DFW suburbs (Plano, Frisco, Irving), Houston (Woodlands, Westchase, Sugar Land) — strong demand.

LTV: 63–68% · Rate: 7.5–9.0% · DSCR: 1.25×
Strongest Sub-Type

Medical Office Building (MOB)

Healthcare tenants average 8–12 year leases, rarely move. Texas population growth driving physician demand. Lenders offer better terms than standard office — longer lease terms justify higher LTV.

LTV: 65–72% · Rate: 7.0–8.5% · DSCR: 1.20×
Government-Backed

NNN Government / GSA

Federal, state, or municipal tenant on long-term triple-net lease. GSA (federal) leases are effectively investment-grade. Highest LTV and lowest rates in the office category. Rare but extremely financeable.

LTV: 68–75% · Rate: 7.0–8.0% · AAA credit backing
Value-Add

Class C Repositioning

Older suburban office at strong basis — buy at 65–70% of replacement cost, renovate common areas, push rents to market, lease-up to 90%+. Bridge financing during value-add, then perm at stabilization. Requires execution experience and track record.

LTV: 60–65% as-is · Bridge: 10–13% · Perm at stabilization
Niche Demand

Coworking / Flex Office

Managed flex office (WeWork model, but solvent operators) shows resilience where Class A struggled. Day-office and private suite demand from hybrid workers and SMBs is strong. Lenders underwrite on actual NOI, not desk-count projections. Proven operators only.

LTV: 58–65% · Rate: 8.5–10.5% · Track record critical
Selective Only

Single-Tenant & Owner-Occupied

Owner buys building for their own business. SBA 504 at 10% down if 51%+ owner-occupied. Conventional at 20–25%. Single-tenant investor-owned is challenging — one lease, one point of failure. Lenders require long remaining term and strong tenant credit.

SBA: 10% down · Conv: 20–25% · ST investor: 60–65% LTV

What Office Lenders Want to See

Diversified rent roll — 6+ tenants, no single tenant exceeding 25–30% of revenue
Weighted average lease term of 3+ years remaining across all tenants
Occupancy at 85%+ for trailing 12 months — declining occupancy trend is a deal-stopper
Suburban location with parking ratio of 4:1,000 SF or better — easy tenant parking is a retention factor
Rents at or below market with near-term rental upside — renewal risk is priced in favorably
Professional management with clear leasing plan for any vacant suites

What Creates Friction or Kills the Deal

Occupancy below 80% — most lenders want to see stabilization before permanent financing
High downtown vacancy — lenders apply haircuts to projected stabilization timelines in oversupplied CBDs
Rollover risk — more than 40% of leases expiring in next 18 months is underwriting risk
Large single-tenant concentration — one anchor tenant leaving vaporizes cash flow
Deferred maintenance and capital needs — lenders may require reserves or repairs before closing
No clear tenant demand in the submarket — competition from newer product with TI concessions

Texas Office Market Submarket Comparison (2026)

SubmarketVacancy RateRent TrendLender AppetiteNotes
DFW Suburbs (Plano/Frisco/Allen)10–14%Stable / slight growthActiveTech & financial services demand; strong demographics
DFW CBD (Downtown Dallas)22–28%DecliningVery selectiveConversion to residential underway; institutional caution
Houston Energy Corridor / Westchase16–20%FlatSelectiveEnergy sector stabilized; healthcare tenants gaining share
Houston Medical Center / Greenway5–8%GrowingVery activeMedical office dominant; best Houston submarket for office
Austin Domain / North Austin12–16%MixedSelectiveTech vacancy from layoffs; suburban absorption better than CBD
San Antonio NW / Medical Center11–14%StableActiveHealthcare and financial services driving suburban demand

Office Building to Finance in Texas? Let's Look at the Numbers.

We don't blanket-decline office — we underwrite it. Suburban multi-tenant with solid occupancy, medical office, value-add with a clear plan, or owner-occupied with SBA — we've structured all of these across Texas. Send us your rent roll and T-12 and we'll tell you exactly what terms we can offer within 24 hours.

Submit Your Office Deal →
NNN Investment Guide

Triple Net (NNN) Lease Investments:
How to Finance Them in Texas

NNN properties are the most passive form of commercial real estate — the tenant pays taxes, insurance, and maintenance. They're also the most cap-rate-compressed. Here's how to analyze them, tier tenants by credit quality, and structure the financing.

What NNN Actually Means

Tenant pays their pro-rata property taxes (the first N)
Tenant pays their building insurance (the second N)
Tenant pays maintenance and repairs including roof and structure (the third N)
Landlord receives a net, net, net rent check — no operating expense exposure
Leases are long-term: typically 10–25 years with rent bumps every 5 years
Value is a direct function of rent ÷ cap rate — making it bond-like in nature

Why Investors Choose NNN

Zero landlord management responsibilities — truly passive income
Long-term lease certainty with creditworthy national tenants
Financing is straightforward — lenders love the predictable income
1031 exchange destination — easy to close fast vs. repositioning deals
No vacancy risk during lease term (personal guarantee from franchisee or corp guarantee)
Estate planning tool — heirs receive passive income without management headaches

Tenant Credit Tiers — How Lenders Price the Risk

The creditworthiness of the tenant is the most important variable in NNN loan pricing. Lenders will advance more capital at better rates for investment-grade tenants:

1

Corporate / Investment Grade

Examples: Dollar General, Walgreens, AutoZone, Starbucks, McDonald's (corp-operated)
Cap Rate Range
4.5–6.0%
Typical LTV
Up to 70–75%
Rate Advantage
0.5–1% below Tier 2
Lease Guarantor
Corporate entity (IG rated)
2

Strong Franchisee / Regional Credit

Examples: Large franchisee operators (20+ units), regional pharmacy chains, strong regional retailers
Cap Rate Range
6.0–7.5%
Typical LTV
65–70%
Underwrite Focus
Franchisee financials
Lease Guarantor
Personal + entity
3

Small Franchisee / Local Credit

Examples: Single-unit operators, local dental/medical tenants, independent service businesses
Cap Rate Range
7.5–9.5%
Typical LTV
60–65%
Underwrite Focus
Tenant + location + guaranty
Risk Factor
Lease renewal uncertainty

NNN Acquisition & Financing Calculator

Enter the deal parameters to see your loan amount, annual cash flow after debt service, and cash-on-cash return:

Purchase Price (Rent ÷ Cap Rate)
Loan Amount (LTV%)
Down Payment Required
Annual Debt Service
Annual NOI (= annual rent, true NNN)
Annual Cash Flow After Debt
Cash-on-Cash Return
DSCR

NNN Risks That Don't Show Up in the Cap Rate

NNN properties are low-maintenance but not low-risk. Here's what experienced buyers watch for:

⚠️

Lease Term Remaining

A 10-year lease with 2 years remaining is a vacant building risk, not a NNN investment. Lenders typically want 7+ years remaining on the primary term. Under 5 years = significant cap rate premium and LTV reduction.

⚠️

Dark Value vs. Going-Concern Value

What is the building worth if the tenant leaves? A Dollar General in rural Texas may be worth $600K occupied but $200K dark. The gap between these is your real risk. Demand rent-to-revenue ratio from operator to assess renewal probability.

⚠️

Absolute NNN vs. Modified NNN

"NNN" can be loosely applied. True absolute NNN means tenant pays everything including roof and structure. Modified NNN (or "double net") means the landlord retains some structural obligations. Read the lease — don't trust the broker's designation.

⚠️

Rent Bumps vs. Flat Rent

Older NNN leases often have no rent bumps — flat rent for 20 years. With 3–4% annual inflation, a $100K flat lease signed in 2010 is worth significantly less in real purchasing power by 2030. Require rent escalations of at least 1.5–2% annually in any new deal.

⚠️

Corporate vs. Franchisee Guarantee

A McDonald's leased to McDonald's Corp is fundamentally different from a McDonald's leased to a 3-unit franchisee. The brand is the same; the credit is not. Always determine who signs the lease — the parent or the operator.

⚠️

Internet-Resistant Business Assessment

Retail NNN tenants must have defensible businesses. Dollar stores and fast food have proven durable. Certain retail categories (vitamin shops, some cellular, some casual dining) have shown meaningful closure risk. Research recent store closures for your specific tenant concept before buying.

Have a NNN Deal? We Close in 21–30 Days.

NNN acquisitions often have timing pressure — motivated sellers, 1031 deadlines, or competitive offers. Submit your deal and we'll have a term sheet within 24 hours. Texas commercial only.

Get NNN Financing →
Tax Incentive Guide

Texas CRE Tax Incentives:
Opportunity Zones, Abatements & More

Most investors focus on cap rates and miss the programs that can dramatically improve their after-tax returns. Texas offers four major investment incentive structures — here's how each works and who qualifies.

🏙️

Federal Opportunity Zones

Any investor with capital gains to reinvest
Federal Program

Created by the 2017 Tax Cuts and Jobs Act, Opportunity Zones allow investors to defer and potentially eliminate capital gains taxes by reinvesting gains into designated low-income census tracts through a Qualified Opportunity Fund (QOF). Texas has 628 designated Opportunity Zones.

Defer capital gains tax until 2026 (or earlier sale)
10-year hold: pay zero federal tax on QOF appreciation
Works for any asset class — CRE, business, mixed-use
180-day window to reinvest gains after trigger event

How it works: Sell appreciated stock, real estate, or business assets → reinvest capital gains (not the full proceeds) into a QOF within 180 days → defer the original gain and eliminate new OZ appreciation after 10 years.

Key OZ requirement: Substantial improvement rule — you must double the adjusted basis of the property within 30 months of acquisition. This means value-add and development projects, not passive buy-and-hold of stabilized assets.

⚠️ OZ investing requires a specialized Qualified Opportunity Fund entity and compliance with IRS regulations. Always work with a tax attorney or CPA with OZ experience before structuring a deal this way.
📉

Texas Tax Abatement Agreements

Major commercial developers and manufacturers
Texas State

Texas counties and municipalities can grant property tax abatements — temporarily reducing or eliminating property taxes on new construction or major rehabilitation of commercial, industrial, or manufacturing properties. Governed by Chapter 312 of the Texas Tax Code.

Abatement up to 100% of new assessed value
Terms up to 10 years
Available in both Reinvestment Zones and Enterprise Zones
Negotiated directly with the county/city

Typical qualifying criteria: Minimum investment threshold (varies by jurisdiction; often $1M–$5M+), new jobs created, location in a designated zone, and agreement to keep improvements for the abatement term.

Best for: Industrial developers, distribution center projects, large multifamily developments, and manufacturers relocating to Texas. Not typically available for smaller residential or retail projects.

Abatement agreements require city council / commissioner's court approval and take 60–120 days to negotiate. Factor this into your closing timeline if you're counting on an abatement.

PACE Financing (Property Assessed Clean Energy)

Commercial property owners doing energy upgrades
Texas Program

Texas authorized C-PACE (Commercial PACE) financing, which allows commercial property owners to finance energy efficiency upgrades (HVAC, solar, LED lighting, building envelope, EV charging) through a special assessment on the property — not a loan on the borrower. The assessment repays over 5–30 years as part of the property tax bill.

Financing for 100% of energy upgrade cost
Stays with the property — transfers at sale
No personal guarantee required
Monthly payment often offset by energy savings

Why it matters for CRE investors: Upgrade an aging HVAC system, add solar, or improve insulation with no upfront cash. The savings on operating costs often exceed the PACE payment — making it cash-flow positive from day one. Increases NOI and therefore property value.

Texas PACE is available in: All counties that have adopted a PACE program (most major TX metros participate). Check the Texas PACE Authority (texaspacenow.com) for eligible counties.

🏛️

Historic Tax Credits (HTC)

Investors rehabilitating certified historic structures
Federal + State

The Federal Historic Tax Credit provides a 20% tax credit on Qualified Rehabilitation Expenditures (QREs) for certified historic structures. Texas also offers a 25% state HTC. These credits can be stacked — a $2M rehab on a qualifying building could generate $450K+ in combined federal and state credits.

20% federal credit on all QREs
25% Texas state credit (additional)
Credits can be sold to investors ("syndication")
Works for office, retail, multifamily, mixed-use historic buildings

Qualifying requirements: Building must be listed on or eligible for the National Register of Historic Places; rehabilitation must meet the Secretary of Interior's Standards for Rehabilitation; construction must be substantial (QREs > 100% of adjusted basis or $5,000+).

Opportunity in Texas: Texas has significant historic building stock in downtown cores — San Antonio, Galveston, downtown Dallas and Houston, Waco, and El Paso all have active Historic Districts with eligible buildings trading at attractive prices precisely because of the rehab requirements that deter conventional buyers.

Historic Tax Credit projects require NPS approval and careful coordination with preservation standards. Credit syndication adds transaction complexity. Budget 12–18 months for a fully permitted HTC project from purchase to completion.

Texas Opportunity Zone Highlights by Market

628 designated OZ census tracts across Texas — here are key areas where investors are actively deploying capital:

Dallas – South Dallas
Extensive OZ coverage south of I-30; proximity to Fair Park and southern transit corridors; significant industrial-to-mixed-use conversion activity
Active
Houston – Fifth Ward
Historic neighborhood OZ; rapid gentrification from Midtown expansion; residential and commercial mixed-use development; near Texas Southern University
Active
San Antonio – East Side
Adjacent to downtown SA; OZ tracts covering the growing East Side Arts District; multifamily and boutique hotel development active
Active
El Paso – Downtown
Downtown corridor OZ; significant public investment in streetscape; mixed-use ground-floor retail + upper-floor residential active
Emerging
Austin – East Austin
OZ tracts east of 183; significant appreciation pressure; land assemblage for multifamily active; tech-worker-adjacent markets
Competitive

Financing an OZ or Tax-Incentive Deal?

We've structured commercial loans alongside Opportunity Zone investments, PACE financing, and Historic Tax Credit deals. Submit your project — we'll structure the debt layer around your incentive stack.

Discuss Your Deal →

This is general educational information — not tax or investment advice. Consult a qualified CPA, tax attorney, and OZ advisor before structuring any tax-incentive investment.

Specialty Commercial

Parking Garage & Parking Lot Loans in Texas:
Financing the Asset Class Hiding in Plain Sight

Parking facilities are one of the most underrated income-producing assets in commercial real estate — low maintenance, no tenants to manage, recession-resistant demand, and scalable revenue through dynamic pricing. Texas cities are adding density faster than parking infrastructure, making urban parking a genuine supply-constrained asset. Here's how lenders approach the financing.

55–65%
LTV Range
1.30×
Min DSCR
7–10%
Cap Rate Range
20–25 yrs
Amortization
Most Lendable

Structured Parking Garage

Multi-level concrete structure in urban core or mixed-use development. May be standalone or attached to office/retail. Monthly contract parkers provide stable base revenue; transient adds premium. DFW and Houston CBDs have strong demand from office-adjacent daytime parkers.

LTV: 55–65% · Rate: 7.5–9.5% · Stabilized occ: 75%+
High Margin

Surface Parking Lot

At-grade paved lot, often in downtown or near stadium/arena/hospital. Low operating cost = high margin. Best-in-class underwriting is the land value — surface lots often have redevelopment upside that protects lender collateral even if parking income declines.

LTV: 55–60% · Rate: 8.0–10% · Land value: Key underwriting factor
Captive Demand

Hospital / Medical Campus Parking

Parking facilities serving hospitals or medical office campuses. Captive demand from patients, staff, and visitors. Often leased to the hospital system on a long-term agreement — effectively NNN with institutional credit backing. Strongest underwriting profile in the parking category.

LTV: 60–68% · Rate: 7.25–8.75% · Hospital lease: Near-IG credit
Event-Driven

Stadium / Arena Adjacent

Surface or structured lots serving sports venues and entertainment districts. Revenue peaks on event days — underwriters use blended transient/event revenue with conservative non-event base. Houston, Dallas, and San Antonio stadiums generate strong event parking economics.

LTV: 50–58% · Event premium: $30–80/space/event · Selective lenders
Tech-Enhanced

Automated / Smart Parking

Automated parking systems (APS) or facilities using dynamic pricing software. Higher construction cost but more spaces per SF, lower labor, and data-driven yield optimization. Growing in Austin and DFW where land cost makes dense parking economics compelling.

LTV: 55–62% · Technology surcharge: +50–75 bps · Specialized lenders
Owner-Occupied

Condo / HOA Parking

Parking facilities serving residential or mixed-use condo developments. Underwritten on HOA assessments and parking lease revenue from residents. Less common as a standalone financing target but appears in mixed-use construction and condo conversion deals.

Typically part of: Mixed-use construction loan · Standalone: Case-by-case

How Parking Facilities Generate Revenue — and How Lenders Underwrite It

Monthly Contract Parkers

Monthly reserved or unreserved passes — typically $80–250/month in Texas CBDs. Stable, predictable income. Lenders weight this heavily as recurring revenue. A 500-space garage with 300 monthly contracts = $24,000–$75,000/month baseline.

Transient / Hourly

Pay-per-use daily parkers. Highest yield per space but most variable. Dynamic pricing software (ParkHub, SpotHero, Smarking) can double transient revenue vs flat-rate pricing. Lenders apply a conservative haircut to transient projections.

Event Premiums

Event-day surcharge pricing for stadium, arena, or convention center adjacent facilities. $30–80/space on event days, 15–40 events/year for major venues. Lenders treat event revenue as upside above stabilized NOI, not as base income.

Valet Operations

Third-party valet operators lease space from the facility owner and handle operations. Simpler for the owner — fixed lease income with no operational involvement. Common near restaurants, hotels, and hospitals.

EV Charging Surcharge

Level 2 and DC fast chargers installed in parking facilities generate incremental revenue ($5–15/session) and differentiate the facility for monthly contract renewal. Growing driver: corporate tenants requiring EV-ready parking.

Advertising / Signage

Digital billboard or static signage on the exterior of structured garages in high-traffic locations. Revenue of $2,000–$15,000/month depending on location. Lenders typically exclude from base NOI but note as upside.

What Parking Lenders Want to See

T-12 revenue broken out by contract vs transient vs event — lenders underwrite each stream at different confidence levels
Monthly contract occupancy of 70%+ sustained — demonstrates captive demand independent of transient volume
Proximity to demand generators: hospitals, offices, stadiums, hotels, courts, government buildings
Third-party management agreement (LAZ, ABM, Ace Parking) adds operational credibility
Land value as secondary collateral — surface lots especially benefit from underlying land value supporting loan
Environmental clean (Phase I) — urban lots often have prior industrial use history

What Creates Friction

Revenue almost entirely event-driven — lenders won't underwrite a deal that requires 40+ events/year to cover debt service
No management company — owner-operated with no systems or data makes income unverifiable
Remote work reducing office occupancy — daytime contract parker demand at risk in markets with high WFH rates
AV/autonomous vehicle narrative — lenders in primary markets factor long-term parking demand risk, though timeline is long
Environmental contamination on older surface lots — Phase I RECs are common on urban infill sites
Over-leveraged urban land value — lenders won't lend to the redevelopment value, only stabilized parking income

Parking Facility to Finance in Texas? Let's Underwrite It.

Structured garages, surface lots, hospital-adjacent facilities, and event parking in DFW, Houston, San Antonio, and Austin — we've financed them all. Send us your T-12 revenue breakdown, space count, and deal terms and we'll deliver a term sheet within 24 hours.

Submit Your Parking Deal →

How to Get a Commercial Loan in Texas: Step by Step

Most deals close in 7–21 days. Here's exactly what happens from application to funding.

1
Submit Your Application (5 Minutes)
Tell us the property address, loan amount, and what you're trying to accomplish. No credit pull yet — just basic property details. We do NOT charge upfront fees to apply.
Day 1 — Minutes
2
Soft Quote Issued
We review the property and send you a soft term sheet — rate, LTV, term, estimated closing costs — usually within 2–4 hours. No obligation to proceed.
Day 1 — Same Day
3
You Accept Terms & Pay for Appraisal
If the terms work for you, we order the appraisal and begin underwriting. For hard money bridge loans, we can often use a desktop BPO instead of a full appraisal to save time.
Day 2–3
4
Underwriting & Title
We review the appraisal, title search, and any required docs (varies by loan type — hard money needs far less than conventional). We'll tell you exactly what we need — no surprise document requests.
Day 3–10
5
Loan Commitment Letter
Full approval issued. Your rate and terms are locked. We schedule closing with the title company — you can often pick your title company to keep closing costs competitive.
Day 7–14
6
Closing & Funding
Sign at the title company. Funds wire same day or next morning. For purchase transactions, we coordinate directly with the seller's title company to hit your contract closing date.
Day 7–21

Most of our borrowers complete steps 1–2 in under 30 minutes. Get your soft quote today — no credit check, no commitment.

Start Step 1 Now — Free Quote

We Finance Every Commercial Property Type in Texas

From single-tenant retail to 100-unit apartment complexes — if it generates income, we have a loan for it.

🏢
Office Buildings
Class A, B, and C office. Medical office. Co-working. Single-tenant NNN leased office.
From 7.49% | Up to 75% LTV
🏬
Retail / Strip Centers
Single tenant, multi-tenant, anchored strip centers, inline retail, pad sites.
From 7.25% | Up to 75% LTV
🏭
Industrial / Warehouse
Light industrial, flex space, distribution, cold storage, manufacturing.
From 7.25% | Up to 75% LTV
🏠
Multifamily (5+ Units)
Apartment buildings, garden-style, mid-rise. Up to 100+ units. Value-add welcome.
From 6.99% | Up to 80% LTV
🏨
Hotels & Hospitality
Flag and independent hotels, motels, extended stay, short-term rental portfolios.
From 9.99% | Up to 65% LTV
Gas Stations & Car Washes
Branded and unbranded fuel stations, automatic and hand-wash car wash facilities.
From 9.99% | Up to 60% LTV
🍕
Restaurants
QSR, sit-down, dark kitchens, food halls. NNN leased restaurant properties preferred.
From 9.49% | Up to 65% LTV
📦
Self-Storage
Climate and non-climate, drive-up, multi-story. Value-add and stabilized both considered.
From 7.49% | Up to 75% LTV
🏥
Medical Office
Dental, primary care, urgent care, specialty practices, medical condos.
From 7.25% | Up to 80% LTV
🌾
Land & Development
Raw land, entitled land, construction loans, lot acquisition, spec builds.
From 10.99% | Up to 65% LTV
🚗
Auto Dealerships
New and used car lots, service centers, auto auction facilities.
From 9.49% | Up to 65% LTV
🏗️
Mixed-Use
Retail/residential combination, live-work, urban infill mixed-use developments.
From 8.49% | Up to 70% LTV

Texas Commercial Loan Rates — August 2026

Direct lender rates updated weekly. No broker markups. All programs close in-house.

Loan TypeRate RangeMax LTVTermMin LoanBest For
Hard Money Bridge9.99%–12.99%70%12–24 mo$100KFix & flip, fast close, distressed
Stated Income CRE7.49%–9.99%75%5/25, 10/25$150KSelf-employed, no tax returns
DSCR / Rental6.99%–8.99%80%30yr fixed$100KBuy & hold investors, cash flow
SBA 504Prime + 1.5%–2.5%90%10–25 yr$500KOwner-occupied, low down payment
Commercial Cash-Out Refi7.25%–10.5%70%5–10 yr$200KPull equity, fund next deal
Construction / Land10.99%–13.99%65%12–18 mo$250KGround-up, lot acquisition
Portfolio / Blanket7.99%–10.49%70%5–30 yr$500K5+ properties, cross-collateral
Foreign National8.99%–12.99%65%5–10 yr$200KNo US credit, overseas investors

Rates shown are starting rates as of August 2026 and subject to change. Final rate depends on LTV, property type, credit profile, and market conditions. Texas properties only.

Retail Property Financing

Strip Center & Retail Loans in Texas:
What Lenders Actually Look At

Texas retail is performing — vacancy rates are tightening across all major metros as e-commerce displacement has largely played out. But retail underwriting is more granular than multifamily. Here's what drives approval and pricing on strip centers, inline retail, and anchored shopping centers.

6.2%
TX Retail Vacancy Rate (2026)
65–75%
Typical LTV on Retail
1.25×
Min DSCR for Approval
7–10%
Cap Rate Range (TX Retail)

Retail Property Types We Finance

🏪

Neighborhood Strip Center

5–20 tenants, unanchored or locally anchored. Grocery-adjacent or service-oriented. Most common retail loan type in Texas suburban markets.

LTV: 65–70% · Min DSCR: 1.25× · Rate: 7.25–8.5%
🏬

Anchored Shopping Center

National or regional anchor (grocery, pharmacy, dollar store) with inline tenants. Anchor credit dramatically impacts pricing — shadow-anchored works too.

LTV: 70–75% · Min DSCR: 1.20× · Rate: 6.75–7.75%
🏢

Single-Tenant NNN Retail

Corporate or franchisee lease with absolute NNN terms. Underwritten primarily on tenant credit and lease term remaining, not property cash flow.

LTV: 70–75% · Min DSCR: 1.15× · Rate: 6.50–7.50%
🍕

Restaurant / QSR Pad

Drive-through or dine-in pad sites. Corporate leases price like NNN retail. Franchisee-leased pads require more cash flow analysis — franchise success rate matters.

LTV: 65–70% · Min DSCR: 1.25× · Rate: 7.00–8.25%
🏗️

Mixed-Use Ground Floor

Retail on ground floor, residential or office above. Underwritten as mixed-use — retail portion analyzed separately; lender looks at blended DSCR across all uses.

LTV: 65–72% · Min DSCR: 1.25× · Rate: 7.25–8.50%
🛒

Value-Add Retail (Repositioning)

Partially vacant strip at below-market rent. Bridge loan funds acquisition and lease-up period; permanent loan placed once stabilized at target occupancy (90%+).

LTV: 65–70% · Bridge Rate: 9–11% · Perm: 7.25–8.0%

Anchor Tenant Credit Tiers

Anchor TypeImpact on RateImpact on LTVExamples
Investment-Grade National Tier 1 Best pricing Up to 75% LTV Kroger, CVS, Walgreens, Dollar General, Starbucks (corp lease)
Regional Grocery / Big-Box Tier 2 Standard pricing 70–72% LTV H-E-B (private, but dominant TX brand), Sprouts, Ross, TJ Maxx
Franchisee / Local Anchor Tier 3 Underwrite cash flow 65–68% LTV Regional franchise groups, local gym/grocery, specialty chains

What We Like to See

80%+ occupancy with leases averaging 3+ years remaining
At least one national or regional credit tenant
Rents at or below market (upside on renewals)
Located on signalized corner or strong traffic corridor (20K+ VPD)
Diverse tenant mix — no single tenant over 40% of GLA
Experienced owner with other retail in portfolio
DSCR 1.30×+ leaves buffer for tenant turnover

What Adds Friction (Not Automatic Decline)

Single-tenant concentration above 50% of GLA — manageable if credit is strong
Occupancy below 80% — bridge loan first, refi at stabilization
Short lease terms (under 2 years) — lender will underwrite vacancy risk
Food-heavy tenant mix — higher turnover historically; stress-tested harder
First-time retail buyer — pair with experienced property manager in deal
Below-market DSCR with visible upside — bring the lease-up plan

Retail Strip DSCR Calculator

Enter your property figures to estimate net operating income and DSCR coverage.

Annual NOI
Annual Debt Service
DSCR
Cash-on-Cash

Get a Term Sheet on Your Retail Deal

Strip center, anchored center, NNN pad, or value-add repositioning — we've closed them all across Texas. Submit your property details and get a term sheet within 24 hours. No obligation, no upfront fees.

Submit Your Deal →
Outdoor Hospitality Finance

RV Park & Campground Loans in Texas:
The Asset Class That Thrived While Hotels Struggled

RV parks and campgrounds were the breakout commercial real estate story of the 2020s — occupancy surged as Americans discovered outdoor travel, land values appreciated alongside rising site rates, and institutional buyers (Blackstone, Sun Communities, Equity LifeStyle) entered the market at scale. Texas, with Hill Country, Gulf Coast, and Big Bend drawing millions of visitors, is one of the top RV park markets in the country. Here's how the financing works.

55–65%
LTV Range
1.30×
Min DSCR
7–9%
TX Campground Cap Rate
SBA 10%
Down (Owner-Operated)
Most Lendable

Destination RV Resort

Full-amenity resort with pools, clubhouse, activity programming, and pull-through/back-in sites with full hookups (50-amp, water, sewer). Premium nightly rates $60–120. Monthly site rentals add predictable base revenue. Fredericksburg, Wimberley, and New Braunfels are top TX destinations.

LTV: 60–65% · Rate: 8.0–10% · DSCR: 1.30×
Stable Income

Monthly RV Community

Long-term monthly tenants — snowbirds, traveling workers, and semi-permanent residents. More predictable income than transient parks. Texas has substantial demand from oilfield workers, traveling nurses, and retirees seeking affordable housing. Operates like a mobile home park with RV pads.

LTV: 60–65% · Rate: 8.0–9.5% · Month-to-month leases
Value-Add

Transient / Highway RV Park

Overnight stop along I-10, I-35, or US 290 — travelers stopping for 1–3 nights. Lower amenities, lower rates ($35–65/night), simpler operations. Strong location (near attractions or on major corridor) drives consistent occupancy. Value-add potential through adding amenities and premium sites.

LTV: 55–62% · Rate: 8.5–10.5% · Location critical
Premium Segment

Glamping / Luxury Outdoor

Safari tents, geodome cabins, tiny homes, and upscale yurts. AirDNA-eligible revenue, premium nightly rates ($150–500). Fastest-growing outdoor hospitality segment. Lenders underwrite on actual T-12 revenue — well-established glamping operations now command favorable terms from specialty lenders.

LTV: 55–62% · Rate: 9–12% · AirDNA income counted
Dual Use

RV Park + Storage

RV parks frequently add RV/boat storage as complementary income — $75–200/month per stored unit. Diversifies revenue beyond site fees. Lenders view storage as positive — it's the same land, incremental revenue, and very low CapEx addition that improves DSCR and lowers risk.

Storage adds: $75–200/unit/mo · Improves: DSCR + collateral
Opportunity

Underdeveloped / Value-Add Parks

Older TX campgrounds with low site rates, minimal amenities, and below-market occupancy. Buy at 6–8× NOI, invest in site improvements and amenity upgrades, push rates to market, and capture the occupancy upside. Bridge financing during repositioning, then perm at stabilization.

Acquire: 6–8× NOI · Bridge: 10–13% · Refi at stabilization

Top Texas RV Park & Campground Markets

Texas Hill Country

Fredericksburg, Wimberley, New Braunfels, Kerrville

Highest nightly rates in TX ($80–150+). Wine tourism, Guadalupe River tubing, and scenic drives drive year-round demand. Fredericksburg occupancy 85%+ peak season. Trophy market for RV investors.

Gulf Coast

Port Aransas, Rockport, South Padre, Galveston

Snowbird season November–March fills parks to capacity. Summer beach traffic adds second peak. South Padre RV rates reaching $100+/night in peak. Coastal surge protection is the main underwriting concern.

Big Bend / Trans-Pecos

Terlingua, Marathon, Marfa, Alpine

Destination travelers — Airbnb and RV parks both benefit from Big Bend National Park proximity. Marfa's art scene drives premium glamping demand. Remote location limits supply — occupancy is exceptional for parks that are well-operated.

DFW / Houston Metro Adjacent

Lake Texoma, Lake Travis, Possum Kingdom, Lake Conroe

Weekend getaway market for major metro populations. Lake properties command waterfront premiums. Consistent demand from DFW (7.8M people) and Houston (7.3M people) within 1–2 hour drive radius.

East Texas Piney Woods

Sam Rayburn, Lake Fork, Toledo Bend, Caddo Lake

Fishing destination with legendary bass lakes. Seasonal peaks around fishing tournaments. Lower land cost = better acquisition economics. Lenders favorable on well-established fishing-destination campgrounds with stable T-12.

I-10 / I-35 Corridor Parks

San Antonio, Seguin, Uvalde, Del Rio

Transient traffic parks serving I-10 and I-35 through-travelers. Lower nightly rates ($35–65) but consistent year-round occupancy. Simpler operations, lower management intensity, predictable revenue base.

What RV Park Lenders Want to See

3 years of T-12 revenue with occupancy rates broken out by site type — transient vs monthly vs seasonal
Stabilized occupancy of 70%+ for transient parks; 80%+ for monthly communities
Infrastructure condition: well/septic vs municipal water/sewer (municipal preferred), electrical hookup capacity, paved or gravel site pads
Texas TCEQ permits for water systems and septic if on well/septic — compliance documentation required
Strong location with demand generators — lake, park, attraction, or major highway
Professional management or strong owner-operator track record — absentee first-time RV park owner is difficult to finance

What Creates Friction

Well and septic systems that fail inspection or are at capacity — limits site count and requires capital expenditure
Revenue almost entirely seasonal (1–2 months) with no base occupancy through the year
Deferred infrastructure maintenance — electrical systems, water lines, and site pads in disrepair increase lender risk
Flood plain location without adequate elevation certificate and flood insurance — Gulf Coast and river parks especially
Very small parks (under 30 sites) — limited income diversification and less appealing to most commercial lenders; SBA is the primary option
No management system (reservation software, online booking) — signals unsophisticated operation that lenders struggle to underwrite

RV Park or Campground Deal in Texas? Let's Underwrite It.

Hill Country resorts, Gulf Coast snowbird parks, lakefront campgrounds, and highway transient stops — we've financed RV parks across every Texas market. SBA 7(a) at 10% down for owner-operators, conventional at 55–65% LTV, and bridge for value-add acquisitions. Send us your T-12, site count, and deal terms for a 24-hour term sheet.

Submit Your RV Park Deal →
SBA Loan Guide

SBA 504 vs. SBA 7(a):
Which Loan Fits Your Texas Business Property?

Both SBA programs fund owner-occupied commercial real estate — but they work completely differently. Here's the breakdown of each program, who qualifies, and when to use one vs. the other.

504 Program

SBA 504 Loan

Best ForReal estate, equipment, long-term fixed assets
Down Payment10% (some cases 15–20%)
Loan StructureBank 50% + SBA CDC 40% + you 10%
SBA Rate (CDC portion)Fixed — pegged to 10-yr Treasury
Max Loan Size$5M SBA portion ($5.5M for manufacturing)
Term20–25 years
Prepayment PenaltyYes — 10-yr declining schedule on SBA portion
Use of FundsOwner-occupied CRE purchase, renovation, equipment
Processing Time60–90 days
7(a) Program

SBA 7(a) Loan

Best ForWorking capital, business acquisition, real estate
Down Payment10–20% (depends on purpose)
Loan StructureSingle bank loan, SBA guarantees 75–85%
RateVariable — Prime + 2.75% (max for loans <$50K) or fixed options at some lenders
Max Loan Size$5M total
Term10 years (working capital); 25 years (real estate)
Prepayment Penalty3-year penalty on loans 15+ years
Use of FundsFlexible — real estate, working capital, equipment, acquisition
Processing Time30–60 days (preferred lender programs faster)

How the SBA 504 Loan Stack Works

SBA 504 is unique — it's not one loan, it's three pieces that close simultaneously. Understanding the structure explains why rates are so attractive:

50%
Bank / Lender
Conventional first lien at market rate. Bank takes the senior position — lower risk, willing to lend at market rates.
40%
SBA via CDC
Fixed rate, 20–25 year term, pegged to 10-yr Treasury + ~0.5%. Debenture sold to bond market — this is why rates are so low.
10%
Owner
Your down payment. 15% for startups (<2 yrs old). 20% for single-use properties (gas stations, hotels). Otherwise just 10%.

The SBA CDC (Certified Development Company) portion carries a fixed rate tied to US Treasury bonds — which is why SBA 504 often has the lowest fixed rate available for commercial real estate, frequently below conventional commercial loan rates. The trade-off: longer processing time, owner-occupancy requirement, and a 10-year prepayment penalty on the SBA portion.

SBA 504 Qualifies If:

Business owner-occupies 51%+ of the space (existing building) or 60%+ (new construction)
Business tangible net worth under $20M
Business average net income under $6.5M for past 2 years
For-profit business (non-profits don't qualify)
Purchase, renovation, or construction of CRE for business use
Equipment with 10-year+ economic life
Strong business cash flow to service the total debt

SBA Does NOT Work If:

Property is for investment/rental only (no owner occupancy)
Business is a financial institution (bank, REIT, etc.)
Passive income only (landlords renting to others)
Business is in a speculative industry
Prior SBA loan default or federal debarment
Debt refinancing without a significant new project (7a only for refi)
You need to close in less than 45 days — SBA can't move that fast

Buying a Texas Commercial Property for Your Business?

We originate SBA 504 and 7(a) loans in Texas — and if you don't qualify for SBA, we have bridge, hard money, and conventional commercial options. Submit your deal and we'll tell you which program fits in 24 hours.

Get Your SBA Quote →
SBA Lending

SBA 7(a) Loans in Texas: The Complete Guide for Business Owners & Real Estate Buyers

The SBA 7(a) is the most flexible government-backed business loan in existence — it can fund real estate, equipment, working capital, business acquisitions, and refinancing all under one loan. Texas small business owners use it to buy commercial property at 10–15% down, purchase an existing business, or recapitalize after a tough year. Here's everything you need to know.

$5M
Maximum Loan Amount
10%
Min Down (Real Estate)
25 yrs
Max Term (Real Estate)
Prime+2.75%
Max Rate (Variable)

SBA 7(a) — Key Terms

Max loan amount$5,000,000
Down payment (real estate)10–15%
Down payment (business acquisition)10–15% (varies)
Real estate termUp to 25 years
Working capital termUp to 10 years
Equipment termUp to 10 years (useful life)
Rate typeVariable — Prime + spread
SBA guarantee fee0–3.5% (financed into loan)
CollateralAll available business assets
Personal guaranteeRequired (20%+ owners)

SBA 7(a) vs Conventional vs SBA 504

7(a) — Best forMixed use (RE + equipment + WC in one)
504 — Best forPure real estate — lower fixed rate on 40%
Conventional — Best forInvestment property (no owner-occ required)
7(a) minimum down10% real estate
504 minimum down10% (sometimes 15%)
Conventional minimum down20–25%
7(a) working capitalYes — included in same loan
504 working capitalNo — real estate only
7(a) business acquisitionYes — buy a business with SBA
504 business acquisitionNo
Most Common

Owner-Occupied Real Estate

Buy the building your business operates from. Must occupy 51%+. At 10% down on a $2M building, you're in for $200K vs $400–500K conventional. Term: 25 years.

Business Growth

Business Acquisition

Buy an existing business with proven cash flow. SBA funds up to $5M. Typical structure: 10–15% equity injection from buyer, 85–90% SBA. Seller note can count as injection.

All-in-One

Equipment + Working Capital

Buy real estate AND finance new equipment AND inject working capital in one SBA 7(a). Single closing, single payment. Common for restaurants, medical practices, manufacturers.

Franchise

Franchise Startup / Acquisition

SBA is the primary funding source for franchise buyers. If the franchise is on the SBA Franchise Registry, approval is streamlined. Covers FF&E, working capital, and real estate if applicable.

Debt Relief

Business Debt Refinance

Refinance high-rate merchant cash advances, equipment loans, or business lines of credit into a lower-rate SBA 7(a). Extends term, cuts monthly payments. Must show business benefit.

Construction

Ground-Up Construction

Build the facility your business needs from scratch. SBA funds construction, then converts to permanent at CO. Longer approval timeline but same 10% down minimum for owner-occupied.

The SBA 7(a) Process: What to Expect

01

Pre-Qualification

Lender reviews business financials, credit, and deal structure. Preliminary indication of eligibility before formal application.

2–5 days
02

Application Package

Borrower submits full doc package — 3 years business + personal tax returns, YTD P&L, business plan (if startup), SBA forms.

1–2 weeks
03

Underwriting

Lender underwrites to SBA standards. PLP lenders (Preferred Lender Program) approve in-house — no SBA submission required. Non-PLP submit to SBA.

2–4 weeks (PLP) / 4–6 wks (non-PLP)
04

Commitment + Closing Prep

Loan commitment issued. Title work, appraisal, environmental (if real estate). SBA closing docs prepared. Down payment confirmed.

2–3 weeks
05

Close & Fund

Sign loan docs, pay down payment and closing costs, loan funds. Guarantee fee financed into loan (does not come from pocket).

1 day to close

Documents Required — Business

3 years business federal tax returns (all schedules)
YTD profit & loss statement (within 60 days)
Current balance sheet
12 months business bank statements
Accounts receivable and payable aging (if applicable)
Business debt schedule (all loans, leases, lines)
Business license, articles of incorporation, operating agreement
For acquisitions: seller's 3-year tax returns + purchase agreement

Documents Required — Personal & Real Estate

3 years personal federal tax returns (all schedules)
Personal financial statement (SBA Form 413)
Resume / personal history (SBA Form 1919)
Government-issued ID
For real estate: purchase contract, property information
Environmental questionnaire (Phase I ordered by lender)
Appraisal (ordered by lender — FIRREA compliant)
Proof of injection funds (bank statements showing down payment)

SBA 7(a) for Your Texas Business? Let's Run the Numbers.

We're SBA Preferred Lenders — which means we approve SBA loans in-house, cutting 4–6 weeks off the timeline. Real estate purchase, business acquisition, equipment + working capital, or refinance — we've structured all of it for Texas business owners. Send us your last 3 years of tax returns and a description of your deal and we'll have a pre-qualification within 48 hours.

Start Your SBA 7(a) Application →
Alternative Asset Financing

Self-Storage Loans in Texas:
Financing One of the Most Recession-Resistant Asset Classes

Self-storage has consistently outperformed other commercial real estate categories through economic downturns — people need storage when they're moving, downsizing, going through a divorce, or storing business inventory. Texas's population boom has driven storage demand across every major metro, and cap rates remain attractive relative to multifamily and retail. Here's how to finance a storage facility in Texas.

🔒

Recession Resistance

Storage demand historically increases during recessions — people downsize homes and store excess belongings. Occupancy barely dipped during COVID; most Texas facilities hit 90%+ during 2020–2022.

📊

Low Operating Expense Ratio

Self-storage has the lowest operating expense ratio of any commercial property type — typically 35–45% vs. 50–55% for multifamily. No kitchens, no plumbing in units, minimal maintenance per square foot.

Month-to-Month Leases

Unlike office or retail with locked-in long-term leases, storage leases are month-to-month — letting operators push rents to market quickly as demand increases. Texas facilities have raised rates 20–35% since 2020.

🏗️

Low Construction Cost

Storage buildings are among the least expensive commercial structures per square foot to build — simple metal construction, minimal interior finish, no tenant improvement allowances. New development pencils at lower rents than multifamily.

📍

Texas Demand Drivers

Texas is the #2 state for self-storage demand. Population growth, military relocations (Fort Cavazos, Fort Bliss, Joint Base San Antonio), and DFW/Houston's role as moving hubs drive consistent occupancy across all submarkets.

💰

Attractive Cap Rates

Texas storage trades at 6.0–8.5% cap rates — higher than multifamily (4.5–6.0%) and most retail. For yield-oriented investors, storage provides better cash-on-cash returns with lower management intensity.

90%+
Stabilized TX Occupancy
62–68%
Typical LTV
1.25×
Min DSCR Required
7–9%
Rate Range (2026)

Storage Facility Types and Loan Parameters

Facility TypeLTVRateDSCR MinNotes
Stabilized Non-Climate (80%+ occ)65–68%7.25–8.25%1.25×Most common TX facility type. Clean underwrite if occupancy history is documented.
Climate-Controlled (urban/suburban)65–70%7.00–8.00%1.25×Higher rents per SF support better coverage. Favored in Houston, DFW, Austin urban corridors.
Value-Add (below 70% occupancy)55–62%9–12% (bridge)N/ABridge loan to stabilization. Must show clear lease-up path and realistic market demand.
New Construction / Ground-Up60–65% of cost10–13% (construction)Stabilized proformaConstruction loan with conversion to perm at CO + stabilization (90%+ occupancy).
RV & Boat Storage55–62%8.5–11%1.30×Strong Texas coastal and lake market demand. Outdoor, covered, and enclosed configurations.
Mixed (Storage + Retail/Office)60–65%8.0–10%1.30×Underwritten on blended NOI. Retail component adds complexity but can improve overall coverage.

What Storage Lenders Want to See

Trailing 12-month P&L with occupancy by unit type and size mix
Stabilized occupancy above 85% for at least 6 consecutive months
Below-market rents showing near-term upside on renewals
Competitive supply analysis — how many new facilities in the trade area pipeline?
Management agreement with experienced operator (or borrower has track record)
Property insurance including contents liability and gate/security system
Clear site access, good visibility from traffic corridor, paved surfaces

What Creates Friction

Occupancy below 80% — bridge or private capital more appropriate until stabilized
Heavy new supply pipeline within 3-mile trade area — lender will stress occupancy
Poor site condition: unpaved, drainage issues, aging metal buildings with deferred maintenance
First-time storage buyer — pair with an experienced property manager to offset
Rural location with limited trade area population — demand ceiling may limit occupancy
Flat rent roll with no built-in increases — lender can't underwrite future NOI growth

The Value-Add Storage Playbook (Bridge → Stabilize → Refi)

The most profitable storage deals in Texas are value-add acquisitions — buying an underperforming facility below replacement cost and driving it to stabilization. Here's the standard playbook:

Step 1
Acquire Below MarketFind a 60–75% occupied facility priced on current cash flow, not stabilized value. Seller is often a passive investor ready to exit.
Step 2
Lease-Up & RepriceDigital marketing, Google Ads, optimized online booking. Move rates to market. Add climate-controlled units if demand supports it.
Step 3
Hit 90%+ OccupancyTypically takes 12–24 months with active management. This is where NOI jumps 30–50% from the acquisition price basis.
Step 4
Refi at Stabilized ValuePermanent commercial loan at 65% LTV on the stabilized appraised value — often 40–60% above acquisition price. Pull equity out to fund the next deal.

Self-Storage Deal to Finance in Texas? Let's Talk.

We've financed stabilized storage, value-add turnarounds, new construction, and RV/boat facilities across Texas. Send us your trailing P&L, occupancy history, and acquisition price, and we'll have a term sheet within 24 hours. Bridge loans and permanent financing both available.

Submit Your Storage Deal →
Student Housing Financing

Student Housing Loans Near Texas Universities

Texas is home to some of the fastest-growing university enrollments in the country. Purpose-built student housing and off-campus rental portfolios near these campuses produce some of the most durable, recession-resistant multifamily cash flow available — if the deal is underwritten correctly.

College Station
A&M
75K+ Enrollment
Austin
UT
53K+ Enrollment
Denton
UNT / TWU
45K+ Combined
Lubbock
Texas Tech
40K+ Enrollment

Student housing underwrites differently than conventional multifamily, and lenders who don't understand the sector routinely misprice it — either too conservatively (missing good deals) or too aggressively (getting burned by lease-up risk they didn't see coming). We underwrite student housing on its own terms: by-the-bed leasing structure, parental guarantees, academic calendar-driven turnover, and proximity-to-campus premium.

The strongest Texas student housing deals share a common thread — walking distance or a short shuttle ride to campus, individual lease liability per bedroom rather than one joint lease per unit, and a pre-leasing track record that shows the property fills up well before the fall semester starts. Properties with all of these characteristics can command occupancy and rent premiums that rival or exceed standard workforce multifamily in the same submarket.

Financing Structures We Offer

For stabilized, cash-flowing student housing with two-plus years of consistent pre-leasing history, we underwrite standard DSCR-style permanent financing at competitive multifamily terms. For acquisitions of underperforming or dated student housing with a renovation and repositioning plan — think unit interior upgrades, amenity additions, or converting from joint leases to by-the-bed leases — we structure bridge financing sized to the business plan, with a clear refinance exit once the property re-stabilizes at higher rents.

What Makes a Student Housing Deal Fundable

Strong Underwriting Profile

Within 1 mile or on a direct shuttle route to a major Texas university
By-the-bed leasing with individual liability, ideally with parental guarantees
Documented pre-leasing velocity — 80%+ leased by move-in for prior 2+ cycles
University enrollment growing or stable, not declining
On-site or nearby amenities matching current student expectations

Harder to Finance

More than a 20-25 minute walk/drive from campus with no reliable transit
University with declining or flat enrollment over multiple years
Joint-lease structure with no individual bedroom liability
No pre-leasing data or history of slow fall fill-up
Deferred maintenance requiring significant capital before it's leasable at target rents

Whether you're acquiring a stabilized off-campus community, repositioning a dated property near a Texas campus, or building new purpose-built student housing, send us your rent roll, pre-leasing data, and proximity to campus. We'll tell you exactly what it qualifies for.

Have a Student Housing Deal in Texas?

Acquisition, refinance, or value-add reposition — we underwrite student housing on its own terms.

Submit Your Deal →
About Our Team

30 Years of Texas Commercial Lending —
Not a Bank. A Direct Lender.

DP

Daniel Peterson

Founder & Senior Loan Officer
30+Years Lending
$500M+Loans Closed
TXState Only
DirectLender

Why I Started Commercial Loans of Texas

I've been in Texas commercial lending since the early 1990s — through the S&L crisis, the dot-com bust, 2008, COVID, and the rate spike of 2022–2023. I've seen every market cycle, and I've funded deals that banks walked away from in every single one of them.

What frustrated me about working inside large institutions was the bureaucracy. A small business owner with a great deal and real equity would get declined because of a DTI ratio calculated off a W-2 they didn't have. A real estate investor with 15 profitable rentals couldn't get loan #16 because of Fannie Mae's arbitrary 10-property cap.

I started Commercial Loans of Texas to be the lender I wished existed when I was a borrower. No committee. No 60-day wait for a "no." No junior underwriters who've never seen a real property. Just a direct decision from someone who's been doing this for three decades.

We focus exclusively on Texas because I know this market. I know what DFW cap rates look like in a correction. I know which Houston submarkets hold value. I know the Texas foreclosure process cold. That local knowledge is what lets me say yes faster and with more confidence than any out-of-state lender can.

🏦
Direct Lender Since 1993We use our own capital — no broker chains, no warehouse lines to satisfy, no third-party approvals
🤝
30+ Year RelationshipsMany of our borrowers have done 5–20+ loans with us over the decades. Repeat business is how we measure trust.
📍
Texas Exclusive FocusWe don't lend in 50 states and stretch thin. Texas only means deep local expertise on every deal we underwrite.
24-Hour Term SheetsOne decision-maker. No committee. You get a real answer in one business day, not two weeks of silence.
🏗️
All Property TypesOffice, retail, industrial, multifamily, mixed-use, hard money fix-and-flip, land, and specialty properties.
📊
Seen Every CycleFunded deals through S&L crisis, 2001, 2008, COVID, and the 2022–2023 rate spike. We don't panic when markets move.

My Lending Philosophy

"The most important thing in commercial lending isn't the borrower's credit score — it's the deal. A great property with strong equity and a clear exit strategy is fundable. I've said yes to borrowers with 580 credit scores on deals banks wouldn't touch, and I've said no to borrowers with 780 scores on deals that didn't make sense. The property is the collateral. That's what I underwrite."

Talk to Daniel Directly

Submit your deal and Daniel personally reviews every application that comes through. No junior staff, no auto-denials. A real human decision from someone who knows Texas commercial real estate.

Submit Your Deal →
Specialty Commercial Finance

Truck Stop & Travel Plaza Financing in Texas:
Funding the Infrastructure That Moves America

Texas is the most trucked state in America — more than 1.2 million commercial trucks registered, three of the top-10 busiest freight corridors in the US, and the highest diesel fuel volume in the nation. Truck stops and travel plazas along I-10, I-35, I-20, I-40, and I-45 are high-revenue, defensively positioned assets. Here's how the financing works for independent operators and branded plaza buyers.

50–60%
LTV Range
1.35×
Min DSCR
SBA 10%
Down (Owner-Operated)
Phase I+II
Environmental Required

Revenue Streams Lenders Underwrite

Primary — 60–70% of revenue

Diesel & Fuel Sales

High volume, thin margin — typically $0.04–0.08/gallon net on diesel. A busy Texas truck stop moves 50,000–150,000 gallons/month. Lenders confirm volume via DEQ fuel reports and supplier invoices, not just owner-stated numbers.

Margin: $0.04–0.08/gal
High Margin — 15–20%

C-Store / Food Service

Convenience store, branded fast food (Subway, Pizza Hut, Wendy's), and truck driver staples. Gross margins 30–45%. Branded food concepts add $500K–$1.5M to annual revenue at full-service travel plazas. Lenders weight this heavily — it's where the real money is.

Margin: 30–45%
Recurring

Truck Parking Fees

Overnight truck parking — $10–25/space/night. A 100-space lot at 75% occupancy generates $27,000–$68,000/month. Some locations charge $30–50 for premium spots with electricity hookup. Scalable with minimal capital.

$10–25/space/night
Growing

Shower & Laundry

Truckers pay $12–18/shower; laundry $5–8/load. A busy stop with 30 shower bays runs 150–400 showers/day. TravelCenters of America reports showers as one of the highest-margin services. Recurring loyalty from CDL regulars on set routes.

$12–18/shower, high frequency
Passive

Truck Repair / Lube Bay

On-site truck repair, oil change, and tire service — either operated directly or leased to a third party (Love's, Speedco, TA Truck Service). Third-party lease = stable rent without operational involvement. Direct operation = higher revenue but more management intensity.

Lease: $8–20K/mo net
Ancillary

Scale / Weigh Station

Certified truck scales ($0.10–0.25/weigh) and DOT-required pre-trip inspection services. Low revenue individually but drives traffic — truckers who stop to weigh buy fuel. Scale certification by NIST adds credibility and regulatory compliance.

Traffic driver + ancillary income

What Truck Stop Lenders Want

3 years of tax returns showing consistent fuel volume and c-store revenue — DEQ fuel reports validate stated gallons independently
Strategic interstate or US highway location — visibility, easy ingress/egress for 18-wheelers (wide aprons, pull-through fueling lanes)
Modern USTs (post-1998 double-wall) with active leak detection and current TCEQ compliance certificate
Operating relationship with a branded fuel supplier (Pilot, Love's, or independent jobber with volume contract)
Diverse revenue mix — locations with c-store + food + parking are far more lendable than fuel-only stops
Experienced operator — 3+ years managing a fuel/c-store operation; lenders underwrite the person as much as the property

What Creates Friction

Environmental contamination — petroleum sites with confirmed soil/groundwater issues require TCEQ remediation before financing
Aging single-wall USTs — pre-1988 tanks require immediate replacement ($50K–150K) which lenders require before or at closing
Revenue almost entirely fuel-margin dependent — compressed diesel margins in competitive markets create DSCR risk
Off-highway location — a truck stop not directly visible from the interstate requires a compelling volume history to overcome the location disadvantage
Declining volume trend — gallons sold dropping 10%+ year-over-year is a red flag lenders will require an explanation for
EV/hydrogen transition concern — lenders in markets near major EV adoption corridors discount long-term fuel demand projections

Prime Texas Truck Stop Corridors

I-35 Corridor (Laredo to DFW to Oklahoma)

The single busiest freight corridor in North America — NAFTA traffic from Mexico to US interior. Laredo is the #1 US–Mexico land port of entry by value. Truck stops from Laredo to San Antonio to Austin to DFW are among the highest-volume in the country. Fuel volumes run 2–3× national average at well-positioned stops.

I-10 Corridor (El Paso to Houston to Louisiana)

Cross-country transcontinental freight from West Coast to Gulf Coast and Southeast. El Paso's international crossing + Houston's port generate massive eastbound/westbound truck flow. Truck stops in Kerrville, Junction, Ozona, and Pecos serve captive markets with no competition for miles — pricing power is exceptional.

I-20 Corridor (Odessa/Midland to DFW)

Energy sector support traffic — oilfield equipment, chemical tankers, and pipe haul between Permian Basin and DFW. Volume surges with energy sector activity. Odessa and Midland area stops serve round-the-clock oilfield contractor traffic, not just through-traffic.

I-45 / Gulf Coast (Houston to Dallas)

Petrochemical tanker traffic from Bayport and Texas City refineries north to DFW and beyond. Houston metro truck traffic alone ranks top-3 nationally. Truck stops in Huntsville, Corsicana, and Ennis serve consistent I-45 through-traffic with limited new competition.

Truck Stop or Travel Plaza in Texas? We Understand the Asset.

Independent truck stops, branded travel plazas, fuel-only highway stations, and full-service travel centers — we've financed all formats across Texas's major freight corridors. SBA 7(a) at 10% down for owner-operators, conventional at 50–60% LTV, and bridge financing for value-add acquisitions. Environmental is not a deal-killer if managed correctly. Bring your T-12 and fuel volume reports and we'll have a term sheet in 24 hours.

Submit Your Truck Stop Deal →
Valuation Guide

How Commercial Property Is Valued:
Income, Sales Comparison & Cost Approach

Banks and lenders don't use Zillow. Understanding how commercial appraisers value property tells you what your lender will lend against — and why two nearly identical deals can appraise very differently.

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Income Approach

Used for income-producing commercial properties
Primary Method

The income approach converts a property's net operating income (NOI) into a value estimate using a capitalization rate. It's the primary valuation method for any property that produces rental income: multifamily, retail, office, industrial, mixed-use. Lenders weight this approach most heavily for commercial loans.

Two versions of the income approach:

Direct Capitalization: Divides stabilized NOI by a market cap rate. Best for stable, fully-leased properties with predictable income. Quick and clean — one year of stabilized income, one market rate.

Discounted Cash Flow (DCF): Projects income and expenses over a 5–10 year hold period, adds terminal value (projected sale), and discounts back to present value at an assumed discount rate. Used for value-add properties, lease-up deals, or assets with below-market leases burning off.

Direct Capitalization Example — Houston Strip Center

Gross Annual Rents (fully leased)$180,000
Vacancy Allowance (7%)-$12,600
Operating Expenses (taxes, insurance, mgmt, CAM)-$42,000
Net Operating Income$125,400
Market Cap Rate (Houston retail)6.5%
Appraised Value (NOI ÷ Cap Rate)$1,929,231
Best for: stabilized apartment buildings, fully-leased retail, industrial/warehouse with credit tenants, NNN deals. Appraiser will develop a market cap rate from comparable sales — the accuracy of the approach depends entirely on comp availability in the local market.
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Sales Comparison Approach

Used when comparable sales exist
Secondary Method

The sales comparison approach looks at recent sales of similar properties and adjusts for differences — location, size, age, condition, amenities, lease structure — to arrive at a per-square-foot or per-unit value. Straightforward when comps are abundant; challenging in thin markets.

For commercial properties, the appraiser adjusts on a price-per-SF basis (office, retail, industrial) or price-per-unit basis (multifamily). Each adjustment is documented with market-supported data — not guesses.

Sales Comparison — 12-Unit Apartment Building, Dallas

Comp A (10-unit, similar location) — Sold $1.1M$110,000/unit
Comp B (15-unit, inferior condition) — Sold $1.35M$90,000/unit
Comp C (12-unit, superior location) — Sold $1.56M$130,000/unit
Appraiser's Reconciled Value$105,000/unit
Indicated Value (12 units × $105K)$1,260,000
Best for: vacant land, special-use properties, owner-occupied buildings without strong income data. Also used as a check on the income approach — if the two methods diverge significantly, the appraiser must explain and reconcile the difference.
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Cost Approach

Replacement cost less depreciation, plus land value
New Construction

The cost approach estimates what it would cost to rebuild the improvements from scratch at today's costs, then deducts physical depreciation, functional obsolescence, and external obsolescence, then adds the land value separately. The logic: a buyer wouldn't pay more for an existing building than it costs to build an equivalent new one.

In commercial real estate, the cost approach carries the least weight for income-producing properties — because market value (what someone pays for the income) can be very different from replacement cost. The cost approach is most relevant for new construction, special-use properties, and insurance valuations.

Cost Approach — New Warehouse, Fort Worth

Land Value (2 acres at market)$420,000
Replacement Cost New (20,000 SF at $85/SF)$1,700,000
Less Physical Depreciation (new = 0%)-$0
Depreciated Cost of Improvements$1,700,000
Total Indicated Value$2,120,000
Best for: new construction projects, special-use buildings (churches, schools, drive-throughs), insurance replacement cost calculations. An experienced lender will look at all three approaches and assign the most weight to whichever method is most applicable to the subject property type.

How Lenders Use the Three Approaches

The final appraised value is a "reconciliation" — the appraiser's weighted judgment of which method best reflects market behavior for that property type. Lenders use the lower of appraised value or purchase price as the basis for loan LTV calculations.

Property TypePrimary MethodSecondary CheckWeight
Apartment BuildingsIncome (Direct Cap)Sales ComparisonIncome 70% / Sales 30%
Retail / Strip CenterIncomeSales ComparisonIncome 65% / Sales 35%
Industrial / WarehouseSales ComparisonIncomeSales 60% / Income 40%
New ConstructionCost ApproachIncome (at stabilization)Cost primary
Vacant LandSales ComparisonNone (no income)Sales 100%
Special Use (church, school)Cost ApproachSales (limited comps)Cost primary

Understand Your Property's Value — Before We Lend Against It

We order third-party appraisals on every deal. If you want to discuss how we'll likely value your specific property before you apply, call Daniel directly. 24-hour term sheets, Texas only.

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Common Questions

Real Answers. No Runaround.

28 years in Texas commercial lending. We’ve heard every question. Here are the honest answers.

It depends on the program. Hard money and fix-and-flip loans have no minimum — we lend based on the property and deal structure, not your credit score. Stated income programs typically require 620+. DSCR and 30-year fixed programs prefer 640+, though exceptions exist. If you've been turned down elsewhere, call us — we've funded borrowers with scores below 550.
Not on most of our programs. Hard money, fix-and-flip, stated income, DSCR, construction, and church loans do not require personal tax returns. We accept bank statements, rent rolls, or property appraisals depending on the program. Only our conventional/SBA programs require full-doc income documentation.
Hard money: 7–14 days. Stated income and DSCR: 14–21 days. Conventional and SBA: 30–45 days. Construction draws can begin in under 2 weeks. We've closed hard money loans in as few as 5 business days when the borrower was ready and the title was clean. The biggest delay is always on the borrower side — we move as fast as you do.
We fund loans from $100,000 to $10,000,000+. The majority of our deals fall between $300K and $3M. For deals above $5M, we work with our correspondent lender network while protecting your rate and managing your file end-to-end. There is no minimum deal size we won’t review.
Yes — we prefer it. Most of our borrowers are LLCs, S-Corps, or trusts. Entity ownership does not disqualify you from any of our programs. On hard money and stated income programs, we lend to the entity with no personal income verification required. We can also structure cross-collateral loans across multiple LLCs.
In most cases, yes. For hard money loans, a prior bankruptcy or foreclosure does not automatically disqualify you — we focus on the current deal and your equity position. For stated income and DSCR, we typically require the bankruptcy to be discharged (Chapter 7: 1+ year; Chapter 13: 1+ year). The deal structure and down payment matter more than your credit history with us.
Never. We do not charge application fees, processing fees, or upfront fees of any kind. You don’t pay us until your loan closes. Our fee is collected at closing from loan proceeds. If we can’t get your loan closed, you owe us nothing. This is our policy and has been since 1998.
Almost all commercial property types: office, retail, industrial, warehouse, mixed-use, multifamily (5+ units), self-storage, hotel/motel, mobile home parks, churches, medical offices, gas stations, car washes, restaurants, and raw land. We also do residential investment properties (non-owner-occupied), fix-and-flip, and BRRRR deals. If you’re not sure if your property qualifies, call and ask — we’ll give you a straight answer in 3 minutes.
We are licensed and actively lending in 44 states. Texas is our primary market but we close deals across the country, including California, Florida, New York, Colorado, Nevada, Georgia, and most other states. The only states we do not currently lend in are North Dakota, South Dakota, Oregon, Vermont, and Nevada for certain loan types. Call to confirm your state.
We are a direct lender — we hold the money and make the lending decisions ourselves. We are not a bank (we don’t take deposits) and we are not a mortgage broker (we don’t shop your file to other lenders). When we issue a commitment, we fund it. No middleman, no commission markup, no surprises at closing. We have been a direct lender since 1998.

Real Deals We’ve Funded

When Banks Say No, We Find a Way

Every deal below was declined, complicated, or urgent. Here’s how we closed them.

Hard Money

$1,200,000

Strip Mall — Houston, TX

Borrower had a 571 credit score and two prior bank declines. Property was 70% occupied. Needed to close before losing the deal. Conventional lenders wouldn’t touch it.

✓ Funded: 11 days from application
✓ Rate: 10.5% | 70% LTV | 12-month term
✓ No tax returns required
Stated Income

$2,100,000

Mixed-Use Building — Dallas, TX

Self-employed borrower, LLC ownership, no W-2s. Three years of tax returns showed losses due to depreciation — conventional underwriting was impossible.

✓ Funded: 19 days
✓ Rate: 9.25% | 75% LTV | 25-year am
✓ Bank statements only
DSCR

$875,000

8-Unit Apartment — San Antonio, TX

Investor owned 11 properties under various LLCs. Debt-to-income ratio was too high for traditional underwriting. Needed financing based on the property’s cash flow, not personal income.

✓ Funded: 28 days
✓ Rate: 8.0% | 30-yr fixed | 80% LTV
✓ No personal income docs
Construction

$1,850,000

Industrial Warehouse — Fort Worth, TX

Ground-up construction with no pre-leasing. Traditional banks required 100% pre-lease before funding. Borrower had a signed LOI from a tenant but no executed lease yet.

✓ Funded: 14 days to first draw
✓ Rate: 11.5% | 80% LTC | Draw schedule
✓ Bridge to perm available
Church Loan

$390,000

Church Refinance — Austin, TX

Church needed to refinance an adjustable-rate note ballooning in 60 days. Most lenders won’t touch non-profit religious properties. They came to us with 45 days to close.

✓ Funded: 31 days
✓ Rate: 8.5% | 20-year fixed | 70% LTV
✓ Specialty program, Texas specialist
Fix & Flip

$340,000

Commercial Rehab — Plano, TX

Investor had a distressed retail property under contract. Needed 90% of purchase price to preserve cash for the rehab. Had done 4 prior flips but no lender would go above 70% LTP.

✓ Funded: 9 days
✓ Rate: 12% | 90% LTP | 8-month term
✓ Rehab escrow included

Have a deal that doesn’t fit the box? Tell us about it. We’ve seen everything.

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