Orlando, FL, October 29, 2015 --(PR.com
)-- Mercantile Capital Corporation, a leading provider of U.S. Small Business Administration (SBA) 504 loans nationwide, announced today that it closed fifteen loans during the third quarter of 2015. These loans funded small business commercial real estate projects worth more than $35.9 million in total project costs while creating and retaining 205 jobs in California, Connecticut, Florida, Georgia, Maryland, and North Carolina.
Mercantile’s largest loan of the third quarter is financing the ground-up construction of a Candlewood Suites Hotel in Hartford, CA. The total project cost was $12.5 million, and Mercantile will fund the second mortgage. Other projects included the $3.9 million purchase and remodeling of a medical office in Newport Beach, CA; the $2.5 million acquisition of a retail showroom and marina in North Palm Beach, FL; and the $2.2 million acquisition of an industrial building in San Rafael, CA.
In September, Mercantile closed its fourth loan for XL Sports World, a company headquartered in Orlando, FL. Since 2011 Mercantile has closed loans for XL in in Orlando, Saco (ME), and Midlothian (VA). This fourth loan was for the purchase of an existing 56,208 SF indoor multi-sport facility in Raleigh, NC. Mercantile provided both the first and second mortgages for this $4.51 million SBA 504 project.
According to Tony Zara, Executive Vice President of Mercantile, one lender closing four SBA 504 loans for one small business is a rarity. “We quickly found out that we worked really well with Ciaran McArdle and his team over at XL,” Zara said. “They’re a shining example of what’s possible with SBA 504 financing, and we’re proud that we’ve been able to play an integral part in their growth and success.”
About the SBA 504 Loan Program
The SBA 504 loan program allows small business owners to finance fixed assets with long-term, below-market, fixed interest rates. These loans are designed to finance the total cost of a project, which can include purchase price, construction/renovations, equipment, soft costs, and closing costs. A typical 504 loan project requires only 10 percent equity from the borrower, with the remaining amount split between a first mortgage provided by a commercial lender and a second mortgage provided by a Certified Development Company (CDC). The program is self-funded and operates at a zero-subsidy status within the SBA.
About Mercantile Capital Corporation
Mercantile is a wholly-owned subsidiary of IBERIABANK (IBKC) and has been a primary source of SBA 504 loans — both first mortgages and interim seconds — nationwide since 2002. As of 9/30/15, Mercantile has closed 593 loans to fund projects worth more than $1.65 billion in 40 states, Puerto Rico, and the District of Columbia. A primary aim of the SBA 504 loan program is job creation and retention, and Mercantile’s lending activities have helped create and retain a total of 9,311 permanent jobs.
For more information, contact Nikos Triadis, Marketing Manager, at (407) 786-5040 or firstname.lastname@example.org.