What Types of Property Qualify For Commercial Loan Modification?

Commercial loan modification for business related or income producing properties is an option that is often overlooked. Those frantically trying to restructure their finances are generally worried about the family home – not realizing that modification can also save their business. Many types of companies could easily qualify for relief such as a refinance, extension, lower interest rate or even a complete restructuring of the loan.Qualifying properties may fall into one or more of the following categories:- Residential properties that produce income, such as single family properties, most multi family units and mobile home communities- Commercial properties that produce income such as storage units, bowling alleys, car washes, or auto/service stations- Retail properties that produce income, such as gas stations, convenience stores, groceries and markets- Properties housing a food service establishment (bars, saloons, cafeterias, restaurants and can catering companies)- Properties housing health care facilities (hospitals, hospice, nursing homes, assisted living, doctor or dental offices, health spas and daycare centers)- Mixed use properties, anchored and unanchored retail centers, office buildings and space, and flagged or un-flagged hospitality properties- Industrial properties (light, medium or heavy) warehouses, manufacturing structures, and industrial condos- Religious or educational properties such as schools / educational facilities, churches (mosques, synagogues, temples, etc), and not for profit 501(c)3 charitiesIn addition to these, some properties are considered on a case by case basis:- Properties housing entertainment, such as sporting arenas or facilities, theme or amusement parks, or venues with non-structural interior poles used for adult entertainment shows.- Properties used for recreational purposes, such as golf courses, marinas, campgrounds, RV parks and retreats- Agricultural properties and property that is vacant or owned by a real estate or mortgage company, financial institution, or title or escrow companyProperty located outside the US, involved in bankruptcy, undeveloped, under construction or in the process of being rehabilitated are not eligible for commercial loan modification. Neither are timeshares, dealerships, or properties financed under an SBA, USDA, B&I 7(a) or FFE programs. Some state specific exclusions may also apply.

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