Commercial Real Estate Loans

Commercial real estate loans are used for purchasing business properties and funding property improvements. Westfield Bank works to understand your construction project or real estate purchase and provide your business with a variety of loan options to fit your small business needs. At Westfield Bank our philosophy is simple: when we help our clients grow their business, we grow as well. Contact one of our Commercial Lending Advisors for further information.

Here are some thoughts to consider when beginning the process to secure a real estate loan.

1. Have a definite plan. Lenders want to see that you have a plan in place for using the money. They also want to see a timeframe in which you anticipate completion of the planned project.
2. Have a business plan. It is always advantageous when seeking a loan, or any type of funding, to have a well-structured business plan that includes all of the necessary operating and financial data.
3. Have cash ready to put into the project. Before you apply for a commercial real estate loan, you need to make sure you have some available cash on hand. Commercial lenders want to see that you are investing your own money to cover a percentage of the project.
4. Review your balance sheet. Before taking out a loan, you should review your balance sheet and analyze your cash flow and liabilities to make sure that while paying off the loan you will still have enough money to run the property properly.
5. Negotiate the best deal. Consider hiring a competent real estate attorney who can help you with the commercial real estate purchase.
6. Evaluate your lender. It is good to have a rapport with a lender, particularly when you need a loan.
7. Invest time in researching the Small Business Administration (SBA). It is always worthwhile to check with the Small Business Administration to see what loans they can help you attain and what advice they may offer.
8. Create proper documentation. Make sure you have all the documentation that the lender would expect, and be prepared to show why the property or project makes fiscal sense.