FranchiseVerdict

SBA 504 certified development company

Houston-Galveston Area Local Development Corporation

CRITICAL risk
Total loans
133
Loan volume
$128.8M
Avg loan size
$968K
Default rate
20.0%
vs 13.3% national avg

Defaults

24

Franchises funded

61

Risk rating

CRITICAL

Top franchise exposures

FranchiseLoansVolumeDefault %
Holiday Inn Express13$17.1M15.4%
Best Western Inn9$8.7M33.3%
Comfort Inn6$7.0M0.0%
La Quinta Inn5$6.1M75.0%
Super 8 Motel5$3.7M0.0%
Denny's Restaurant5$3.1M0.0%
Days Inn5$5.2M50.0%
Quality Inn4$4.2M25.0%
Children's Lighthouse4$3.0M0.0%
Baymont Inns & Suites4$4.2M0.0%
Hampton Inns3$4.3M0.0%
Choice Hotels International In3$3.2M33.3%
MAACO Auto Painting Center3$960K33.3%
Kids R Kids3$2.1M0.0%
Ramada Inn3$4.5M0.0%
Comfort Suites2$2.5M50.0%
Re/Max Realty2$496K0.0%
Candlewood Suites2$3.7M0.0%
Exxon2$1.8M0.0%
Citgo Service Station2$1.5M0.0%

Lending volume by year

2
'95
2
1
1
1
1
'00
3
8
9
5
12
'05
16
21
25
13
4
'10
1
3
2
1
1
'20
1
'23

Geographic coverage

Texas
13320.0%

Portfolio summary

Total funded$128.8M
Defaults24 of 133
Risk tierCRITICAL

Source: SBA 504 FOIA loan-level data, aggregated by FranchiseVerdict

Default rate = charge-offs / (charge-offs + paid-in-full). Active, exempt, and cancelled loans are excluded. Risk ratings: Excellent (<5%), Good (5-10%), Average (10-15%), Elevated (15-20%), Critical (>20%).