SBA loan basics
Short answer
Yes, an SBA 7(a) loan can be used to finance the construction of a new commercial building that your eligible small business will occupy and use for its operations.
The SBA 7(a) program provides financing for various real estate purposes, including the acquisition of land and construction of new facilities. The business must occupy at least 51% of the property if it's existing, or 60% if it's new construction, to be eligible for financing.
A growing veterinary practice needs a larger, custom-built facility. They can obtain an SBA 7(a) loan to purchase a parcel of land and cover the construction costs for their new clinic, which they will fully occupy.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
7(a) Loan Program — Terms, Conditions, and Eligibility
U.S. Small Business Administration · Official SBA source
SOP 50 10 - Lender and Development Company Loan Programs
SBA 7(a) Loans Overview
Last checked 2026-06-13. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-13 · SBA sources checked through 2026-06-13. DealRoom analysis of public SBA 7(a) lending records (FY2020–present). Grounded in the current SBA rulebook; verify against the official sources above before relying on it for a live deal. Not legal, tax, or financial advice, and not an approval decision.
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