SOURCE: TMC Development

September 10, 2009 12:00 ET

TMC Development Now Financing Projects at 5.06% -- Lowest Interest Rate in SBA History

11 Businesses in the Bay Area and Southern California Purchased Real Estate Using SBA 504 Financing Below-Market Rates

SAN FRANCISCO, CA--(Marketwire - September 10, 2009) - TMC Development, a leading Certified Development Company providing SBA loans in California and Nevada, has announced that the interest rate on SBA 504 loans has dropped to 5.06% -- the lowest rate in the history of the SBA 504 loan program and 11 California businesses have received financing from TMC Development in September using this rate. The Bay Area companies include: Susan L. Nuttle, D.D.S. - Pinole, Roy Medical Associates Inc. - San Ramon, Terrapin Systems - San Jose, Dev Holdings LLC - San Mateo, Calphin Aquatic Club - Fremont, and Commercial Design Inc. - Lodi and Beverlee K. Gordon. Southern California businesses include: Jasan Fabricated Glass, Inc. - Vernon, Carissa Kwan - Los Angeles, Talamex Foods Inc. - City of Industry, and Flower Girl Dress for Less, Inc. - Chatsworth.

SBA 504 interest rates are closely tied to the Treasury rate. In September the 10-year Treasury rate dropped, resulting in a decrease in the SBA 504 loan rate. 2009 has seen has seen the three lowest rates in the program's history -- 5.17% in April, 5.16% in July, and now September's 5.06% rate is the lowest yet.

"A major benefit of the SBA 504 loan program is that 504 rates are always below market and fixed for 20 years," said Barbara Morrison, CEO of TMC Development. "Under the 504 program, borrowers can access long-term fixed rate financing and purchase a building with only 10% down -- making it a great way for businesses to buy a commercial property."

The U.S. Small Business Administration (SBA) created the 504 loan program in 1980 to provide financing for successful, growing small and medium-sized businesses. Loan proceeds can be used to purchase, renovate or construct commercial real estate properties, or for the acquisition of equipment that has a life expectancy of 10 years or more.

About TMC Development Corporation

TMC Development has been ranked in the top 10 Certified Development Companies in the nation for over a decade. During the past 27 years TMC has provided over $5 billion in financing for more than 3,200 businesses throughout California and Nevada. TMC's staff works directly with borrowers, first mortgage lenders, and real estate brokers to tailor financing packages that meet SBA program guidelines and the borrower's credit capacity. For more information go to http://www.tmcd.com.

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