Owner-Occupied Renovation Loans: Let’s Support Your Growth Strategy

May 22, 2025

If your company has been discussing updating your physical space for months or years to improve operations, now is the time to turn talk into action.

Whether you need to improve your physical presence to introduce new equipment, upgrade office space, better serve customers, or create a more efficient layout, renovations can support growth and enhance business operations.

We understand that funding physical updates can be a challenge. That’s why we recommend owner-occupied renovation loans. Find out how this type of business loan works, your financing options, and how Texas Gulf Bank supports local companies in the Southeast Texas Gulf Coast region.

What Are Owner-Occupied Renovation Loans?

An owner-occupied renovation loan enables businesses to borrow funds for renovating or upgrading commercial real estate they already own and occupy. These loans are designed to provide financial solutions that fit your specific operating needs.

Renovation loans are flexible and customized to support a wide range of updates and improvements that may enable you to become more competitive in the market, gain new customers, and accelerate growth.

The key advantage for your company is that this type of loan is designed to support your bottom line while preserving working capital for other business needs.

Benefits of Renovating Your Owner-Occupied Commercial Space

Renovating your commercial property can create a ripple effect of benefits. Here’s how this lending option can support your business growth strategy.

Enhanced Productivity: Optimized layouts and additional equipment can improve operational workflows.
Business Expansion: A larger or better-equipped space can help your business meet growing customer demand or serve new clients. Instead of turning down jobs, you are better equipped to accept revenue-driving deals.
Asset Value: Renovations often increase property value, enhancing your long-term equity.
Employee Retention and Satisfaction: Comfortable, well-designed workspaces can contribute to employee morale and productivity.

Financing Options for Your Owner-Occupied Renovation

Funding your renovation project doesn’t need to be burdensome. Texas Gulf Bank offers financing solutions designed to support local businesses like yours. Here are two primary options available to help you achieve your renovation goals.

1. Commercial Real Estate Owner-Occupied Loans

We provide owner-occupied commercial real estate loans tailored to fit your business needs. These loans allow you to finance materials, labor, and equipment necessary to bring your renovation plans to life. Consider the benefits of this option:

Short-term to mid-term financing options that meet your project needs.
Funds are available for construction, expansion, or property improvement.
Use existing property as collateral, helping to reduce upfront financial strain.

2. SBA 7(a) and 504 Loans

Another option for small businesses is an SBA loan through the Small Business Administration. The SBA is a federal agency dedicated to encouraging growth by providing a loan guarantee on a portion of the loan amount to eligible small business owners.

SBA loans can be a reliable option for Texas companies looking to fund major renovations or long-term improvements. Consider the features of this option:

Lower equity requirements (as low as 10%).
Allows for using projected cash flow to help support the loan approval analysis, if needed.
Funds can be used to improve real estate, expand current facilities, or acquire equipment.
Affordable lending terms may help minimize risk.

How to Apply for a Renovation Loan

At Texas Gulf Bank, we aim to make the loan application process as smooth and efficient as possible. Our local lending team will discuss your business needs and review lending options that fit your unique situation.

After the initial consultation, we can help you get started on the loan application. In addition to a completed application, we may ask for the following documentation below including but not limited to:

A detailed renovation budget.
Documentation of building plans and project scope.
3 most recent years of tax returns and financial statements for the business.
Most recent personal financial statement from each guarantor on the loan.

Our experienced lending team will guide you through the process, ensuring the loan structure aligns with your renovation goals.

Why Choose Texas Gulf Bank for Renovation Financing?

Supporting companies across the Southeast Texas Gulf Coast is more than a responsibility to us; it’s an integral part of our mission to support the economic growth of our region. Here’s why so many local companies choose Texas Gulf Bank for their business financing needs.

Local Expertise: With 110+ years of experience in the region, we understand the challenges and opportunities local businesses face.
Personal Support: Our lenders provide one-on-one consultations to address your questions and work with you to find the most suitable financing options.
Tailored Solutions: We provide loans customized to meet your business needs, whether you’re a growing small business or a well-established company.
Streamlined Approvals: We handle all loan reviews in-house, helping keep your project on track.

Drive Business Growth with Texas Gulf Bank

Ready to adjust your priority list? No longer does a renovation project need to sit on the “nice-to-have” list. It’s time to invest in your future with a commercial real estate loan to improve a critical piece of property. We can help you make it happen.

Our local lenders know the market and your industry. We’ll review available owner-occupied renovation loans that may help your business enhance operational efficiency, attract new customers, and accommodate growth.

Contact us today to set up a consultation with one of our experienced lenders. We look forward to seeing how we can support your business strategy.

All loans subject to credit approval.