30+ Asset Classes from Hotels to Manufacturing Plants
MMCG maintains dedicated analytical frameworks for every major commercial real estate property type. A hotel feasibility study uses different revenue drivers, competitive metrics, and industry benchmarks than a gas station or an assisted living facility. Generic consulting firms apply the same template to every property type. We do not.
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Hospitality and recreation. Hotel and hospitality studies evaluate ADR, occupancy, and RevPAR against the competitive set. Glamping and short-term rental studies analyze seasonal demand and platform revenue modeling. RV park and marinastudies evaluate capital-intensive infrastructure requirements. Restaurant feasibility addresses the highest-risk operating category in commercial real estate.
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Retail, food, and service. Retail center studies use trade area analysis and retail leakage modeling. Gas station studies model fuel volume and traffic counts. Truck stop and travel center studies evaluate diesel throughput and multi-revenue stream operations. Car wash and shopping mall feasibility address specialized demand patterns.
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Residential and healthcare. Multifamily studies analyze rent comparables and absorption rates. Affordable housing studies address LIHTC compliance and income-restricted rent modeling. Assisted living and senior care feasibility evaluates acuity-based revenue tiers and Certificate of Need requirements. Medical office studies address physician demand and payor mix.
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Industrial, warehouse, and flex. Industrial studies model manufacturing capacity and supply chain positioning. Warehouse and distribution studies evaluate logistics corridors and e-commerce demand. Flex space studies analyze hybrid office-warehouse markets. Self-storage feasibility addresses saturation analysis and revenue management.
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Specialty and community. Mixed-use development requires parallel pro forma modeling integrated into a consolidated financial model. Childcare studies evaluate licensing capacity and enrollment projections. Sport and recreation facilities and fitness centers address membership-based revenue modeling. Community facilities serve USDA-financed infrastructure in rural communities.
What the Final Deliverable Includes
The completed feasibility study is a professionally formatted report structured for direct inclusion in the SBA, USDA, or conventional loan package. The report is not a narrative summary or a business plan. It is an analytical document that a credit committee can evaluate independently.
Every MMCG feasibility study includes an executive summary with a clear go/no-go recommendation supported by quantified evidence; a project description covering the proposed use, site, development plan, and capital stack; a methodology statement describing data sources, analytical frameworks, and limiting conditions; a market feasibility chapter with trade area definition, demographic analysis, competitive benchmarking, demand quantification, and absorption projections; a financial feasibility chapter with ten-year pro forma, DSCR analysis, IRR, NPV, cash-on-cash return, break-even occupancy, and sensitivity analysis; a technical feasibility chapter covering construction cost benchmarking, zoning compliance, and infrastructure assessment; a management feasibility chapter evaluating operator qualifications and staffing plans; a risk assessment with structured framework covering market, construction, regulatory, and financial risk; and appendices including demographic profiles, competitive data sheets, financial model workbook, and an assumptions book with complete audit trail.
Reports typically range from 120 to 200+ pages depending on project complexity. For projects with multiple revenue streams, each component receives independent modeling before integration into the consolidated financial analysis.
The Credentials Behind Every Study
MMCG Invest, LLC is a Practicing Affiliate of the Appraisal Institute, the nation's largest professional association of real estate appraisers and valuation professionals. All feasibility studies are prepared in conformance with the Uniform Standards of Professional Appraisal Practice (USPAP).
Michal Mohelsky, J.D. serves as principal and lead analyst. His credentials include a Juris Doctor, Certified Financial Modeling and Valuation Analyst (FMVA) designation, and Appraisal Institute Practicing Affiliate status. He has led feasibility analysis supporting over $982 million in total construction costs across 30+ commercial real estate asset classes. His legal training informs the regulatory compliance framework that underpins every SBA and USDA engagement.
The MMCG team includes senior analysts, an architect (supporting site plan and technical feasibility), and junior analysts who execute the competitive research, demographic profiling, and data verification that form the evidentiary foundation of each study. Learn more about the MMCG team and project experience.
Not all feasibility studies are created equal. A study that fails credit review costs the borrower time, money, and potentially the project. The following criteria distinguish qualified feasibility study consultants from firms that produce documents lenders reject.
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Independence. The consultant must have no financial interest in the project's outcome. This is a regulatory requirement under USDA 7 CFR Part 5001 and a practical requirement for SBA lenders. If the consultant also provides brokerage, development, or financing services for the same project, the study is not independent.
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Lender acceptance track record. The most important question to ask any feasibility study consultant: Do lenders accept your work product? A study that satisfies the consultant but not the credit committee has no value. MMCG's 50/50 fee structure puts this alignment in writing.
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Licensed data subscriptions. Institutional-grade feasibility studies require licensed data that free internet sources cannot provide. Ask whether the consultant subscribes to commercial real estate databases, demographic profiling systems, and construction cost benchmarking platforms. Studies built on free internet data do not meet lender expectations.
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Financial modeling depth. A feasibility study is not a narrative market overview. The financial model must include a ten-year pro forma, DSCR analysis calibrated to program minimums, sensitivity analysis (tornado diagrams, scenario modeling), break-even calculations, and an assumptions book with full audit trail. Ask to see a sample table of contents before engaging.
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Asset-class expertise. A hotel feasibility study requires different analytical frameworks, data sources, and competitive metrics than a gas station or an assisted living facility. Ask whether the consultant has completed studies in your specific property type.
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Appraisal credentials or equivalent. Appraisal Institute affiliation, MAI designation, FMVA certification, CPA, or equivalent credentials signal analytical rigor and adherence to professional standards. USPAP conformance is the baseline expectation for any serious feasibility consultant.
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Turnaround time. Industry standard ranges from two to six weeks. MMCG delivers in 9 to 16 business days for standard engagements, with expedited delivery available.
Free Screening Tools for Preliminary Site Assessment
Before commissioning a full feasibility study, borrowers and lenders can use MMCG's interactive tools for preliminary project screening. These tools are free and require no account.
Check whether your project site qualifies for USDA Rural Development financing with our USDA eligibility map. Compare SBA and USDA financing structures with our SBA and USDA loan comparison calculator. Model USDA B&I guarantee fees and repayment with our USDA B&I loan calculator. Screen site-level earthquake risk with our U.S. seismic hazard map. Check FEMA flood zone designation and wetland proximity with our FEMA flood zone and wetlands map.
Loan Programs We Support
MMCG produces feasibility studies calibrated to the specific compliance requirements of each financing program. For SBA 504 and SBA 7(a) programs, we structure deliverables to the prescriptive underwriting standards of SOP 50 10 8. For USDA B&I guaranteed loans, we satisfy the five codified feasibility dimensions of 7 CFR Part 5001. For conventional commercial lenders, we produce the independent demand and financial analysis that construction lenders, CMBS conduits, and life insurance companies require.
Visit our SBA feasibility study page for detailed SBA 504 and 7(a) compliance methodology. Visit our USDA feasibility study page for USDA B&I, REAP, and Community Facilities program details.
Discuss Your Project
Whether you are an SBA borrower who just learned a feasibility study is required, a lender evaluating a complex deal, a developer seeking USDA B&I financing for a rural project, or an investor conducting independent due diligence, MMCG delivers the analysis that moves projects from concept to closing.
Speak Directly With the Author of Your Study:
Michal Mohelsky, J.D., | Principal | mmcginvest.com
Contact: michal@mmcginvest.com
Phone: (628) 225-1110
Feasibility Study Consultant
What a Feasibility Study Consultant Does
A feasibility study consultant is an independent, third-party analyst who evaluates whether a proposed commercial real estate project is viable before a lender commits capital. The consultant has no financial interest in the project's outcome. This independence is not optional; it is a regulatory requirement under SBA SOP 50 10 8 and USDA 7 CFR Part 5001, and a practical requirement for any credit committee that needs to evaluate a project on its merits rather than through the borrower's optimism.
The consultant's role is distinct from adjacent professionals. An appraiser determines the current market value of an existing or proposed asset. A business plan writer describes how the borrower intends to operate. A market researcher compiles industry data. A feasibility study consultant does something none of these professionals do: the consultant answers a single question that determines whether the loan gets funded. Can this project generate sufficient cash flow to service its debt under realistic market conditions?
Answering that question requires integrating five analytical dimensions into a single cohesive evaluation: market feasibility (is there sufficient demand?), financial feasibility (do the numbers work?), technical feasibility (can it be built as proposed?), management feasibility (can the operator execute?), and risk assessment (what happens when assumptions change?). A qualified feasibility study consultant commands the data infrastructure, analytical methodology, and sector expertise to produce each of these dimensions at the standard credit committees expect. For a detailed explanation of bankable methodology, see our bankable feasibility study page.
When Lenders Require a Third-Party Feasibility Study
Borrowers typically learn they need a feasibility study consultant when their lender tells them. Understanding the specific triggers helps borrowers and lenders initiate the process before it delays the loan timeline.
SBA 504 and 7(a) programs. Under SOP 50 10 8 (effective June 2025), feasibility studies are required or strongly recommended for startups (businesses operating less than two years), complete changes of ownership, special-use or limited-purpose properties (hotels, car washes, gas stations, cold storage, bowling alleys), new construction or major expansion projects, and high-risk industries including hospitality, entertainment, and healthcare. For SBA 504 loans, the equity injection escalates with risk: 10% standard, 15% for special-use properties, and 20% for startups purchasing special-use properties. The feasibility study directly informs this equity determination. For complete SBA program details, see our SBA feasibility study page.
USDA Business and Industry (B&I) guaranteed loans. Under 7 CFR Part 5001, a full feasibility study by an independent qualified consultant is mandatory for new businesses seeking guaranteed loans exceeding $1 million. The USDA codifies five explicit feasibility dimensions and imposes stricter independence requirements than SBA. Use our USDA eligibility map to check whether your project site qualifies for Rural Development financing. For full USDA program details, see our USDA feasibility study page.
USDA Community Facilities and other Rural Development programs. Community Facilities loans exceeding $1 million to new entities require full feasibility studies. REAP projects require technical feasibility demonstrating energy production and payback period.
Conventional commercial lenders. Construction lenders, CMBS conduits, and life insurance companies routinely require independent demand and financial analysis for hospitality, healthcare, development, and capital-intensive projects regardless of government guarantee.
EB-5 visa regional center projects. Under the Matter of Ho precedent, feasibility studies must be comprehensive, detailed, and credible, supporting the economic impact report that demonstrates creation of at least 10 full-time jobs per investor.
Contact Us
Have a particular challenge you're trying to deal with? Let's discuss your project and see what we can do for you.
166 Geary St Ste 1500
San Francisco,
California, 94108
+1 (628) 225-1110