Commercial Real Estate Loans
Finance the purchase, refinance, or development of commercial property — from owner-occupied office and retail to investment properties and mixed-use developments — with loan amounts up to $10,000,000+.
Check Commercial Real Estate Eligibility — Free →Commercial real estate represents some of the most significant and strategic investments a business owner or investor can make. Whether you’re a business owner looking to stop paying rent and own the building you operate from, a real estate investor acquiring an income-producing property, or a developer financing a ground-up project — commercial real estate financing requires a lender who understands both the property and the business behind the purchase.
Commercial real estate loans are fundamentally different from residential mortgages. Lenders evaluate not only the property’s value but its cash flow potential, the borrower’s business financials, the local market, the intended use, and — in the case of owner-occupied properties — the health of the occupying business. Loan structures, amortization periods, and rate types vary widely based on these factors.
Martimus Financial connects businesses and investors with commercial real estate financing from $250,000 to $10,000,000+ through a network of banks, credit unions, CMBS lenders, bridge lenders, and SBA lenders. Our advisors help you identify the right financing structure for your specific property type, use, and financial profile — and present you with multiple competitive offers so you can make an informed decision.
What Is a Commercial Real Estate Loan?
A commercial real estate (CRE) loan is a mortgage secured by commercial property — non-residential real estate used for business or investment purposes. Unlike residential mortgages that amortize fully over 15–30 years, most commercial real estate loans have an amortization period (typically 20–25 years) and a shorter loan term (5–10 years), at the end of which the remaining balance comes due as a balloon payment, requiring refinancing or payoff.
The primary CRE loan types relevant to small businesses and investors include:
- Owner-Occupied CRE Loan: The borrower’s business occupies at least 51% of the property. SBA 7(a) and SBA 504 loans are the gold standard for owner-occupied commercial real estate, offering low down payments and long amortization periods.
- Investment Property Loan: The property is primarily income-producing (leased to tenants). Underwriting focuses on the property’s debt service coverage ratio (DSCR) — the ratio of net operating income to total annual debt service.
- Bridge Loan: Short-term financing (6–36 months) used to acquire or renovate a property quickly while permanent financing is arranged. Higher rates but maximum flexibility and speed.
- Construction Loan: Funds the ground-up development or major renovation of commercial property. Draws disbursed in stages as construction progresses, converting to permanent financing at project completion.
- Cash-Out Refinance: Refinances an existing commercial property to extract equity — often used to fund business expansion, additional property acquisitions, or major capital improvements.
Who Qualifies for Commercial Real Estate Financing?
Commercial real estate qualification involves both property-level analysis (property value, condition, location, use, income potential) and borrower-level analysis (credit score, business financials, net worth, liquidity, experience). Lenders want to see that both the property and the borrower can sustain the debt.
For owner-occupied properties, lenders also evaluate the occupying business’s financial performance — typically requiring 2 years of business tax returns and personal financial statements from all owners with 20%+ ownership. For investment properties, the property’s rent roll, lease terms, and historical net operating income carry the most weight.
Liquidity matters significantly in commercial real estate. Lenders want to see post-closing liquidity — enough cash reserves to cover 6–12 months of debt service after the down payment and closing costs are deployed.
Types of Commercial Properties We Finance
- Office Buildings: Single-tenant and multi-tenant office properties, medical office buildings, professional suites.
- Retail Properties: Strip centers, single-tenant retail, mixed-use retail/residential, ground-floor retail in commercial buildings.
- Industrial & Warehouse: Light industrial, flex-industrial, distribution warehouses, manufacturing facilities.
- Multifamily (5+ Units): Apartment buildings, mixed-use with residential component, student housing.
- Hospitality: Hotels, motels, bed-and-breakfast properties — subject to specialized underwriting based on revenue per available room (RevPAR).
- Special Purpose: Restaurants, gas stations, car washes, self-storage facilities, churches — property types with limited alternative use that require specialized lenders.
- Mixed-Use: Properties combining retail, office, and residential uses in a single structure.
CRE Loan Amounts, Terms & Rates
| Loan Type | Amount | Term | LTV |
|---|---|---|---|
| SBA 7(a) CRE | Up to $5,000,000 | 25 years | Up to 90% |
| SBA 504 CRE | Up to $5,000,000 (SBA portion) | 10, 20, or 25 years | Up to 90% |
| Conventional CRE | $250K – $10M+ | 5–10 yr term / 20–25 yr amort | 65–75% |
| Bridge Loan | $500K – $10M+ | 6–36 months | Up to 80% |
| Construction Loan | $500K – $10M+ | 12–24 months (interest-only draws) | Up to 75% of completed value |
LTV = Loan-to-Value. Ranges shown are representative. Actual terms subject to lender underwriting, property appraisal, market conditions, and borrower creditworthiness. Not a commitment to lend.
Benefits of Commercial Real Estate Ownership
- Eliminate Rent Payments: Owning your business location converts a pure operating expense into an equity-building asset.
- Build Long-Term Wealth: Commercial real estate has historically appreciated over time, building net worth independent of your business’s performance.
- Tax Advantages: Depreciation deductions, mortgage interest deductibility, and 1031 exchange provisions offer significant tax planning opportunities. Consult a CPA.
- Control & Stability: Eliminate the risk of lease non-renewal, rent increases, or landlord-driven disruption to your business location.
- Additional Income: Owner-occupied buildings can generate rental income from tenants occupying portions of the property.
- Collateral for Future Financing: Equity in commercial real estate can be tapped for future capital needs through refinancing or equity lines.
Potential Drawbacks to Consider
- Capital Requirements: Down payments of 10–30% plus closing costs require substantial upfront capital — ensure this doesn’t deplete operating reserves.
- Illiquidity: Commercial real estate is not a liquid asset — converting it to cash in an emergency takes time and cost.
- Management Responsibility: Owning commercial property adds maintenance, insurance, property tax, and tenant management responsibilities.
- Market Risk: Commercial real estate values fluctuate with local market conditions — a property purchase at peak market can result in a value lower than the outstanding mortgage balance.
How to Apply for Commercial Real Estate Financing
Initial Consultation
Contact a Martimus advisor at martimusmoney.com/apply or call (919) 457-5200. Describe the property type, location, purchase price or current value, intended use, and your business’s financial profile.
Document Collection
Commercial real estate financing typically requires: 2 years of business and personal tax returns, YTD P&L and balance sheet, 3 months business bank statements, personal financial statement, and the property contract or appraisal. Your advisor provides a customized checklist.
Lender Submission & Term Sheets
We submit your package to the most suitable lenders in our network for your property type and borrower profile. You receive formal term sheets — comparing rate, LTV, amortization, prepayment, and total cost — within 3–7 business days.
Underwriting & Closing
Accept your preferred term sheet. The lender orders an appraisal, completes due diligence, and issues a commitment letter. Closing typically occurs 30–60 days from application for conventional loans, or 60–90 days for SBA loans.
Frequently Asked Questions
Why Work With Martimus Financial?
Commercial real estate financing is relationship-driven — the right lender for your property type, market, and borrower profile matters enormously. A bank that’s conservative on retail won’t be the right fit for a retail acquisition. A lender with no appetite for hospitality can’t help you buy a hotel. Martimus Financial’s network spans conventional lenders, SBA-approved lenders, bridge lenders, CMBS originators, and specialty property lenders.
Our advisors help you understand the true cost of each structure — comparing conventional, SBA, and bridge options side-by-side — and identify the fastest path to closing for your specific transaction. We’ve facilitated commercial real estate financing across office, retail, industrial, hospitality, and special-purpose properties throughout the United States.
Ready to explore your commercial real estate financing options? Start your free application or call (919) 457-5200 to speak with a commercial real estate advisor.
Related Funding Programs
Also see: Construction Financing | Real Estate Investor Loans | Apply Free
Ready to Finance Commercial Real Estate?
Free consultation. No obligation. Our advisors analyze your property and borrower profile and identify the best financing path available.
Apply Now — Free →Or call (919) 457-5200 to speak with a commercial real estate advisor
Martimus Financial Corporation is a commercial finance broker, not a direct lender. All financing subject to lender approval, underwriting, property appraisal, and credit review. Loan-to-value ratios, rates, and terms vary by lender, property type, market, and applicant profile. This page is for informational purposes only and does not constitute a commitment to lend, an offer of credit, or legal or investment advice. Consult qualified legal, tax, and real estate professionals before making commercial real estate decisions.