Commercial property finance — twelve facilities, one panel.
Whether you are buying premises, building them, borrowing against what you already own, discounting a lease or refinancing an expensive facility — the asset is the same and the right instrument is not. We place all twelve across 80+ banks and NBFCs.
Pick the instrument before you pick the lender
Most borrowers approach commercial property finance the wrong way round — they ask which bank gives the best rate, when the larger saving usually comes from choosing the right product. The same office building can support a purchase loan, a mortgage, lease rental discounting, a refinance or a top-up, and the gap between the best and worst fit for a given situation is routinely 150 to 300 basis points and several years of tenure.
A worked example. An owner with a tenanted office worth ₹8 Cr, an existing ₹3 Cr loan at 11.5% and a need for ₹2 Cr has at least four routes: a top-up from the current lender (fastest, priciest), a balance transfer with enhancement (best rate, three to five weeks, fresh stamp duty), LRD against the lease (sharpest pricing if the tenant is strong), or a second facility elsewhere (rarely sensible). The right answer depends on tenant quality, residual tenure and how quickly the money is needed.
That is the work: matching the situation to the instrument, then placing it with lenders whose credit policy actually covers that asset class. A file for a cold store, a leasehold industrial shed and a Grade-A office suite belong at three different desks.
Twelve ways to finance commercial property
Each facility below solves a different problem. Open the one that matches your situation, or tell us the situation and we will tell you which fits.
Mortgage Commercial Property
Raise capital against an office, shop, godown or factory you already own. End-use free.
View details →Commercial Purchase Loan
Buy a ready or under-construction commercial unit with 60–75% funding.
View details →Commercial Construction Loan
Build offices, showrooms or sheds — drawn in tranches against certified progress.
View details →Commercial Property Refinance
Switch to a sharper rate and release the equity the property has gained.
View details →Commercial Plot Loan
Acquire commercial or industrial land, including industrial estate allotments.
View details →Office Space Loan
Buy or fit out office premises — Grade-A suites, standalone floors, IT-park units.
View details →Retail Shop & Showroom Loan
High-street shops, mall units, dealership showrooms and franchise outlets.
View details →Warehouse & Godown Loan
Logistics sheds, cold stores and warehousing parks — built, leased or under construction.
View details →Industrial Property Loan
Factory land, sheds and manufacturing units, structured alongside machinery finance.
View details →Lease Rental Discounting
Convert a signed commercial lease into upfront capital at the sharpest rates available.
View details →Commercial Top-Up Loan
Draw further funds on an existing mortgage — no new title search, 7–15 days.
View details →Commercial Balance Transfer
Move the loan, cut the rate, reset the tenure and take an enhancement in one move.
View details →Rate bands across the section
Indicative for mid-2026. LRD on a strong tenant is the cheapest commercial money available; plot loans are the most expensive.
Sharpest — income-backed
Core — property-backed
Widest — specialised
Three things that decide every commercial property file
Valuation, not asking price
Funding is computed on the lender's technical valuation, and applicants consistently overestimate it. Commercial assets carry deeper haircuts than residential because resale is thinner. Getting an indicative valuation view before you fix a purchase price or plan a drawdown prevents the single most common disappointment in this market.
DSCR, not just LTV
Security sets the ceiling; cash flow sets the sanction. Banks want a debt service coverage ratio of 1.25 to 1.50x on total post-sanction debt. Where DSCR falls short, credit teams quietly reduce the facility rather than decline it — which is why arriving with the DSCR already modelled changes the number you are offered.
Title and land use, before anything else
Unreleased old charges, missing occupancy certificates, unsanctioned commercial use and unconverted land use account for the large majority of delays and declines on this desk. None of them is difficult to fix. All of them take weeks if discovered by the lender's lawyer rather than by you.
Documents required
Incomplete files cause most multi-week delays. We assemble the full set upfront, in the order credit teams read it.
KYC & constitution
- PAN & Aadhaar of all promoters / partners / directors
- Certificate of incorporation, MOA-AOA or partnership deed
- Board resolution or partners' authority letter
- GST registration & trade licence
Financials
- 3 years ITR with computation of income
- Audited balance sheet, P&L and schedules
- 12 months' bank statements of all operating accounts
- GST returns (GSTR-3B) for the last 12 months
- Existing loan sanction letters & repayment track record
Property papers
- Registered sale deed and 30-year title chain
- Sanctioned building plan & commercial-use approval
- Occupancy / completion certificate
- Encumbrance Certificate (13–30 years)
- Latest municipal tax and mutation receipts
How we run a commercial property file
Instrument selection
We establish which of the twelve facilities actually fits, and model the alternatives so the choice is yours on evidence.
Valuation and DSCR reality check
A conservative view of value and servicing capacity, so the number you plan around is the number you get.
Title and compliance clean-up
EC, charges, occupancy, land use and deviations resolved before the file is submitted anywhere.
Parallel placement and closure
Filed with the three or four lenders whose policy covers this asset class, run in parallel for competitive tension, tracked to disbursal.
Related facilities & deep-dive guides
Every facility below is placed through the same 80+ lender panel. The long-form guides carry the working numbers, worked examples and lender-by-lender detail.
Frequently Asked Questions
The questions our advisory desk is asked most often about Commercial Property Loans.
Lease rental discounting against a strong, registered lease is normally the cheapest commercial money available, because the lender is looking at contracted rent from a creditworthy payer rather than at your business risk.
After that come refinance and balance transfer on a seasoned, well-serviced loan. Plot loans and speculative construction sit at the expensive end. Which is available to you depends entirely on your situation, not on preference.
Take the lender's technical valuation and apply 55–70% for built commercial property, 45–65% for industrial and 40–60% for land. Then test that figure against cash flow at a DSCR of 1.25–1.50x.
The lower of the two is your sanction. On LRD the logic differs — the loan is sized off the rent stream, with property value acting only as a ceiling.
Yes, typically by 75 to 250 basis points, with a lower LTV and a shorter tenure. Commercial assets are less liquid, resale is narrower and the borrower is usually a business rather than a salaried individual.
Within commercial, pricing varies widely by product and asset, which is why instrument selection matters more here than in retail lending.
Yes. Proprietorships, partnerships, LLPs, private limited companies and individuals are all funded across this section, though pricing and documentation differ by constitution.
Companies and LLPs typically access better pricing on larger tickets; proprietors are often assessed closer to an individual profile. What matters most in all cases is audited financials and clean banking conduct.
Around 21 to 40 days for a mortgage or purchase file with clean documents, 18 to 30 for a balance transfer, 7 to 15 for a top-up on an existing facility, and longer for construction or project-linked funding.
Title issues are what stretch timelines, not lender processing. Files that arrive with EC, charges, occupancy and land use already resolved close in roughly half the time of those that do not.
Tell us what you need. We'll do the running around.
Share a few details and a CreditCares expert will call you back to map your eligibility and shortlist the right lenders — at no cost.