Retail property financing for plazas, strips and mixed use.
Retail is underwritten on its tenants. Two plazas with identical square footage and identical rent can price completely differently depending on who is paying that rent and how long they are committed.
Lenders read the tenant roster before they read anything else.
Retail properties we place across British Columbia.
- Neighbourhood and strip plazas
- Single tenant net lease properties
- Mixed use commercial with a retail component
- Owner occupied retail premises
- Repositioning of underperforming centres
Five things a lender weighs first.
Tenant covenant.
National credit tenants price better than local independents. That is the single largest factor.
Lease term remaining.
Long leases with escalations support more debt than short ones rolling next year.
Tenant mix and concentration.
A centre where one tenant is half the income is a different risk than one with 10 balanced tenants.
Location and trade area.
Traffic, anchors nearby and demographics.
Vacancy and rollover schedule.
What is empty now and what expires soon.
Owner occupied is a different conversation.
If your business occupies the space, the analysis shifts to your business rather than the tenant roster. Terms and structures differ, and sometimes better options exist than a straight commercial mortgage.
Retail financing questions we hear most.
Where we finance this in British Columbia
Let's look at your tenants.
Send us the rent roll and the lease summary. We will tell you what the property supports.