Commercial Property Loans in Singapore: A Guide for Business Owners
Buying or refinancing a factory, shophouse, or warehouse? Here is how commercial and industrial property loans work in Singapore, with illustrative LTV bands and what this route does not cover.
Commercial and industrial property is often the largest asset decision a business owner makes. A factory, shophouse, office, or warehouse can anchor the business for decades. The wrong loan structure quietly drains margin. The right one gives you room to grow.
After 15 years reviewing property loans for Singapore business owners, here is what this route covers, how much you can typically borrow, and the distinction owners most often get wrong.
What this service covers (and what it does not)
Kenny reviews commercial and industrial property loans from about S$300,000: buying business premises, refinancing an existing commercial loan, or restructuring to a better tenure or rate.
This is not for private residential home loans or condo financing. If you own private residential property and need business funding from equity, that is the property-backed business funding route instead.
How much you can typically borrow
Loan-to-value depends on property type, own use versus investment, your profile, and the rules in force.
| Property use | Illustrative LTV | Your stake |
|---|---|---|
| Commercial / industrial, own use | Up to ~90% | ~10% downpayment |
| Commercial / industrial, investment | Up to ~70% | ~30% downpayment |
When I suggest this route
- You are buying a factory, shophouse, office, or warehouse to operate from.
- You want to refinance an existing commercial or industrial loan onto a better structure.
- You are acquiring or refinancing a commercial asset as a business or investment holding.
Refinancing is only worth it if the new position is genuinely better once costs are counted. Moving lender for its own sake rarely pays off.
What to have ready
- Details of the property and your goal (buy, refinance, or restructure)
- Your latest loan statement if refinancing
- Income or business financials to support serviceability
Common mistakes I see
- Confusing a commercial property loan with property equity cashout. They solve different problems.
- Refinancing without counting the full cost of switching.
- Assuming private residential rules apply to commercial assets. The LTV bands are different.
Do you help with private residential home loans?
No. This service is for commercial and industrial property only. Private residential business funding from equity is reviewed separately.
Can you help refinance an existing loan?
Yes, for commercial and industrial property. The honest first question is whether the new position is actually better, not just different.
If you are buying or refinancing business premises, start with a commercial property loan review.