Service Overview
Commercial real estate is often the single largest investment a business makes, and the financing structure behind that investment shapes cash flow for years to come. Steinbach Credit Union approaches CRE lending with the same local-market knowledge and relationship-first philosophy that defines every SCU product. Our commercial mortgage team underwrites loans in-house — which means faster decisions, fewer layers of approval, and a single point of contact from application through closing.
Owner-Occupied Commercial Real Estate
When your business occupies the property it owns, the economics of ownership shift from pure expense management to long-term asset building. Owner-occupied CRE loans from Steinbach Credit Union finance up to 85% of the appraised value or purchase price, whichever is lower. Terms extend to 25 years with amortizations up to 30 years, keeping monthly payments manageable while you build equity. Eligible properties include office buildings, retail storefronts, warehouses, manufacturing facilities, medical and dental offices, and mixed-use buildings where the borrower's business occupies at least 51% of the square footage. SCU offers both fixed-rate and adjustable-rate structures, and our lenders walk you through the trade-offs of each based on your projected holding period and interest rate outlook.
Investment Property Financing
Income-producing commercial real estate represents a distinct underwriting profile — one where the property's net operating income drives the credit decision as much as the borrower's financial strength. Steinbach Credit Union investment property loans finance up to 75% LTV on stabilized properties with demonstrated cash flow. Property types include multi-family residential buildings of five or more units, retail strip centers, industrial flex space, self-storage facilities, and professional office buildings. SCU evaluates debt-service coverage ratios, tenant quality, lease term structures, and local market vacancy rates during underwriting. Fixed and variable rate options are available with terms typically ranging from five to twenty years.
Construction Loans
Ground-up construction and major renovation projects require a financing structure that releases funds in stages — not a lump sum at closing. Steinbach Credit Union commercial construction loans provide interest-only payments during the construction phase, with draws disbursed against completed work as verified by third-party inspection. Upon receiving a certificate of occupancy, the construction loan converts to permanent financing with a fully amortizing payment schedule. SCU requires 20-25% borrower equity, a fixed-price contract from a licensed general contractor, detailed architectural plans, and a construction timeline with milestone dates. Our commercial lenders coordinate directly with contractors, architects, and title companies to keep the draw schedule moving and the project on track. Borrowers who have completed at least one prior commercial construction project typically receive more favorable terms.
Commercial Mortgage Refinancing
Refinancing a commercial mortgage can unlock capital for business reinvestment, reduce monthly debt service, or consolidate multiple property loans under one streamlined structure. Steinbach Credit Union refinances both SCU-originated loans and loans held by other financial institutions. Common refinancing objectives include lowering the interest rate, extending the amortization period to improve cash flow, extracting equity for business expansion or partner buyouts, and transitioning from a balloon loan to a fully amortizing structure. Rate-and-term refinances and cash-out refinances are both available, and SCU's in-house underwriting eliminates the processing delays common with third-party servicing arrangements. Appraisal, environmental assessment, and title work are ordered promptly upon application to keep the closing timeline predictable.
Compare CRE Loan Options
Each Steinbach Credit Union commercial real estate product is structured around the property type, occupancy status, and borrower objective. The table below outlines the core parameters for each loan category.
| Property Type | Maximum LTV | Term | Amortization | Rate Structure |
|---|---|---|---|---|
| Owner-Occupied Office/Retail | 85% | Up to 25 years | Up to 30 years | Fixed or Adjustable |
| Owner-Occupied Industrial/Warehouse | 85% | Up to 25 years | Up to 30 years | Fixed or Adjustable |
| Investment Property (Stabilized) | 75% | 5 – 20 years | Up to 25 years | Fixed or Adjustable |
| Multi-Family (5+ Units) | 80% | Up to 25 years | Up to 30 years | Fixed or Adjustable |
| Construction (Ground-Up) | 75 – 80% (of cost) | 12 – 24 months (construction phase) | Converts to permanent loan | Variable (construction) / Fixed (permanent) |
Loan-to-value ratios represent the maximum SCU will finance based on the lower of appraised value or purchase price. Higher LTVs may be available for borrowers with exceptional credit profiles and strong debt-service coverage. Special-use properties — including hotels, gas stations, automotive service centers, and religious facilities — are evaluated on a case-by-case basis with terms reflecting the unique risk characteristics and secondary market liquidity of each property type.