Written & reviewed by Stephen A. Sobin, President of Select Commercial Funding LLC
Property Type
Retail & Shopping Center Loans
Select Commercial arranges retail and shopping center loans for the purchase and refinance of anchored centers, strip malls and single-tenant retail from $1,500,000. We finance multi-tenant and owner-occupied retail (up to 90% with SBA), NNN credit-tenant properties, and a bridge program for high-vacancy repositioning. Compare today’s commercial mortgage rates.
Get a Free QuoteRetail Loan Rates & Terms
Rates updated as of August 23, 2026
| Loan Type | Rate* | Max LTV |
|---|---|---|
| 5 Year Fixed | 6.76% | 75% |
| 7 Year Fixed | 6.89% | 75% |
| 10 Year Fixed | 7.06% | 75% |
- Loan amounts from $1,500,000, no maximum
- Up to 75% LTV, up to 90% with SBA for owner-occupied retail
- Purchase, refinance and cash-out
- Terms and amortizations up to 30 years
- No upfront application or processing fees
- 48-hour written pre-approvals, no cost or obligation
Rates last updated August 23, 2026. Rates and maximum LTV shown represent our best-case pricing scenarios. Actual rates, LTV, and loan terms are subject to underwriting approval and may vary.
Retail by the Numbers: Q2 2026
Retail remains the tightest major property type. National retail market data as of Q2 2026 (July 2026) showed:
- 6.0% national vacancy, well below the 7.4% long-run average, with the West the only region posting declines.
- $25.65/SF average asking rent, up 2.2% year over year, the South led all regions at +3.3%.
- Net absorption positive in Q2 2026 after a seasonal Q1 pullback.
- Only 2.3 million SF delivered in Q2, with the active pipeline under 0.3% of existing inventory; Q1 deliveries were the lowest quarterly total in at least 20 years.
- Neighborhood and strip centers were 82% of Q2 deliveries, the formats lenders favor most.
Demand keeps concentrating in grocery, discount, health-and-wellness and other necessity-based concepts that continue to expand.
Compare Your Retail Loan Options
As a broker we compare every lender type and route your deal to the best fit. Typical starting points:
| Program | Typical rate* | Max leverage | Best for |
|---|---|---|---|
| Bank / portfolio | 6.76% | Up to 75% | Stabilized multi-tenant centers |
| CMBS / conduit | 6.66% | Up to 75% | Anchored and NNN, non-recourse |
| SBA 504 | 6.03% | Up to 90% | Owner-occupied retail real estate |
| SBA 7(a) | 6.75% | Up to 90% | Owner-user, acquisition and working capital |
| Bridge | 9.00% | Up to 80% LTC | High-vacancy, repositioning |
Life insurance company financing is also available for well-located, grocery-anchored and credit-tenant retail at the lowest long-term fixed rates. Most retail lenders look for a debt-service-coverage ratio (DSCR) of about 1.25 to 1.35, and SBA owner-occupied financing requires your business to occupy at least 51% of the space.
Rates last updated August 23, 2026. Rates and maximum LTV shown represent our best-case pricing scenarios. Actual rates, LTV, and loan terms are subject to underwriting approval and may vary.
Retail Properties We Finance
Select Commercial has many retail mortgage programs for the purchase or refinance of retail shopping centers, strip malls and retail properties nationwide, from $1,500,000. Our shopping center lending program covers four main situations:
- Multi-tenant retail centers in suburban and urban locations with a minimum population of roughly 50,000 people. We consider anchored centers with a major anchor tenant, un-anchored centers, strip centers and other multi-tenant retail. We prefer good-quality long-term tenants and stabilized cash flow, but we will consider all properties that make sense and have a good story.
- Owner-occupied retail stores, a big part of our business. We work with self-employed retail borrowers who own or are buying the property for their own business, including special and single-use properties such as gas stations, free-standing grocery stores, restaurants and skating rinks. We can work on a stated-income basis where needed, and offer up to 90% financing through SBA.
- NNN credit-tenant retail: single-tenant, triple-net-leased properties leased to investment-grade national credit tenants across the pharmacy, auto-parts, discount, quick-service and coffee sectors. We are very aggressive on rates and terms for these credit-tenant deals.
- High-vacancy or repositioning centers: when a center has vacancy from departed tenants or needs a cash infusion for tenant improvements, our bridge loan program provides capital to renovate, upgrade the tenant base and reposition the property for the future.
Financing Options for Retail Property
As a broker, we match your retail deal to the right capital source:
- Bank and portfolio loans for stabilized multi-tenant and neighborhood centers.
- SBA 504 and 7(a) for owner-occupied retail and single-use business property, up to 90% financing.
- CMBS / conduit for non-recourse financing on anchored centers and single-tenant NNN retail.
- Bridge loans for lease-up, tenant improvements and repositioning of high-vacancy centers.
Retail Real Estate: 2026 Outlook
The retail market continues to adapt to shifting consumer behavior, but the supply-demand backdrop is unusually favorable for owners in 2026. Years of almost no new construction have left well-located centers with low vacancy and steady pricing power.
Vacancy stays historically low. National retail vacancy held near 6.0% in Q2 2026 (July 2026 data), well below its 7.4% long-run average, supporting occupancy and renewals for quality centers.
Almost no new supply. Deliveries hit a 20-year quarterly low in Q1 2026, and just 2.3 million SF delivered in Q2, with the active pipeline below 0.3% of existing inventory. That structural scarcity underpins rents and values.
Steady rent growth. Asking rents averaged $25.65/SF in Q2 2026, up 2.2% year over year, with the South leading at +3.3% as tenants compete for limited prime space.
Essential and grocery-anchored lead. Grocery, discount and health-and-wellness concepts are driving expansion, and neighborhood and strip formats accounted for 82% of Q2 2026 deliveries. Restaurants and quick-service continue expanding while apparel and electronics consolidate.
What it means for financing. Lenders favor centers anchored by essential and grocery tenants, single-tenant credit deals, and owners with stable, adaptable cash flow. Value-add and high-vacancy centers are best matched to a bridge loan with a repositioning plan. See where demand is strongest in our strong markets for retail financing.
Strong Markets for Retail Financing in 2026
Sun Belt metros with population growth and almost no new retail supply lead the list, the South posted the strongest rent growth of any region, +3.3% year over year as of Q2 2026:
- Phoenix, rapid growth and infrastructure investment keep retail demand ahead of supply.
- Dallas, a deep local economy and growing consumer base fuel demand for prime retail space.
- Austin, tech-driven income growth supports experiential and neighborhood retail.
- Nashville, tourism and healthcare employment bolster experiential and mixed-use retail.
- Charlotte, in-migration of young professionals supports mixed-use and grocery-anchored centers.
We arrange retail financing in all 50 states. Compare today’s commercial mortgage rates.
Why Finance Retail With Select Commercial
With more than 30 years of experience and relationships across banks, credit unions, HUD, CMBS, SBA, life company and private lenders, we present retail loan requests that get a lender’s prompt attention, and we identify the right source for each borrower and property. There are no upfront application or processing fees, and we issue written pre-approvals within 48 hours at no cost or obligation.
What Our Clients Say
“As a real estate attorney, I trust that Select Commercial will deliver apartment building loans and commercial mortgages in a timely manner. The rates and terms offered are excellent. I heartily recommend them.”
David S. · New York City“I needed an SBA loan and found Select Commercial. It was obvious Stephen knew everything about commercial loans. If you are starting a small business, definitely give them a call.”
Larry S. · Washington, DC“I am a veterinarian who purchased an existing practice. I was surprised to find a company that offered 100% financing at a good rate, with great terms and rates for medical office financing.”
Carol K. · Chicago, IL“Select Commercial offered 100% financing for my medical practice when my bank would have required 20% down. They delivered something my bank could not, and handled everything professionally.”
John C. · Boston, MAGet Your Retail Loan Quote
No cost, no obligation. Written answers within 48 hours on retail and shopping center loans from $1,500,000.
- No application or processing fees
- Written answers within 48 hours
- For 5+ unit and commercial properties, $1.5M and up