BDC Financing — Commercial Real Estate Loan

Q: How much funding can be received?

BDC Financing — Commercial Real Estate Loan Funds up to 100% of admissible expenses.

Q: What is the deadline to apply?

The deadline to apply is not specified.

Q: Is the BDC Financing — Commercial Real Estate Loan a grant, loan, or tax credit?

BDC Financing — Commercial Real Estate Loan is a Loans and Capital investments

Q: Who are the financial supporters of the BDC Financing — Commercial Real Estate Loan?

BDC Financing — Commercial Real Estate Loan is funded by Business Development Bank of Canada (BDC), Government of Canada

Q: Who is eligible for the BDC Financing — Commercial Real Estate Loan program?

To be eligible for the BDC Financing — Commercial Real Estate Loan program, you must: • Based in Canada. • Generating revenue for over 24 months. • Must have a good credit history.

Q: Who can I contact for more information about the BDC Financing — Commercial Real Estate Loan?

You can contact Business Development Bank of Canada (BDC).

Q: Where is the BDC Financing — Commercial Real Estate Loan available?

The BDC Financing — Commercial Real Estate Loan program is available across Canada.

Last Update: July 22, 2025

Canada

Loan to purchase real estate or expand facilities

At a glance

Eligible Funding

Up to 100% of project cost

Timeline

Unspecified

Financing Type

Loans and Capital investments

Eligible Industries

Real estate and rental and leasing

Funds Providers

Unspecified

Program status

Open

Overview

Get a long-term loan with terms of up to 25 years to purchase land or buildings, construct or expand premises, or replenish working capital depleted by real estate costs.

Financing terms and conditions

This loan offers flexible financing modalities to ease the process of purchasing commercial real estate while minimizing initial financial burdens. These modalities are designed to improve cash flow management and cater to the specific needs of the business.

Interest-only payments available for up to the first 36 months.
Financing of up to 100% of the project cost, including downpayments and related expenses.
Amortization periods of up to 25 years.
Flexible repayment options tailored to match the business's cash flow cycle.

Activities funded

This loan offers financial support for businesses seeking to expand or improve their commercial real estate. Eligible activities are geared towards acquiring, constructing, or renovating commercial properties to enhance business operations.

Purchasing commercial land or buildings.
Funding construction costs for new commercial facilities.
Expanding existing commercial premises.
Renovating current business facilities to improve functionality or aesthetics.
Replenishing working capital impacted by real estate expenditures.

Examples of admissible projects:

$ 400,000

Expanding retail store space to increase inventory and improve customer experience

$ 200,000

Expanding and renovating our social enterprise's workspace to accommodate more community services

$ 280,000

Purchase of land to establish a community garden and urban farm

$ 700,000

Purchasing land to build a new manufacturing facility for increased production capacity

$ 280,000

Upgrading the cooperative’s office facilities to support digital transformation efforts

$ 560,000

Expanded warehouse space for increased inventory capacity and distribution efficiency

Eligibility

Eligibility for this loan program is based on specified criteria related to the business's profile and financing requirements.

The business must have been generating revenues for 12-24 months.
The applicant's project must not be related to the construction or operation of private schools, retirement homes, or residential development projects.
The loan is available up to 100% financing for the project costs.
The loan term can be up to 25 years, with the possibility of postponing principal payments for up to 36 months.
The applicant can demonstrate the need for a commercial real estate loan or financing to increase capacity, upgrade facilities, or complement their line of credit.

Who is eligible?

There are several eligible types of companies for this grant:

Small businesses
Commercial real estate companies
Tech companies
Start-ups
Companies looking to purchase or transfer businesses

Who is not eligible

This loan application has specific exclusions based on certain activities or industries. The restrictions ensure alignment with the strategic focus and responsible investment approach of the financial institution.

Construction or operation of private schools.
Businesses involved in retirement homes.
Residential development projects.

Eligible expenses

This grant provides opportunities for businesses to grow through acquiring or upgrading commercial real estate, enhancing capacity, and supplementing financial resources. Projects eligible for this grant are centered around strategic expansions and operational upgrades.

Purchasing land and commercial buildings or covering construction costs for new infrastructure.
Upgrading and renovating existing facilities to increase business capacity.
Expanding current premises to support business growth.
Replenishing working capital exhausted by real estate-related expenses.
Covering additional costs such as those associated with relocating facilities.

Eligible geographic areas

This BDC commercial real estate loan is specifically designed for businesses based in Canada, aligning with the financial support objectives of the BDC for Canadian entrepreneurs. This ensures that Canadian companies have the resources needed to expand and invest in commercial real estate.

Based in Canada

Selection criteria

There are evaluation and selection criteria for this grant.

Alignment of the project with the grant's objectives
Demonstrated capacity to meet the project milestones
Potential economic impact of the project
Feasibility and sustainability of the project

How to apply

Preliminary Consultation

Contact a BDC representative to discuss your specific business needs and eligibility.
Gather detailed information about your commercial real estate project or expansion plans.

Initial Assessment

Provide BDC with basic financial and business information for a preliminary assessment.
Discuss potential loan terms and conditions that match your business requirements.

Application Preparation

Prepare a detailed project proposal outlining your plans for purchasing or upgrading real estate.
Collect necessary financial documents, such as business financial statements and cash flow projections.
Ensure you have personal and business identification documents ready if required.

Application Submission

Complete the BDC loan application form, ensuring all information is accurate and up-to-date.
Submit your application form along with all supporting documents to BDC, either online or at a local branch.

Review and Feedback

Await feedback from BDC regarding the status of your application.
Be prepared to provide additional information or clarifications if requested by the BDC assessment team.

Approval and Agreement

Once approved, review the loan terms and conditions offered by BDC.
Sign the financing agreement to formalize your commitment to the terms.

Additional information

Here are additional relevant details for this grant:

The loan package includes up to 36 months of principal payments postponement at the start of the loan.
Flexible loan terms allow matching payments to the business's cash flow cycle.
Extra financing is available to cover additional expenses such as moving costs.
Loan terms and conditions remain stable and only change with due cause.
The experience shared by previous clients highlights the supportive nature of the BDC's relationship.

Apply to this program

Frequently Asked Questions about the BDC Financing — Commercial Real Estate Loan Program

Here are answers to the most common questions about the BDC Financing — Commercial Real Estate Loan. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.