Commercial Property · 2026-10-01
Visitors thinking of buying an office or retail unit often ask the same few questions about borrowing. The answers below draw on a recent Stacked Homes article on commercial property loans, and they are general information, not a bank's offer.
There is no standardised cap for commercial and industrial loans. The article puts loan-to-value ratios between 70% and 90%. Owner-occupiers with strong liquidity and cash flow can reach the upper end, while investors typically borrow at a lower ratio. What a particular bank offers depends on its view of you and the property.
Commercial rates usually run about 0.5% above the residential benchmark. The article reports recent commercial quotes starting around 1.55% to 1.65%, with some banks at about 1.8%, and an adviser expecting roughly 2% by the end of the year. Rates rose from under 1% to above 3% between 2022 and 2024, so a cautious buyer tests the numbers at a higher level.
According to the article, buying commercial or industrial property does not attract Additional Buyer's Stamp Duty or an LTV cap linked to how many properties you own. Other costs, such as ordinary stamp duty and legal fees, still apply, and a lawyer can confirm the current position.
The article suggests banks pay attention to the borrower and the relationship as well as the property, and that investors are best served by a clear thesis: a unit likely to attract tenants and keep turnover low. In practice, that means documents, cash flow and a credible plan for how the unit will be used.
Woods Square is an integrated strata office and retail development in Woodlands, District 25, by Far East Organization together with Far East Orchard and Sekisui House. The land is held on a 99-year lease from 15 July 2014. Strata offices start from 549 sqft and the SOLO loft offices range from about 721 to 1,453 sqft, and the development reached TOP in February 2020.
Woodlands MRT interchange is a five-minute covered walk away, which is useful context for tenants and staff. Because the property is leasehold and already completed, a lender can assess an existing building, though remaining lease length is something to discuss with any bank. The location page sets out the connections.
Start by clarifying whether you intend to occupy the unit or let it out, since that shapes how a bank sees the application. Then collect indicative terms from two or three lenders, ask a lawyer about the costs that apply, and visit the building at different times of day to see how it is used. These steps cost little and make every later decision better informed.
General information only, not financial or legal advice.
If your question was not answered here, talk to our team about the units at Woods Square.
Source: Stacked Homes. This article is independent commentary; Woods Square is not affiliated with the parties mentioned.