CMBS Commercial Loans | CLS CRE 

CMBS Commercial Mortgage Loans

CMBS (commercial mortgage-backed securities) loans provide non-recourse fixed-rate financing for stabilized commercial real estate by pooling individual loans into securities sold to institutional investors. CMBS is the most liquid source of capital for secondary-market assets and properties with complex stories, offering leverage and proceeds that banks and life companies often cannot match.

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CMBS Loans at a Glance

Loan Amount
$5M to $100M+
Term
5, 7, or 10 Years
Rates
5.50% to 7.50%
Ltv
Up to 75% LTV
Amortization
25 to 30 Years
Recourse
Non-Recourse Standard

Commercial Mortgage-Backed Securities Financing

CMBS lenders (also called conduits) typically offer 5, 7, and 10 year fixed-rate loans with 25 to 30 year amortization and non-recourse terms subject to standard carve-outs. The securitization process means the lender cares less about relationship and more about credit metrics, which works in favor of borrowers with strong properties but limited banking relationships, or for properties in markets where local bank appetite is thin. Commercial Lending Solutions runs every eligible deal through multiple CMBS desks simultaneously to capture the tightest spread.

Lender Sources

  • Conduit Lenders (Wall Street and Major Banks)
  • Investment Banks
  • Specialty CMBS Platforms

Ideal For

  • Stabilized multifamily, industrial, retail, office, hospitality, and self-storage
  • Class B and Class C properties in secondary markets
  • Portfolio refinance across multiple states
  • Cash-out refinance scenarios
  • Properties with strong metrics but weak banking relationships
  • Deals requiring maximum proceeds and non-recourse terms

CMBS Loans FAQ

A CMBS (commercial mortgage-backed securities) loan is a fixed-rate commercial mortgage that is pooled with other loans and sold as a security to institutional investors. CMBS financing is also called conduit financing, and it is one of the most liquid sources of non-recourse capital for stabilized commercial real estate.
CMBS loans typically start at $5M, though some conduits will go as low as $3M for strong deals. The sweet spot for CMBS execution is $10M to $50M, where pricing is most competitive.
Yes. CMBS loans are non-recourse as standard, subject to customary bad-boy carve-outs for fraud, environmental liability, bankruptcy filing, and other specified acts. The non-recourse feature is one of the primary reasons borrowers choose CMBS over traditional bank financing.
CMBS loans are typically fixed-rate 5, 7, or 10 year terms with 25 to 30 year amortization. Current rates range from 5.50% to 7.50% depending on the property type, leverage, and market. The rate is a spread over the matching-term treasury or swap rate, locked at securitization.
Yes. CMBS is one of the most flexible sources for cash-out refinance, often supporting higher proceeds than banks or life companies, especially for properties in secondary markets. Typical CMBS leverage is up to 70% to 75% LTV.
The main tradeoffs are limited prepayment flexibility (defeasance or yield maintenance is required) and less ability to negotiate modifications once the loan is securitized. CMBS is ideal for borrowers who plan to hold through term or exit cleanly at maturity.


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Contact Commercial Lending Solutions for a free, no-obligation quote on cmbs loans. We respond within 24 hours.

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Or call us: 310.708.0690

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