Commercial real estate lending in New York
62 New York county markets, each profiled with Census Bureau demographics and the underwriting standards — DSCR floors, LTV caps, cap-rate bands — that lenders actually apply there.
Frequently asked questions
Who lends on commercial real estate in New York?
New York is the deepest CRE lending market in the country: money-center and regional banks, savings institutions, credit unions, life companies, debt funds and CMBS conduits all compete here. Upstate deals are largely bank and credit-union territory; New York City deals draw non-bank capital at sizes local balance sheets will not hold.
How much do you need to put down on a commercial property in New York?
Typically 25% or more of value. New York lenders commonly cap stabilized loans near 75% LTV, construction financing near 65% and bridge loans near 70%. Budget the mortgage recording tax as cash at closing too — on a New York City deal it is a larger line item than most borrowers expect.
What DSCR do New York commercial lenders require?
Most New York lenders underwrite to roughly 1.25x debt service coverage on stabilized property, about 1.20x on acquisitions, and around 1.10x on bridge or construction deals. On rent-stabilized multifamily, lenders underwrite achievable regulated rents rather than market rents, which is what usually decides whether the ratio clears.
What is the mortgage recording tax on a New York commercial mortgage?
Under NY Tax Law §253 the tax is charged on the mortgage amount, not the purchase price. In New York City the combined rate on commercial mortgages of $500,000 or more is 2.8%; counties outside the city generally run 1% to 1.3%. On a $5 million NYC mortgage that is $140,000.
Can a CEMA reduce the tax on a New York refinance?
Often, yes. A consolidation, extension and modification agreement assigns the existing mortgage to the new lender instead of satisfying and re-recording it, so recording tax is generally owed only on new money advanced. It requires the outgoing lender's cooperation and adds assignment fees and time to the refinance.
Full breakdown with statutory citations: New York mortgage recording tax on commercial mortgages.