Bank declined your commercial property refinance?

What to do before approaching another lender

1. Get the exact reason. Ask whether the issue was debt-service coverage, loan-to-value, property type, sponsor liquidity, required equity, credit policy, or timing. “Declined” by itself is not enough to choose another structure.
2. Confirm the payoff and deadline. Obtain the current balance, maturity date, any extension terms, and the payoff or prepayment requirements. If the loan is already past maturity, speak with the servicer and qualified counsel promptly.
3. Update the property numbers. Assemble trailing operating statements, current rent roll, occupancy, recent capital expenses, and a supportable value estimate. Compare the likely proceeds with the payoff using the refinance gap calculator.
4. Test the alternatives. Depending on the constraint, the discussion may include a smaller permanent loan plus equity, a bridge structure with a credible exit, an extension, or a sale. None is automatic or suitable for every asset.

Private working scenario

Build a second-look diagnostic

Use the bank's own wording if you have it. The result is an organizing aid, not a quote or credit decision. Contact details are requested only if you choose a human review.

Documents that make a second look useful

Have the bank's decision or term changes, current debt statement, maturity notice, trailing 12-month property financials, rent roll, and any recent valuation available. If proceeds fell short, note how much equity is available and whether an extension is being discussed. You can begin the diagnostic before gathering every document.

If your central problem is the maturity date, use the maturity action plan. If another lender has already offered terms, use the term-sheet second opinion.

Questions borrowers ask after a bank decline

Can a different lender refinance a loan my bank declined?

Possibly, but a new lender still has to underwrite the property and borrower. First identify whether the decline reflects the bank's policy, a cash-flow or value shortfall, the property's condition, or a near-term payoff. That reason determines which alternatives are worth reviewing.

What if the new loan will not cover the payoff?

Calculate the shortfall using a current payoff and defensible proceeds assumptions. The options to discuss may include additional equity, a documented extension, a different capital structure, or a sale. A bridge loan is not a cure unless its repayment plan is credible.

How quickly should I act?

Before the contractual deadline. Request the lender's written reason and payoff details promptly; if maturity or enforcement is near, contact the lender or servicer and qualified counsel while a financing specialist assesses alternatives.

Fintek Capital provides a preliminary scenario review, not a guarantee of funding or legal advice. Learn about the team or request a human review.