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Products > Banking > Manulife One > Manulife One for Business

Understanding Manulife One for Business

Manulife One for Business, Canada’s Most Flexible Commercial Mortgage, is a line of credit secured by a collateral mortgage on commercial property. 


  • A client may borrow up to 65% of Market Value of a commercial property, defined as lower of appraised value & purchase price.  (See Approved building types and restrictions, below.)
  • The size of the Main Account (which is the credit line) will vary by client and will be no more than 50% of Market Value.
  • Any borrowings in addition to the Main Account will be allocated to an amortizing sub-account.
  • For example…
  Maximum Credit Line Example of Less than Maximum Credit Line
  $ LTV % $ LTV %
Market Value of Property $1,000,000   $1,000,000  
Main Account (credit line) $500,000 50% $300,000 30%
Amortizing Sub-account $150,000 15% $350,000 35%
Total Loan $650,000 65% $650,000 65%


  • No fixed amortization is required on the credit line portion; payment of interest monthly is acceptable.
  • Any amortizing sub account will require monthly payments of principal plus interest.

Minimum and maximum loan amounts

The minimum loan amount is $250,000. At this amount, the minimum market value of the commercial building needs to be $385,000 (i.e.  a $250,000 loan is 65 per cent of $385,000). 

The maximum loan amount is $5 million. For a client to qualify for this amount the market value of the commercial property needs to be at least $7.7 million.

How the account is structured

The account a client uses for deposits and withdrawals is called the main account. The main account is a variable rate credit line.  A client can use four types of sub-accounts, which are linked to the main account. Depending on individual needs and preferences, a client may decide from time to time to move funds from the main account into one or more sub-accounts, as follows:

Up to 15 open, variable rate sub-accounts:

    1. Non-amortizing
    2. Amortizing

Up to 5 fixed term sub-accounts:

    1. Amortizing, variable rate
    2. Amortizing, fixed rate

A Business and Insurance Lending Specialist will work with a client to help decide whether a sub-account makes sense  and – if yes - which type is most appropriate.

Approved building types and restrictions

Approved building types include:

  • multi-residential properties (single title with five or more units)
  • office buildings, condos or stratas
  • retail plazas, strip malls, shopping centres
  • light industrial properties

Properties for non-profits, environmentally sensitive facilities, single use, hospitality industry, retirement homes, medium or heavy industry, raw land or real estate development are not eligible for financing. (The decision to fund any specific building remains at the sole discretion of Manulife Bank.)

All-in-one account feature

A client may choose to use Manulife One for Business as a primary business operating account to optimize cash flow efficiency.  The client would receive a debit card, deposit slips and cheques. All deposits to the account immediately pay down the credit line. The need for float is eliminated, as cheques and payments are processed directly against the credit line. One of our Business and Insurance Lending Specialists can help determine whether this strategy is right for your client.

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