The present disclosure provides a semiconductor device with a strained SiGe channel and a method for fabricating such a device. In an embodiment, a semiconductor device includes a substrate including at least two isolation features, a fin substrate disposed between and above the at least two isolation features, and an epitaxial layer disposed over exposed portions of the fin substrate. According to one aspect, the epitaxial layer may be disposed over a top surface and sidewalls of the fin substrate. According to another aspect, the fin substrate may be disposed substantially completely above the at least two isolation features.