Private lending › Commercial property loans
Commercial property
loans in Australia.
Facilities over office, retail, industrial and mixed-use assets, including the vacant and part-tenanted security most banks decline outright.
Get indicative terms
Same day, in writing. No credit check to enquire.
The basics
How commercial lending differs
A commercial property loan is secured against property used for business rather than housing. Office suites, warehouses, factories, shops, medical and childcare premises, and mixed-use buildings all sit in this category.
The assessment is different to a home loan in a way that catches people out. A residential lender is largely underwriting you. A commercial lender is underwriting the asset and its income: what the lease says, how long it runs, how creditworthy the tenant is, and how easily the space could be re-let if they left.
That focus is also the opportunity. A building with a short lease, a vacancy, or a specialised fit-out will be declined by banks on policy, not because the deal is unsound. Non-bank and private lenders will price those situations rather than refuse them, which is most of what we do here.
Asset types
Security we place against
- Office and consulting suitesStrata and freestanding, tenanted or owner-occupied.
- Industrial and warehouseGenerally the most straightforward commercial security, with the deepest lender appetite.
- Retail and hospitalityPriced on lease strength and location. Strip retail is assessed very differently to a centre.
- Mixed-use and specialisedShop-top housing, medical, childcare, accommodation. Specialised fit-outs narrow the lender pool but rarely rule it out.
Typical structure
That focus is also the opportunity. A building with a short lease, a vacancy, or a specialised fit-out will be declined by banks on policy, not because the deal is unsound. Non-bank and private lenders will price those situations rather than refuse them, which is most of what we do here.
Credit appetite
What drives the terms
The lease
Term remaining, options, review structure and tenant covenant. A five-year lease to a national tenant and a monthly holdover produce very different outcomes on the same building.
Vacancy
A vacant commercial building is fundable through non-bank lenders. Expect lower leverage and a rate that reflects the absence of income.
Location and re-lettability
How quickly a similar tenant could be found matters more than the building's condition on the day.
The exit
A sale, a refinance to a bank once the asset is stabilised, or a lease-up. Short-term commercial facilities are usually a bridge to one of those.
Where we add the most value
Commercial appetite varies enormously between lenders and shifts with the cycle. A lender who will take a regional industrial asset at 70% today may not touch a vacant CBD office at any price. Knowing that map is the difference between terms this week and a month of declines.
Terms
Commercial parameters
Priced against the asset class, the lease profile, location and LVR. Tenanted metropolitan industrial sits at the sharp end of the range; vacant specialised security at the other.
| Rates | From 7.99% p.a. |
|---|---|
| Establishment fee | From 0.75% |
| Term | 3 – 60 months |
| Maximum LVR | Up to 80% |
| Loan size | $200,000 – $100m+ |
| Locations | All of Australia |
| Indicative terms | Same day |
FAQ
Frequently asked questions
How do commercial property loans work?
The lender assesses the property and its income rather than primarily your personal circumstances. It reviews the lease, the tenant, the location and the valuation, then advances a percentage of value. Terms are generally shorter than residential mortgages and are often a bridge to a sale, a refinance or a lease-up.
How do I get a commercial property loan?
You need suitable security, a deposit or equity contribution, and a credible repayment plan. Bring the lease or tenancy schedule, a rates notice, and your estimate of value. For business-purpose lending, full income documentation is frequently not required.
Do banks lend on commercial property?
Yes, but within narrow policy. Banks favour tenanted assets with long leases, strong covenants and mainstream use. Vacant buildings, short leases, specialised fit-outs and regional locations are where they decline and where non-bank lenders operate.
What is the interest rate on a commercial property loan?
Rates across our panel start from 7.99% p.a. and move with asset class, lease profile, LVR and location. Commercial pricing has a far wider spread than residential, so a general figure is less useful than an indicative quote on your specific asset.
Can I get a loan on a vacant commercial property?
Yes, through non-bank and private lenders. Expect lower leverage and higher pricing than a tenanted equivalent, because there is no income and the exit depends on either a sale or securing a tenant.
How much can I borrow against commercial property?
Up to 80% of value across our panel, though most commercial lending settles below that. Industrial and tenanted metropolitan assets achieve the highest leverage; vacant or specialised security the lowest.
How long does a commercial property loan take?
Indicative terms the same day. Settlement depends on the valuation, which takes longer on commercial assets than residential because the valuer must assess the lease and market rent as well as the building.
Enquire
Tell us about the asset.
Property type, location, lease position and what the facility is for. Indicative terms the same day.
Prefer to talk it through? Call 0478 715 429.