12+ Commercial Lenders | Property Finance | Credit Assistance

Compare Commercial Property Loan Options

Whether you're buying an office, retail shop, warehouse, or industrial unit, commercial property loans work differently from residential. We compare options from 12+ Australian lenders with LVRs up to 70% and terms up to 30 years.

60-70%

Typical LVR

6.49%+

Rates from

$200K-$5M+

Loan Amounts

Check Commercial Loan Options How Commercial Loans Work

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Commercial vs Residential Property Loans

Key differences every business owner should understand

LVR & Deposit

Commercial LVR: Typically 60-70% (vs 80-95% residential)
Deposit needed: 30-40% of purchase price
Higher LVR possible with additional residential security
Specialist properties (pubs, motels): 50-60% LVR only

Example: A $1M commercial property typically needs $300K-$400K deposit. If you cross-collateralise with a residential property, some lenders will go to 80% LVR.

Rates & Fees

Interest rates: 1-2% higher than residential (currently 6.49-9% p.a.)
Establishment fees: 0.5-1% of loan amount ($2,500-$10,000)
Valuation: $2,000-$5,000+ (commercial valuations are complex)
Legal fees: Higher due to lease review and commercial conveyancing
Annual reviews: Some lenders require annual financial reviews

Settlement & Timeframes

Approval: 2-6 weeks (vs 1-2 weeks residential)
Settlement: 6-12 weeks typical (vs 4-6 weeks residential)
Valuation: 2-4 weeks (specialist commercial valuers)
Due diligence: Lease review, environmental checks, zoning verification

Tip: Start your loan application as soon as you sign the contract. Commercial settlements take longer and delays are costly.

Commercial Property Types We Finance

Owner-occupied or investment - different structures for different needs

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Office Space

Strata offices, whole floor, or standalone office buildings for your business or investment.

LVR up to 70%

Strata or freehold title
CBD or suburban locations
Lease income assessed for investment
Fit-out costs can be included

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Retail & Shopfronts

Shopping centre tenancies, strip shops, showrooms, and standalone retail premises.

LVR up to 65%

Lease terms matter for investment
Anchor tenant vs small tenancy
Location and foot traffic critical
Retail lease legislation applies

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Industrial & Warehouses

Warehouses, factories, distribution centres, light industrial units, and storage facilities.

LVR up to 70%

Strong demand in AU market
Higher yields than office/retail
Environmental assessments may apply
Zoning verification essential

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Specialist Properties

Hotels, motels, childcare centres, medical suites, service stations, and aged care.

LVR 50-65%

Specialist valuations required
Going-concern valuations
Industry-specific lenders
Higher deposit requirements

Commercial Property Loan FAQs

Common questions from Australian business owners and investors

Should I buy or lease my business premises?

Buying makes sense when you plan to occupy long-term (5+ years), want to build equity, and have sufficient deposit. You also stop paying rent that increases annually. Leasing is better when flexibility is important, your business is young, or you'd rather invest capital into business growth. Many successful businesses lease premises for decades - there's no single right answer.

Can I buy commercial property through my SMSF?

Yes, an SMSF can purchase commercial property - and your business can lease it from your SMSF at market rent. This is a legitimate and popular strategy in Australia. The SMSF needs a bare trust structure for the loan. Strict rules apply: the property must meet the sole purpose test, and the SMSF must be able to service the loan. See our SMSF Loans page for details.

What documents do I need for a commercial property loan?

Typically: 2-3 years business financial statements, personal tax returns, current lease agreement (if investment), contract of sale, business plan (for new businesses), 6-12 months bank statements, details of existing loans, and entity structure documents (trust deed, company constitution). Lenders may also require an environmental report for industrial properties.

Are interest rates negotiable on commercial loans?

Absolutely. Unlike residential where rates are fairly standardised, commercial property rates are heavily negotiated. Factors that strengthen your position: larger loan size ($500K+), strong business financials, lower LVR (under 60%), long trading history, and multiple banking relationships. A broker like us can often negotiate 0.25-0.75% off the initial rate offered.

What happens when the loan term is shorter than the amortisation?

Commercial loans often have a 15-25 year amortisation (repayment schedule) but a 3-5 year loan term. This means your monthly payments are calculated as if the loan runs 25 years, but the remaining balance comes due after 3-5 years. At that point, you either refinance or repay the balance. This is standard practice in commercial lending but means you should plan for refinancing.