COMMERCIAL PROPERTY FINANCE
Commercial lending looks at the property, the tenancy and the business behind the loan. Christian’s experience includes commercial and construction funding for major developments across Australia.
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We review the property, your purchase or refinancing plans and your financial position, then check which lenders available through AGFB may consider it. Where suitable options are available, we explain the structure, requirements and costs before you decide whether to apply.
COMMERCIAL PROPERTY LENDING WE CAN HELP YOU EXPLORE
Owner-Occupied Premises
Buying premises your business will operate from. Lenders consider the business's financial position alongside the property itself.
Commercial Investment Property
Buying property to lease to tenants. The lease term, tenant profile and rental income form a significant part of the assessment.
Commercial Refinance
Moving an existing commercial facility, reviewing its structure or preparing for the end of a facility term. We check the options and switching costs before you decide.
Industrial and Warehouse
Factories, warehouses and storage units, where zoning, access and specialised improvements can affect valuation and lender appetite.
Retail and Office
Shops, strata offices and commercial buildings, where location, vacancy and lease quality are commonly considered.
Mixed-Use and Specialised Property
Properties combining residential and commercial use, or specialised premises such as childcare or medical centres, which some lenders assess under separate policy.
WHAT SHAPES A COMMERCIAL PROPERTY ASSESSMENT
Commercial property requirements vary between lenders, properties and borrowers. These are the details we review when checking potential options.
Property Type and Location
Lenders categorise commercial property by use, size and location. Specialised or regional properties can narrow the options and affect the amount a lender may consider.
Lease and Tenancy
For leased property, the remaining lease term, the tenant's position and any vacancy can affect both the valuation and the lending.
Valuation
Lenders commonly require a commercial valuation from a valuer they accept. The valuation and the lender's policy for that property type affect how much it may lend.
Serviceability
Rental income, business cash flow or both may be used to show the loan can be repaid. Each lender applies its own assessment to that income.
Contribution and Purchase Costs
Your contribution depends on the purchase price, lender valuation, available finance and transaction costs. Allow for legal and valuation costs and any applicable duty or GST, with your advisers confirming the treatment for the transaction.
Entity and Structure
The proposed borrower and ownership structure affect the documents, guarantees and lender options. Your accountant and solicitor advise on the tax and legal implications; we review the finance requirements for that structure.
HOW WE APPROACH A COMMERCIAL PROPERTY DEAL
01
Understand the Property and the Purpose
We establish the property, the lease position, the purchasing entity and how the loan will be serviced before comparing lenders.
02
Build the Submission
We assemble the financials, lease details and supporting rationale into a clear submission for lender assessment.
03
Present, Negotiate and Manage
With your agreement, we lodge the selected application, work through the terms offered and coordinate valuation and conditions through to settlement. Approval remains subject to the lender's assessment and requirements.
THE DETAIL BEHIND THE DEAL MATTERS
Direct Broker Access
Christian leads your finance review, supported by the AGFB team throughout the application process.
Working With Your Advisers
We work alongside your accountant, solicitor and any buyer's agent. Tax, legal and property advice remains theirs; the lending side is ours.
Terms Explained First
We explain the facility term, review dates, fees, ongoing conditions and any final balance due. We also identify the property or other assets offered as security, any guarantees and the consequences of not meeting the obligations.
COMMON QUESTIONS ABOUT COMMERCIAL PROPERTY FINANCE
How much deposit do I need for a commercial property?
There is no single figure. The finance available depends on the property, lender valuation, lease position, proposed borrower and ability to meet repayments. Your contribution needs to cover any gap between the purchase price and available finance, plus costs that are not financed. We review the funding requirement with you; your accountant and solicitor confirm applicable duty, GST and other transaction costs.
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How is commercial property lending different from a home loan?
Commercial property finance can involve different property valuations, lease assessments and evidence of business income. A facility may also have review dates and ongoing conditions, sometimes called covenants, such as providing financial reports or maintaining agreed financial measures. Its term may be shorter than the period used to calculate repayments. We explain the specific offer, including costs, conditions and any balance due at the end.
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Can rental income from tenants be used to service the loan?
A lender may accept some of the rental income, taking account of the lease, tenant, expenses and vacancy risk. For premises occupied by your business, its cash flow and the ownership and leasing arrangements can also be relevant. The lender decides what income it will accept and how it is assessed. We check that treatment when reviewing options.
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Can I buy commercial property through a company or trust?
Some lenders consider borrowing by a company or by a trustee on behalf of a trust, subject to their policy. The borrower, ownership arrangements and trust documents where relevant affect the assessment, and guarantees may be required. Your accountant and solicitor advise whether the structure is appropriate; we check the finance options and requirements for it.
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What happens when a commercial facility is reviewed or its term ends?
A review date and a final repayment date are different. Reviews follow the conditions in the facility agreement. If repayments are calculated over a period longer than the facility term, a balance may remain due when the term ends. An extension or refinance is not automatic and may require a new assessment. We explain the dates, conditions and repayment obligations so you can plan ahead.
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What documents will I need?
Requirements vary. They can include identification, business and personal tax returns, financial statements, business bank statements, details of existing debts, the contract of sale, lease agreements and tenancy details. Lenders commonly arrange their own valuation. We confirm the documents needed at each stage.