Commercial Property Loans
Commercial Property Loans can be an important part of a broader borrowing strategy. At Derwent Finance, we help Australian borrowers understand their options, compare suitable lenders from our panel and structure finance around the outcome they are trying to achieve — not simply around a headline rate.
This page is for people researching commercial property loans and related options such as commercial property finance, commercial mortgage, business premises loan. It explains how this type of finance generally works, who it may suit, the issues that can affect lender approval, common scenarios and the steps involved from initial review through to settlement or funding.
Every application is assessed on its own facts. Property or asset value, income, expenses, existing debts, credit conduct, entity structure and lender policy can all change the outcome. The information below is general and is designed to help you ask better questions before choosing a lender or loan structure.
Who This Is For
- Business owners buying their own premises
- Commercial property investors
- Companies and trusts
- Businesses refinancing commercial debt
- Property owners seeking commercial equity release
- Eligible SMSFs purchasing commercial property
Commercial lending is more transaction-specific than residential lending
A commercial property loan can be assessed using the strength of the business, the lease income, the property itself or a combination of these factors. Lenders can have very different appetites for offices, warehouses, retail, industrial, medical and specialised property. Deposit requirements, loan terms and pricing therefore vary more widely than standard home loans.
Owner-occupied and investment commercial property are assessed differently
A business buying its own premises may rely primarily on trading cash flow to service the debt, while an investor may rely more heavily on lease income and tenant quality. For leased assets, the remaining lease term, rent, tenant covenant and property marketability can influence the lender’s view.
Entity structure should be settled early
Commercial property may be purchased personally, through a company, trust or, where appropriate, an SMSF. The legal and tax implications of ownership should be determined with the relevant advisers before finance documents are prepared, because changing the purchasing entity late can delay or invalidate an approval.
Our Approach
How We Can Help
We start by understanding the full scenario and what you want the finance to achieve. Depending on the transaction, our work can include:
- Review purchase or refinance purpose and entity structure
- Assess business or lease income
- Review property type and location
- Calculate deposit or maximum LVR
- Compare commercial lender terms and pricing
- Coordinate valuation and lease requirements
- Prepare the application and negotiate conditions
- Manage approval and settlement
Real Situations
Common Scenarios
Commercial lending varies by property and borrower type. Common transactions include:
- Buying business premises
- Commercial investment property
- Warehouse or industrial property
- Refinancing commercial debt
- Commercial property through an SMSF
Step by Step
How the Process Works
Confirm the property, purchase price and intended use
Review the borrowing entity and ownership structure
Assess business cash flow and/or lease income
Estimate deposit, LVR and transaction costs
Compare lender appetite for the specific property type
Arrange valuation and prepare the credit submission
Respond to lender financial and property due diligence
Complete legal and finance documentation
Coordinate commercial settlement
Why Derwent Finance?
A loan approval is only one part of the process. Derwent Finance focuses on understanding the objective, comparing lender policy and helping manage the application from initial strategy through to settlement. We assist borrowers across Australia with home loans, refinancing, investment, construction, self-employed, complex, commercial and business finance scenarios.
Where the best outcome is to keep an existing loan or wait until the borrower’s position changes, the recommendation should reflect that rather than moving a loan simply to create a transaction.
Ready to understand your options? Book a Strategy Call with Derwent Finance. We can review your current position, what you want to achieve and which lending pathways may be available.
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General information only. Credit assistance is subject to individual circumstances and lender criteria. Interest rates, fees, lender policy, government schemes and eligibility can change without notice. This website does not provide legal, taxation or financial advice. Content last reviewed: August 2026.
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