Commercial Property Loans

Bannister Financial Services works with businesses across Greater Brisbane and Australia-wide to access Commercial Property Loan options from banks and lenders across Australia. Whether you are looking to buy business premises, expand your commercial property portfolio, or refinance an existing facility, the right loan structure makes a significant difference to your long-term position.

What Commercial Property Loans Cover

Commercial Property Loans are used to purchase, refinance, or leverage equity in properties used for business purposes. This includes office and warehouse finance, retail premises, industrial sites, strata commercial units, and mixed-use properties. Unlike residential lending, commercial property finance is assessed differently by lenders, with factors such as commercial LVR, commercial rental income, commercial tenant strength, commercial lease terms, and commercial vacancy rates all playing a role in how a deal is structured and priced.

At Bannister Financial Services, we understand that no two commercial property transactions are the same. A business purchasing owner occupied commercial premises has a very different profile to an investor building a commercial portfolio. Lenders assess these scenarios differently, and the loan amount, commercial loan term, and repayment structure will reflect the nature of the asset and the borrower's circumstances.

Owner Occupied and Investment Commercial Property

For businesses looking to own their business premises rather than lease, a commercial property purchase can be a sound long-term decision. Owning the property your business operates from removes exposure to rent increases and gives you a tangible business asset on your balance sheet. Bannister Financial Services helps clients understand the commercial application process, what lenders look for in terms of commercial cashflow, and how commercial zoning, commercial DA requirements, and commercial property valuation can affect the outcome.

For investors, commercial property investment is a different proposition. Lenders will look closely at the commercial tenant, the commercial lease in place, and the potential for commercial vacancy when assessing serviceability. Building a commercial portfolio requires a considered approach to loan structure, and Bannister Financial Services has the experience to help clients think through these decisions carefully.

Loan Structure and Interest Rate Options

Commercial Property Loans can be structured with a variable interest rate or a fixed interest rate depending on the borrower's preference and the lender's appetite. Some lenders offer interest rate discounts for strong deals, and certain facilities may include features such as redraw or flexible repayment options. The commercial interest rates available will depend on the loan to value ratio (LVR), the strength of the security, the commercial property business use, and the overall credit profile of the borrower.

Commercial LVR is typically lower than residential LVR, meaning a higher commercial deposit is generally required. Understanding this upfront is important when planning a commercial property purchase or refinance. Bannister Financial Services works with clients to map out what is realistic given their current equity position and financial profile.

Refinancing and Equity Access

A commercial property refinance can serve several purposes. Businesses may look to refinance to access commercial equity, reduce their interest rate, restructure their commercial loan term, or consolidate debt. Bannister Financial Services reviews existing facilities and works with lenders to find structures that better suit the client's current position. If you have held a commercial property for some time, there may be commercial equity available that could be put to work in your business or used to fund further business loans.

Additional Considerations

There are a number of additional factors that come into play with commercial property transactions. Commercial GST, commercial stamp duty, and commercial settlement costs can all affect the total funds required at the time of purchase. Bannister Financial Services works alongside your accountant and solicitor to ensure these are factored into the planning process, without overstepping the boundaries of our role as a finance broker.

For businesses considering development finance or more complex commercial structures, Bannister Financial Services can discuss the options available and connect you with lenders who have an appetite for those transactions.

With decades of banking and finance experience behind us, Bannister Financial Services brings a level of market knowledge and lender access that makes a real difference when it comes to securing commercial property finance. We work with banks and non-bank lenders across Australia to find loan structures suited to the specific needs of each client, whether that is flexible loan terms, a specific commercial loan amount, or a particular approach to repayment.