Commercial Property for Business Owners in North Brisbane, QLD, Your Practical Guide
You stop paying someone else's mortgage, your occupancy cost becomes predictable, and the property starts building equity alongside your business. For business owners in North Brisbane who've been renting their premises for years, buying can be the next logical step — but commercial property finance works differently to a residential home loan, and the gap between those two is where most borrowers get caught.
Whether you run a trade business from a warehouse in Mitchelton, a professional services firm in the Milton commercial precinct, or a healthcare clinic near the Herston Health and Innovation Precinct, how a lender reads your business income is the thing that decides the outcome. The property type matters too, but income assessment comes first.
Our team helps business owners across North Brisbane, QLD navigate this, comparing across 60+ lenders. The commercial property loan side of it is where most of the difference is made.
Key takeaways
- Commercial deposits typically run 25–35%, higher than residential lending.
- Lenders assess both the property's income and your business's cash flow.
- Owner-occupiers generally attract better terms than pure investors.
Can business owners buy commercial property in North Brisbane?
Yes — business owners can borrow to purchase commercial property, including the premises they operate from. Commercial property finance is a distinct lending category with its own assessment criteria, its own deposit requirements and a narrower lender panel than residential lending. Getting in front of the right lender is the whole game.
How do lenders assess a business owner's commercial loan application?
Lenders look at two things simultaneously: the property's ability to generate income and your business's ability to service the debt. For an owner-occupier buying their own premises, the business cash flow is the primary lens — the property is the security, and the rent you were paying becomes the debt repayment you're now making instead.
Two years of business financials is the standard starting point. Most lenders want to see consistent profitability across that period, not just a single strong year. If your business runs through a trust or company structure, the lender will trace income back to the individuals servicing the loan, which adds a layer of documentation most business owners don't anticipate.
We regularly see business owners who've run profitable operations for a decade get tripped up on documentation — not because the income isn't there, but because the structure of how it's drawn makes it harder to present clearly. The preparation before you apply is often where the deal is won or lost.
Tom Kelly · Director - Home & Car Loans, Kelly Brothers Finance · Chat to Tom →
What do you need to qualify for a commercial property loan?
Qualification rests on the property and the business in equal measure. Lenders want to be satisfied on both before they'll proceed, and a strong business profile won't compensate for a problematic property — or vice versa.
What lenders typically require:
- › Business financials: two years of tax returns and financial statements, showing consistent profitability.
- › BAS statements: usually the last four quarters, confirming turnover matches what the returns show.
- › Business bank statements: three to six months, demonstrating cash flow and consistency.
- › Property details: zoning, use, lease terms if tenanted, and a commercial valuation.
- › Personal financials: personal tax returns and a personal assets and liabilities statement for all directors or guarantors.
- › Deposit evidence: funds held in a verifiable account, usually for at least three months.
What does a commercial property loan cost, and how much deposit do you need?
Commercial deposits are materially higher than residential. Standard commercial property — office, retail, industrial — typically requires a deposit of 25% to 35% of the purchase price, which means an LVR of 65% to 75%. Some specialist lenders will go to 80% LVR for a strong owner-occupier with a clean business profile, but that's a narrower part of the market.
The options worth weighing:
- › Standard commercial loan (owner-occupier): 25–35% deposit · LVR 65–75% · assessed on business cash flow and property income · annual covenant review common
- › Specialist lender (strong profile): 20% deposit · LVR up to 80% · manual assessment · narrower panel, higher rate
- › Rural or specialist-use property: 35–45% deposit · LVR 55–65% · depends heavily on zoning and tenant quality
Rates on commercial loans are priced above residential equivalents, and the exact rate depends on your business profile, the property type and the lender's current appetite. Loan terms are also shorter — annual covenant reviews are common, where the lender checks the business is still performing. This is different to a residential mortgage, and business owners who aren't prepared for it sometimes find the review unsettling.
Source: APRA.
| Get in touch Need help with a commercial property loan? We're a local team who understand how lenders actually assess your situation, not just your rate. We'll compare your options across 60+ lenders to find the right fit.
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How long does it take, and what causes delays?
Commercial applications take longer than residential — four to eight weeks from application to approval is typical, and six to ten weeks to settlement once a contract is signed. The assessment is more manual, the valuation process takes longer, and the lender's credit committee is usually involved for larger loan amounts.
The most common delays are documentation gaps. An accountant who's slow to provide the financials, a trust structure that needs additional explanation, or a property that needs a specialist valuer because of its use — any of these can add two to three weeks. Going in with a complete file from day one shortens the process more than anything else you can do.
When does buying your premises not make sense?
The deposit requirement is the biggest factor. Tying up 25% to 35% of the purchase price in a property — capital that could go back into the business — is a genuine trade-off, and for some businesses in a growth phase, keeping that capital liquid makes more sense than ownership.
The property also needs to suit a long-term hold. If there's a real chance you'll outgrow the space within three to five years, the transaction costs of buying and selling a commercial property — stamp duty, agent fees, legal costs — can easily erode the equity you've built. Renting gives you flexibility; owning gives you stability and equity. The right answer depends on where the business is headed, and that's a conversation worth having before you make an offer.
In my experience, the business owners who get the most out of buying their premises are the ones who've been in the same location for a few years already. They know the space works, they know the trade area, and they're ready to stop funding the landlord's asset. If you're still figuring out where the business wants to be, it's usually worth waiting.
Tom Kelly · Director - Home & Car Loans, Kelly Brothers Finance · Chat to Tom →
How to buy commercial property in North Brisbane, QLD, step by step
The process differs from a residential purchase in several ways — lenders are more involved in the property assessment, and the timeline between application and settlement is longer. Here's how it typically runs.
Step 1: Talk to us
We start by working through whether commercial finance suits your situation, what deposit you'll need, and which lenders on our panel are worth approaching for your property type and business structure.
Step 2: Prepare your file and assess the property
We help you pull together the business financials, BAS, bank statements and personal documents — and we assess the property itself against what lenders will accept for its zoning and use.
Step 3: Match lenders and submit the application
Commercial lending is more lender-specific than residential — some lenders are strong for industrial, others for office or retail. We match your profile to the right lenders and manage the application through their credit process.
Step 4: Approval to settlement
Once approved, we coordinate with your solicitor and the lender to keep the settlement timeline on track, including any conditions the lender sets around the property or your business documentation.
What goes wrong when business owners apply for commercial loans?
Where applications run into trouble:
- › Applying to the wrong lender: not every lender funds every property type or business structure — an application to the wrong one wastes time and puts an enquiry on your credit file.
- › Underestimating the deposit: business owners used to residential borrowing are often caught short when the lender requires 30% rather than 10% — confirm the deposit requirement before signing a contract.
- › Trust structures presenting complexity: if the business runs through a trust, the lender needs to be satisfied on the trust deed, the trustees and how income flows — incomplete documentation here is the most common cause of a declined file.
- › One strong year after a weaker one: lenders average income across at least two years, so a business that had a difficult period and then recovered strongly will be assessed on the average — not the most recent figure.
For business owners in Mitchelton- Stafford or Kelvin Grove, the lender panel matters as much as the rate — which lender accepts your property type and your structure is the decision that shapes the whole outcome.
Frequently Asked Questions
Can I use a commercial loan to buy the building my business operates from?
Yes, and owner-occupier commercial purchases are generally viewed more favourably by lenders than investor purchases. Your business's cash flow is the primary serviceability assessment, alongside the property itself.
What LVR can I expect on a commercial property loan?
Standard commercial loans typically run to 65–75% LVR, meaning a 25–35% deposit. Some specialist lenders will consider up to 80% LVR for a strong owner-occupier profile, though this is a narrower part of the market.
Do I need a separate commercial loan, or can I use my home equity?
Both are possible. Using residential equity as security can sometimes unlock better terms, but it puts your home at risk alongside the business. A standalone commercial loan keeps the securities separate, which is usually the cleaner structure for a growing business.
How do lenders treat trust or company income?
Lenders trace income back to the individuals servicing the loan — directors' wages, drawings and trust distributions all need to be documented across at least two years. Policy differs between lenders, and some are more comfortable with complex structures than others.
Is a commercial loan harder to get than a home loan?
Yes, for most borrowers. The deposit is higher, the documentation is more extensive, the assessment is more manual, and the lender panel is narrower. A broker who works across commercial lenders regularly makes a meaningful difference to the outcome.
Should I use a mortgage broker or go direct to my bank for a commercial loan?
A mortgage broker, every time. Commercial lending is lender-specific — different lenders have different appetites for property types, business structures and industry sectors. Going direct to one lender limits you to their current policy, while a broker compares across the panel to find the lender whose criteria actually fit your situation.
Your Next Steps
Buying your business premises is one of the most significant financial decisions you'll make as a business owner — and the deposit, the lender choice and the structure of the loan all have long-term consequences for the business. Getting the right lender in front of your application, with a complete file, is what makes the difference between a clean approval and a frustrating process.
Ready to find out which lenders will work best for your commercial property purchase? Contact the Kelly Brothers Finance team or call 07 3847 9450. We'll canvas our 60+ lender panel and find the most suitable options for your circumstances.
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External Resources
Kelly Brothers Finance · North Brisbane, QLD · Kelly Brothers Brokerage Pty Ltd (ACN 662 331 320), authorised under Australian Credit Licence 517192 · General information only - this article does not constitute financial advice. Please consider your own circumstances and seek professional advice before making any financial decisions.
