How Commercial Property Loans Work in North Brisbane, QLD, What Lenders Check
If you've been thinking about buying your business premises or adding a commercial property to your portfolio, you're probably already aware that the lending works differently to a standard home loan. The assessment criteria are stricter, the deposits are larger, and the pool of lenders who do it well is smaller than most borrowers expect.
Commercial property finance is its own lending category. Lenders look at the income the property generates, the quality of the tenancy, and your business's ability to service the debt, not just your personal income. Getting that combination right, and finding a lender whose policy suits your asset type, is where the outcome is decided.
Our team helps business owners, investors and professionals across North Brisbane, QLD navigate this, comparing across 60+ lenders. The commercial property loan side of lending is where lender access makes a real difference, because major bank policies vary significantly from specialist and non-bank lenders on this asset class.
Key takeaways
- Commercial deposits are typically 25% to 35%, higher than residential.
- Lenders assess the property's income and lease quality, not just your income.
- Owner-occupiers buying their own business premises are assessed most favourably.
Can you get a commercial property loan in North Brisbane, QLD?
Yes, commercial property loans are available to business owners, investors and self-employed buyers across North Brisbane, QLD, though the criteria differ meaningfully from residential lending. The assessment turns on the property's income-generating ability, the strength of the tenancy, and your business's debt-service capacity, not just a payslip and a credit check.
How does commercial property finance actually work?
Commercial property finance is assessed on two things simultaneously: the property itself and the borrower behind it. Lenders look at the property's income, the lease structure, and what they'd recover if they had to sell, alongside your business financials and personal position.
That dual assessment is what makes this lending category distinct. A residential lender can ignore a vacant property as long as you can service the debt from income. A commercial lender can't, because vacant commercial premises are harder to value and slower to sell. Lease quality and remaining lease term matter.
One practical difference from residential: commercial loans commonly carry annual covenant reviews. Your lender may require updated financials each year and can review the loan conditions if your position changes materially. That's worth understanding before you commit to the structure.
What we see repeatedly is buyers who assume commercial lending works the same way as their home loan. The deposit requirement alone catches most people off guard, and the lease assessment is something a lot of borrowers haven't thought through at all before they come to us.
Tom Kelly · Director - Home & Car Loans, Kelly Brothers Finance · Chat to Tom →
What do you need to qualify for a commercial property loan?
Qualification criteria for commercial lending vary by lender, but the framework is consistent. Lenders are assessing risk across the property, the tenancy and you as the borrower, and they want documentation that speaks to all three.
What lenders typically want to see:
- › Business financials: two years of financial statements and tax returns for the operating business, plus a business plan if the premises are being purchased for a new use.
- › Lease documentation: a current lease showing rent, term, options and any tenant incentives. Lenders weight the weighted average lease expiry heavily.
- › Deposit: typically 25% to 35% of the purchase price, depending on asset class and lender.
- › Personal financials: tax returns, personal assets and liabilities, and any existing property security.
- › Valuation: a commercial valuation, commissioned by the lender, assessing the property on both vacant possession and investment value.
What does a commercial property loan cost?
The deposit is the biggest upfront difference from residential. For standard commercial assets, most lenders require 25% to 35% of the purchase price. Owner-occupiers buying their own business premises can sometimes access higher LVRs, up to 80% at some specialist lenders, though that is not typical across the market.
The options worth considering for deposit structure:
- › Standard commercial loan (investor): 25% to 35% deposit · LVR 65% to 75% · lease quality assessed · annual covenant review common
- › Owner-occupier buying own premises: deposit from around 20% to 25% · LVR up to 80% at some specialist lenders · stronger profile, assessed on business cash flow
- › SMSF commercial (business real property): 30% to 40% deposit · LVR 60% to 70% · sole purpose test applies · specialist lender panel only
Rates on commercial loans are higher than residential and are not quoted as a product in this guide, because the right commercial rate is specific to your asset, your tenancy and your borrower profile. What changes more than the rate is the structure, and getting that wrong costs more than a slightly higher margin.
Source: APRA and industry-standard commercial lender policy.
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How long does it take to get a commercial property loan?
Commercial loans take longer than residential approvals, and the timeline is less predictable. The valuation alone can take two to three weeks, and lenders undertake a more detailed credit assessment than you'd see on a standard home loan.
A realistic timeframe from application to formal approval is four to eight weeks for a straightforward owner-occupier purchase. Investor applications, or those involving complex tenancy structures or trust borrowers, can run longer. Building that into your contract timeframe matters, because finance clauses in commercial contracts are typically negotiated, not statutory.
When does a commercial property loan not make sense?
Buying commercial property ties up a significant deposit that could otherwise fund business growth, a residential investment or working capital. For a business owner whose premises costs are manageable under a lease, and whose capital is better deployed in the business itself, owning the building can constrain flexibility rather than create it.
The break-even calculation matters too. If you're paying commercial interest rates on a 70% LVR loan while your tenancy would have cost less, the financial case for ownership depends on capital growth and the certainty of your tenure. Not every business owner is best served by buying, and the honest answer sometimes is to stay on a strong lease and invest the deposit elsewhere.
Where I see this work best is for business owners who have a genuine long-term need for that specific premises, and whose lease renewal is uncertain. The security of ownership means something real in that situation. Where it works less well is when the buyer is motivated by the idea of not paying rent, without working out whether the loan costs less than the lease would have.
Tom Kelly · Director - Home & Car Loans, Kelly Brothers Finance · Chat to Tom →
How to get a commercial property loan in North Brisbane, QLD, step by step
Commercial lending has more moving parts than residential, and the order of operations matters. Starting with a lender assessment before you're under contract gives you a realistic LVR, a deposit figure and a sense of which lenders will look at the specific asset type you're targeting.
Step 1: Talk to us
We start by understanding the asset, the intended use and your business position, so we can identify which lenders are genuinely in play before you make an offer.
Step 2: Prepare your financials and lease documentation
We'll work through what the lender will need: two years of business financials, personal returns, the lease or rental evidence, and details of any existing security you're offering.
Step 3: Match you to the right lender and submit the application
Commercial lending policy varies significantly between lenders on asset type, tenant quality and LVR. We identify the best fit for your specific deal and manage the application and valuation process.
Step 4: From formal approval through to settlement
We stay across the lender's conditions, coordinate with your solicitor, and make sure the settlement timeline is met, including any lease assignment or business transfer components.
What goes wrong when people apply for commercial property loans?
Where applications run into trouble:
- › Underestimating the deposit: buyers who have seen residential lending up close often budget 10% to 20% and find themselves short. Commercial requires 25% to 35% in most cases, and that has to be genuine savings or equity, not borrowed funds.
- › A short or uncertain lease: a lease with less than two years remaining, or one already on a month-to-month, makes the property harder to value and some lenders won't touch it. Securing a longer lease before application can change the outcome.
- › Going to the wrong lender first: not every lender writes commercial property, and a decline from the wrong lender sits on your credit file. Matching the application to the lender's actual appetite for that asset class, before lodging, is how you avoid that.
- › Mixing personal and commercial structures: buying through a trust or company adds complexity and can change which lenders will assess the deal. Getting the ownership structure right before contract, not after, saves significant time and legal cost.
Frequently Asked Questions
Can I buy commercial property through my SMSF in North Brisbane?
Yes, an SMSF can still purchase business real property, including commercial premises your own business occupies, and borrow to do so. The residential LRBA ban that took effect in August 2026 does not apply to commercial property held inside super.
Is commercial property lending the same as a business loan?
No, they're assessed differently. A commercial property loan is secured against the physical asset; a business loan is typically secured against business assets or cashflow. Most lenders treat them as separate products with separate criteria.
How does a lender value a commercial property?
Commercial valuations consider both the investment value, based on passing rent and capitalisation rate, and the vacant possession value. Lenders typically lend against the lower of the two, which matters if the tenancy is weak or the rent is above market.
Can I use equity in my home to help fund a commercial purchase?
Yes, residential equity can be used as part of the deposit or security package. Some lenders prefer a combination of commercial and residential security; others will take the commercial asset standalone. The structure depends on the lender and your overall position.
Is it better to buy commercial property as an individual or through a company?
It depends on your tax position, long-term ownership intentions and estate planning, which is an accountant and solicitor question, not a lending one. What we can tell you is that the ownership structure affects which lenders will assess the deal and on what terms.
Should I use a mortgage broker or go direct to a bank for a commercial loan?
A mortgage broker, every time. The commercial lending market is thinner than residential, policy differences between lenders are significant, and applying to the wrong one costs you a credit enquiry and potentially a decline. A broker who works in this space regularly knows which lenders suit which asset types.
Your Next Steps
Commercial property lending rewards preparation. The borrowers who get through quickly are the ones who understand the deposit requirement, have their financials in order, and have matched their asset type to a lender who actively writes it. Getting that wrong at the start costs time and credit file events that follow you into the next application.
The right lender for a commercial purchase depends on your situation, and that's a conversation worth having. Talk to the Kelly Brothers Finance team or call 07 3847 9450, and we'll compare your options across 60+ lenders.
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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.
