CommercialOne Logo
Phone icon1300 728 753
Quote icon Obtain a quick quote
 
Header image

Commercial Property Loans

Commercial Loans

Full doc

Full Doc Commercial loans provide the most competitive rates and fees in the market due to the requirements needed to be fulfilled to qualify for these types of loans, which can include the last 2-3 years financials / tax returns.

Low Doc

Low Doc loans are designed for borrowers who don’t have their financials up to date however can demonstrate serviceability through an Accountants and/or Self-Certification of Income which is broadly supported by the last 6-12 months bank statements.

The less reliance on financial information required generally results in a slightly higher interest rate, although Commercial One does have access to very competitive Low Doc rates and high LVR’s.

Low Doc Business Loan

Commercial One is a facilitator of an exceptional Low Doc product suitable for small business owners throughout Australia.
The Low Doc product offers an LVR of 80% at very competitive interest rates, and the supporting information required is simply:

  • a self-certification of income
  • which is broadly supported by the latest BAS Statements
  • ABN has been established for at least 12 months

Lease Doc

Lease Doc products are designed for investors with rental producing commercial properties. The Lease Doc product provides you with the flexibility of choosing between the Commercial Variable / Fixed Rate and Equity Loan products without the necessity to provide financials or tax returns.
Commercial One has access to an array of Lease Doc products with exceptionally competitive interest rates.
Features of the Lease Doc Product include:

  • LVR’s up to 65%
  • Remaining lease term required can be as little as 13 months.
  • Loan Terms up to 25 years
  • No annual reviews or ongoing fees on selected products

Development & Construction Finance

Obtaining Development Funding has become increasingly difficult since the Global Financial Crisis (GFC).

Commercial One has various options for Development Funding to suit most scenarios. Whether you have 100% pre sales, or no pre-sales, we understand the importance of tailoring each funding structure on a project by project basis. Banks have ‘tightened the screws’ on development funding although they are still the cheapest option in terms of rate and fees. An outline of the general requirements for this type of funding is:

  • LVR of 65% of GRV (exc GST) OR 80% of cost (the lesser of)
  • Generally require 100% debt coverage in Pre Sales.
  • Full Financials of the Developer
  • Developer needs extensive experience in the industry

Note we do have a further option for Development Funding in the Eastern States for Loan amounts starting from $10M with the requirement of 60% Debt Coverage in Pre Sales which is similar to the above banking parameters and requirements, however the Interest Rate will increase slightly.

In light of the tougher Banking Requirements, Commercial One has recognised the need for specialist Development Financiers in the Private Funding Market who understand the realities that Developers face from project to project. As a result we have established relationships with a very extensive panel of Private Funders to suit a variety of low to high density projects, with loan amounts ranging from $500,000 up to $100M+. The benefits of obtaining Private Funding include:

  • Higher LVR’s that are based on Gross Realisation Value, with no restriction on Loan to Cost Ratios.
  • Faster turnaround times than the banks
  • No Pre Sale requirements for projects requiring funding of up to $15M

The disadvantages to obtaining Private Funding are:

  • Higher Interest Rate
  • Higher set up costs

Short Term Finance

Short Term Finance is suitable to Borrower’s who have an urgent need for funding for a 1-12 month term. These types of loans are generally secured by a 2nd Mortgage, or by a Caveat lodged on Title.
Commercial One has extensive experience in arranging Short Term Funding, and our panel of lenders provide flexibility and fast turnaround times.
We can arrange settlement within days, particularly if the borrower has a previous valuation that is accepted by our Short Term Funders.

The key aspects to being approved for a short term loan include:

  • Suitable security offered (i.e. Commercial or Residential property)
  • The purpose of the loan MUST be for business purposes (i.e. no coded loans accepted)
  • A clear Exit Strategy is established

The Exit Strategy is paramount to obtaining approval of Short Term Funding. Acceptable Exit Strategies include:

  • Sale of a property
  • Verifiable future income (i.e. Debtors)
  • Refinance

Self Managed Super Fund loans

In 2007 amendments to the Superannuation Industry Supervision Act (SIS) allowed self managed superannuation funds to borrow money via a SMSF Loan provided an acceptable structure was utilised. A SMSF can borrow funds for the purchase of income producing residential, retail, commercial, rural or specialised properties.

In essence a Security trustee will purchase the property on behalf of the SMSF and become the legal owner of the property holding it in trust for the SMSF (as beneficial owner).The SMSF will provide an equity contribution from the Superannuation Funds assets and borrow the balance of the money with an SMSF loan.

The SMSF loan is “limited recourse” meaning the SMSF lender cannot touch any of the SMSF’s assets other than the property held as security. In other words the rights of the SMSF lender against the SMSF in the event of the SMSF loan defaulting are limited to the security property.

Commercial One not only has access to the products of all funders offering such loans but can also provide access to both associated Financial Advisors and Accountants for any technical assistance as may be required.



Full Doc Loans

Commercial property Rates from:

4.20%
 
LVR’s up to:
80%
 
Residential Rates from:
3.63%
 
LVR’s up to:
97%

Low Doc Loans

Commercial property rates from: (lower rates possibly available on application)

4.79%
 
LVR’s up to:
80%
 
Residential Rates from:
4.54%
 
LVR’s up to:
90%

Commercial Lease Doc Loans
(no financials required)

Rates from:
4.54%
 
LVR’s up to:
70%

Equipment/Vehicle Finance

Full Doc and Low Doc available

Rates from:
4.79%

News Update Subscription

Subscribe to the Commercial One news update service.