Beyond Residential.
Invest in Commercial.
Commercial property offers Australian investors superior yields, long-term lease security, and income structures residential simply can't match. Tenfold structures your commercial finance to maximise borrowing capacity and portfolio performance from day one.
Commercial Property Is a Different Asset Class.
Your Finance Should Reflect That.
Commercial property finance is fundamentally distinct from residential lending — with different assessment methods, different lender criteria, and different structuring opportunities. Tenfold works exclusively with investors who want their finance architecture to be as sophisticated as their investment strategy.
Six Reasons Investors Are
Choosing Commercial Property
Commercial property delivers advantages that residential investment simply cannot replicate. Here's what makes the asset class so compelling.
Superior Rental Yields
Commercial property consistently delivers higher gross yields than residential — typically ranging from 5% to 10% depending on asset class, location, and tenant profile. Industrial and logistics assets have delivered particularly strong returns in recent years, with many metro-adjacent warehouses achieving yields well above the residential average.
Long-Term Lease Security
Where a residential tenancy typically runs 12 months, commercial leases commonly run three to ten years — and in some cases longer. Built-in rent reviews tied to CPI or fixed annual increases of 3–4% provide predictable, growing income streams. The result is a far more stable cash flow profile for investors managing a growing portfolio.
Tenants Pay the Outgoings
In most commercial leases, tenants are responsible for paying outgoings — including council rates, water rates, building insurance, and maintenance costs. This net lease structure means your income is effectively cleaner and less impacted by rising holding costs. For investors watching margin carefully, this is a material advantage over residential ownership.
Longer Interest-Only Periods
Commercial lenders frequently offer extended interest-only periods — commonly five years, and sometimes longer — which significantly improves cash flow in the early stages of ownership. This gives investors breathing room to build equity, reinvest surplus income, or position for the next acquisition without being constrained by principal repayments.
Valuation Driven by Income
Unlike residential property — which is largely valued by comparable sales — commercial property is primarily valued on income. This means a sophisticated investor who secures a strong, long-term tenant can directly influence the capital value of their asset. Improving a lease can improve the valuation, creating equity without requiring a market movement.
Depreciation & Tax Deductibility
Commercial investment properties are eligible for the same generous depreciation deductions as residential — and in many cases more, given the plant and equipment typically present in commercial buildings. Interest on borrowings, management fees, maintenance, and building depreciation are all deductible, making commercial property a tax-efficient component of a broader wealth strategy.
We Finance Across Every Commercial Asset Type
From a single strata office suite to a fully leased industrial complex — Tenfold accesses the right lender for the right asset.
Office
Strata suites, small office buildings, and multi-tenant commercial properties.
Retail
Shops, strip retail, convenience centres, and freestanding retail assets.
Industrial
Warehouses, logistics facilities, distribution centres, and light industrial units.
Mixed Use
Ground-floor commercial with residential above — increasingly popular in urban corridors.
Medical & Specialist
Consulting suites, medical centres, and specialist commercial premises with strong tenants.
Childcare & Hospitality
Purpose-built childcare centres, hotels, and hospitality venues with long-term operator leases.
Commercial vs Residential Finance —
What Changes?
Commercial finance is assessed, priced, and structured differently to residential investment loans. Here's what to expect.
Important Considerations for
Commercial Finance
Commercial property lending is more complex than residential. Understanding the key differences helps you plan ahead — and avoid the mistakes that derail otherwise strong investment strategies.
- Expect a 30–40% deposit. Most commercial lenders cap LVR at 60–70%, meaning you'll need a larger equity contribution than a residential investment. Some lenders will consider up to 75–80% LVR for strong assets with quality tenants and long lease terms — we identify those options for each deal.
- Lease quality drives your approval. Lenders scrutinise the lease — its term, rental income, rent review mechanisms, and the creditworthiness of the tenant — as heavily as they scrutinise the borrower. A property with a strong, long-term tenant will attract better terms than a vacant or short-leased asset.
- Loan terms are shorter than residential. Commercial loans typically run 10–25 years, not 30. This means higher principal repayments if not on interest-only, and periodic refinancing is standard practice in commercial portfolios. We build this into your long-term financing strategy from the outset.
- Rates are higher — and variable structure matters. Commercial rates typically sit 0.5–2% above comparable residential investment rates. The choice between fixed and variable, and whether to use a line of credit facility, can have a meaningful impact on your total holding cost. Tenfold models this across your expected hold period.
- Vacant properties are harder to finance. If you're purchasing a commercial property with no tenant in place, most lenders will require a lower LVR or additional security. Some lenders will not consider a vacant commercial asset at all. Knowing this before you bid at auction or sign a contract prevents costly delays.
- GST applies — plan your cash flow accordingly. Commercial property transactions in Australia are generally subject to GST, which must be paid at settlement even if you ultimately claim it back via your BAS. Ensure you have sufficient working capital or a bridging facility in place to cover the GST component at settlement.
- Lender reviews are a feature of commercial lending. Commercial loans are typically subject to periodic lender reviews — commonly every 3–5 years — where the bank may reassess the property value and loan conditions. A well-structured loan from the start minimises exposure at review.
Australia's Leading
Commercial Property Lenders
We maintain active relationships with every major bank and specialist non-bank lender operating in the Australian commercial property space — so we can always match your asset and strategy to the right capital source.
Lender commercial property policies and appetites vary significantly by asset type, location, tenancy profile, and borrower circumstance. Tenfold's lender intelligence ensures your application is placed with the right lender for your specific deal — not simply the closest one.
Ready to Make Your First
Commercial Move?
Commercial property finance rewards investors who get the structure right from the start. Book a strategy session with Tenfold and we'll map your borrowing capacity, lender options, and the optimal loan architecture for your target asset.