Commercial Mortgage Broker Melbourne
Looking for a commercial mortgage broker in Melbourne for a warehouse, factory, office purchase or retail strip investment? We compare 35+ lenders, model DSCR/LVR buffers and present lease/NOI cleanly — especially where planning overlays, environmental history or office incentives can change lender policy. For the national blueprint, see Commercial Mortgage Broker Australia.
General information only — not financial, legal or tax advice. Commercial facilities may involve lender, valuation, legal and/or broker fees. Updated: 25 February 2026.
Start with numbers and policy (before you apply)
City-based searches often start with a simple question: “Will this deal work on paper?” The fastest path is to triage eligibility first, then model DSCR/LVR, then package the deal for the right lender. These tools open in a new tab.
Business Loan Eligibility Check
Quick pass/fail triage to spot approval blockers before you pay for valuations or legals.
Commercial Property Calculator
Estimate NOI, DSCR, repayments, yield, cap-rate value and breakeven rent.
Commercial Property Finance Guide
LVR tiers, covenants, valuations, lease-doc vs full-doc, and a practical game plan.
Commercial Property Market (Australia)
Sector-by-sector snapshot (industrial / office / retail) and what lenders are watching.
Key lender tests (DSCR, LVR, leases, covenants)
If you want to go deeper on what banks actually check, use these quick support pages:
- DSCR explained (serviceability)
- Deposits & LVR (security)
- Covenants & annual reviews (ongoing tests)
- Lease-doc vs full-doc (documentation path)
Commercial lending in Melbourne: local context that changes approvals
Melbourne commercial lending outcomes vary sharply by corridor. Standard industrial in established west and southeast precincts can attract strong lender appetite, while office and specialised assets are underwritten more conservatively due to incentives, vacancy and building quality variation.
Our Melbourne packaging focus is to remove ambiguity: a clear NOI bridge (face rent → net rent), realistic allowances for downtime and incentives, and an evidence-based view of comparable sales. If you want the national framework first (DSCR, LVR, WALE, covenants), start at Commercial Mortgage Broker Australia — then use this hub for Melbourne-specific nuance.
Melbourne lending appetite often reflects the city’s main industrial corridors, port access and employment nodes:
- West logistics: Truganina, Derrimut, Laverton North, Altona North (port + freeway access)
- Inner‑west last‑mile: Brooklyn, Sunshine West and surrounding pockets where functionality and access matter
- Southeast industrial: Dandenong South, Keysborough, Hallam (manufacturing and distribution)
- North trade supply: Campbellfield, Thomastown, Epping (light industrial and services)
- Office nodes: Melbourne CBD, Docklands, Southbank, Cremorne (lease profile + incentives drive valuation)
- Retail: strip retail and neighbourhood centres (tenant covenant + outgoings recovery are key)
We use precinct quality and property liquidity as a proxy for how tight a lender is likely to be on LVR and covenants.
In Melbourne, these issues commonly trigger extra questions in credit and at valuation:
- Planning overlays and zoning: permitted use and future constraints can change lender policy and valuation assumptions
- Industrial site history: contamination risk and environmental reports may be requested for older sites
- Office incentives: rent‑free, fit‑out contributions and face vs net rent can distort NOI
- Loading/access constraints: truck access, clearance and hardstand can materially change “bankability” for industrial assets
- Strata complexity: owners corporation budgets, special levies and access/easements can slow approvals
If any of those apply, we’ll map the right documentation path early: lease-doc vs full-doc.
Where approvals tend to be smoother
Lender appetite in Melbourne often widens when the security is functional, broadly lettable, and supported by strong comparable evidence. Deals become tighter when valuation relies on incentives, niche improvements, or thin sales evidence.
- Modern logistics: stronger outcomes where loading, access and clearance suit a wide tenant base
- Older industrial: can attract more questions if site history suggests contamination or capex risk
- Office: underwriting focuses on net effective rent and WALE after incentives
- Retail: accepted net rent depends on outgoings recovery and tenant covenant quality
We aim for a structure that stays resilient at annual review if vacancy rises or incentives increase.
What we gather before credit
Melbourne credit delays usually happen when lease evidence or compliance documents arrive after valuation is ordered. A clean pack up‑front keeps the timeline predictable.
- Executed lease + variations, rent ledger and outgoings statement (so NOI is defensible)
- Planning/zoning details and any known overlays; occupancy certificate if relevant
- Industrial: environmental/contamination reports if available (especially older sites)
- Strata: owners corporation financials, levies, insurance certificate and bylaws
If documentation is light, compare lease-doc vs full-doc early to choose the right lane.
What lenders focus on for Melbourne deals
Melbourne borrowers often assume the “hard part” is the borrower. In commercial, the lender is also pricing the property’s income quality and the risk of that income changing. Here are the Melbourne-specific checks we build into submissions so the deal doesn’t get stuck mid-credit.
Liquidity beats “nice looking”
Melbourne valuations can hinge on comparable sales and how “standard” the asset is for the corridor. Lenders generally prefer functional industrial with good access and broad tenant appeal. Niche improvements or constrained sites can reduce max LVR.
Deposits vary — use: commercial deposits & LVR.
NOI and rent evidence
In Melbourne we often see leases with incentives, stepped rents or outgoings nuances (especially office/retail). Lenders want a clear net income story supported by the lease and rent ledger. If the income is borderline, we model buffers and present a conservative DSCR case.
Start with: DSCR explained.
WALE and tenant concentration
Melbourne leases are often 3–5 years with options, but the lender’s question is: “What happens at expiry?” Short WALE, weak tenant financials, or tenant concentration can trigger lower LVR, higher margin, or tighter covenants.
If you’re refinancing, see: commercial property refinance.
Overlay, use and site history matter
Melbourne credit teams often ask deeper questions on zoning, overlays and industrial site history. Where the risk profile is unclear, lenders may require additional reports or reduce max LVR. We confirm lender fit early so valuation isn’t ordered into a policy dead-end.
A clean checklist helps. Use the national guide: Commercial Property Finance Guide.
Plan for annual review, not just settlement
Melbourne borrowers often refinance for price, but the bigger win can be covenant comfort. We review DSCR/LVR triggers, reporting requirements, and how the lender handles tenant changes — then choose the structure that stays calm.
Read: covenants & annual reviews.
Common scenarios we help with in Melbourne
Melbourne lending outcomes differ by corridor — west logistics, north trade supply, southeast industrial and CBD office all behave differently in valuation and credit. Here are Melbourne scenarios we see most often and how we package them.
Buying a strata unit or premises
Melbourne owner‑occupiers often buy warehouses or strata industrial units in the west (Truganina/Derrimut) or southeast (Dandenong South/Hallam). We assess business cash flow, then address access/functionality, zoning/overlays and owners corporation documents so credit doesn’t stall mid-way.
First step: eligibility check.
Rent-driven industrial and retail
Investors commonly target leased industrial in deep corridors, but office and mixed assets need careful NOI presentation (face vs net rent, incentives and vacancy). We package a conservative net effective rent story so DSCR and valuation assumptions align.
Model NOI with the calculator.
Improving pricing or flexibility
Melbourne refinances often happen after incentive-heavy leases roll, vacancy changes, or a lender’s reporting/covenants feel restrictive. We rebuild the submission around the current leasing profile and choose terms that stay stable at annual review.
See: refinance strategy.
Deposit and serviceability in Melbourne: how to keep the deal “bankable”
In Melbourne, the dollar amount of your loan can matter as much as the percentage LVR — especially for higher-value industrial and office assets. The safest path is to model DSCR conservatively, then align the lender to the security and lease profile. For deeper numbers, use the Commercial Property Calculator and review loan costs and fees so there are no settlement surprises.
| Lever | What lenders are thinking | Practical borrower action |
|---|---|---|
| Deposit (LVR) | Standard industrial in deep Melbourne corridors can attract stronger LVR appetite, while office, older stock or overlay/contamination risk can tighten max LVR. | Treat LVR as a range, not a promise. Confirm the realistic band early with this deposit guide. |
| DSCR buffers | Lenders stress rates and may re-test on P&I. In Melbourne, NOI often gets clipped when office incentives or vacancy assumptions are underestimated. | Use conservative NOI, include downtime/incentive allowances, and build headroom. See DSCR explained. |
| Lease documentation | Net effective rent and outgoings recovery drive lender confidence. Unclear incentives or incomplete ledgers commonly create valuation “haircuts”. | Provide the lease, variations, rent ledger and outgoings statement up-front. It shortens credit time. |
| Annual review risk | Covenants and reporting are common. A structure that relies on optimistic leasing assumptions can become stressful if vacancy rises or incentives increase. | Choose a lender with sensible covenant structure. Start with covenants explained. |
Speak with a commercial mortgage broker (Melbourne)
We run Melbourne deals Australia-wide by phone/video and coordinate lender strategy, valuation timing and credit packaging. If you want to understand how our lender comparisons work nationally, use the pillar: Commercial Mortgage Broker Australia.
The fastest way to get clarity is to send the basics (asset type, price/loan amount, lease summary) and we’ll map: realistic LVR band, DSCR stress test, documentation lane and likely lender fit.
Don’t go unconditional blind
Melbourne deals can move quickly in tight industrial corridors. We help you choose the lender lane early so valuation and credit align with your contract timeline.
Rebuild the file for today’s lease
If the tenant has changed, the lease has rolled, or your lender is tightening covenants, we’ll rebuild the submission so the new credit story is clear.
Other commercial mortgage broker hubs
We work Australia-wide by phone/video. These hubs are built to capture geo-intent searches and funnel authority back to the national broker page.
Prefer a general locations directory? See: Rate Challenge locations →
FAQs
How much deposit do I need for a Melbourne commercial property?
Many Melbourne commercial deals start around a 25–35% deposit, but the outcome depends on security type, lease strength and valuation. Office, specialised assets or overlay/environmental risk can push deposit requirements higher.
Do planning overlays affect commercial lending in Melbourne?
Yes. Lenders and valuers can take a more conservative view if zoning or overlays restrict use or future redevelopment. We usually confirm lender fit before ordering valuation if planning risk is present.
Are older industrial sites harder to finance in Melbourne?
They can be. If there’s potential contamination risk, lenders may ask for additional reports or reduce max LVR. Clear site history and functional improvements typically help.
Can I get a lease-doc loan for a Melbourne investment property?
Sometimes. Lease-doc is driven by net rent, lease quality and rent evidence. Strong tenants and longer WALE usually support better outcomes than short leases with heavy incentives.
What DSCR do lenders look for on Melbourne commercial loans?
There isn’t one universal target. Many lenders want a buffer above 1.0 after stressing rates and expenses. Office and higher-risk assets generally need more headroom.
Do Melbourne commercial loans have annual reviews and covenants?
Often yes. Facilities can include reporting requirements and ratio tests such as DSCR and/or LVR. Building buffers at approval reduces stress if leasing conditions soften.
How long does a Melbourne commercial loan approval take?
With a complete document pack and standard security, approvals can be achieved in 1–2 weeks. Valuation bookings, strata packs or environmental/planning checks can extend timelines.
Can I refinance a Melbourne commercial property and cash out?
Potentially, but cash-out depends on valuation, lender policy, DSCR buffers and the purpose of funds. We confirm safe borrowing limits first, then structure refinance to keep covenants comfortable.
Can an SMSF buy commercial property in Melbourne with finance?
Sometimes. SMSF commercial finance is usually done via an LRBA structure and requires specialist legal and tax advice. Lenders still assess the property, lease strength and DSCR buffers similarly to non-SMSF deals.