Asset Lend Commercial Loans in Perth

WA's mining-services cycle drives transitional deal volume

Perth commercial generates sustained transitional deal flow tied to the mining-services cycle: contractor businesses expanding rapidly and needing premises before bank financials catch up, distressed sales during commodity-cycle softness, vacant assets bought for fit-out and lease, and short-settlement opportunities from family-office or private vendors. Asset lend funds these deals at 55–65% LVR without traditional borrower serviceability assessment.

Resale liquidity in Perth varies by asset class

Asset lend lenders rely on resale recovery. Perth metro industrial in the established corridors (Welshpool, Kwinana, Canning Vale, Wangara) clears within 90–180 days — adequate liquidity for asset-lend underwriting. Suburban office and medical clear within 120–240 days. CBD secondary office takes longer (6–12 months) and attracts tighter LVR caps. Regional WA assets vary widely — major centres (Bunbury, Geraldton) are reasonable; smaller regional and mining-town assets are thin.

Pricing reflects the access premium

Asset lend rates in Perth currently sit at 8.50–11.50% for senior facilities depending on asset, LVR and term. This is the cost of accessing deals banks cannot fund. Most facilities are 12–36 months IO with defined exits (tenant securing, refinance to bank, sale, project completion). Sophisticated borrowers price asset-lend cost into acquisition modelling and ensure equity uplift justifies the carry.

$2.8M vacant industrial, Welshpool

Investor purchasing a vacant 1,400sqm fabrication unit at 11% below replacement cost with 4-week settlement. Bank funding impossible (vacant, timeframe). Asset lend at 60% LVR ($1.68M), 9.45% IO, 18-month term. Borrower secured a 6-year lease to a mining-services operator 5 months post-settlement and refinanced to bank at 6.85% in month 12.

$3.5M industrial expansion, Canning Vale

Owner-operator distribution business needing larger premises following 50% revenue growth. Couldn't produce bank-acceptable financials within the timeframe (recent restructure). Asset lend at 60% LVR ($2.1M), 9.65% IO, 24-month term. Refinanced to low doc lender at month 18 once financials stabilised.

$1.6M strata office, West Perth

Borrower with adverse credit event 12 months prior. Purchasing for own occupation. Asset lend at 55% LVR ($880k), 10.25%, 24-month term. Refinanced to low doc lender at month 22 once credit conduct was re-established.