Full Doc Commercial Loans in Melbourne

Bank appetite in Melbourne is bifurcated

Major bank credit teams in Melbourne are actively writing new full doc commercial business on industrial assets in the established south-eastern and western corridors, on owner-occupied medical and childcare, and on tenanted suburban office below A-grade. They are materially more cautious on CBD office (where vacancy has remained structurally elevated since COVID), on Docklands stock, and on large-format retail outside the strongest catchments. Knowing this segmentation before tendering saves weeks of declined applications.

Industrial is Melbourne's standout segment

Net face rents across the south-eastern industrial belt (Dandenong, Hallam, Truganina, Laverton North, Altona) have risen 30–45% over three years, with prime vacancy below 1%. Banks fund full doc industrial in these corridors aggressively — 70% LVR on tenanted, 75% on owner-occupied with strong covenants, 5-year IO routinely available. The Truganina/Laverton North western industrial belt has seen the strongest institutional yield compression and attracts the sharpest pricing.

Suburban middle-ring office and medical are quietly strong

While CBD office attracts the headlines, Melbourne's middle-ring suburban office and medical-fronted commercial precincts (Box Hill, Glen Waverley, Doncaster, Brighton, Camberwell, Hawthorn) are performing strongly with tight vacancy and consistent tenant demand. Banks fund these assets to standard policy without the CBD discount, and valuer appetite is constructive.

$7.2M industrial unit, Dandenong South

Investor acquiring a recently completed 4,200sqm distribution facility tenanted to a national logistics operator on a 7-year lease with 3.5% reviews. Three-bank tender produced sharpest bid at 6.35% over 20 years, 5-year IO, 70% LVR. The asset's prime corridor location and lease covenant produced a yield of 5.2% and a clean serviceability assessment.

$4.1M medical centre, Box Hill

Multi-tenanted GP and specialist medical centre, 4 tenants, 6.5-year WALE. Acquired by a healthcare property investor at 65% LVR ($2.67M loan), 6.55%, 20-year P&I. Bank appetite for medical-fronted assets in the established eastern corridors remains strong; this deal funded with two competitive bids.

$11.5M industrial portfolio refinance, western Melbourne

Three industrial units across Truganina, Laverton North and Altona consolidated from two existing lenders into a single $7.5M facility at 6.25% IO. Refinance unlocked $2.1M equity for the borrower's next acquisition; rate saving 65bps vs the worst of the legacy facilities. Annual saving roughly $49,000.