Lease Doc Commercial Loans on the Gold Coast

Gold Coast lease doc strength lies in childcare, medical and M1-corridor industrial

The strongest Gold Coast lease doc segments are childcare across the rapidly growing northern corridor (Coomera, Helensvale, Pimpama, Upper Coomera), medical centres in the established suburban precincts (Robina, Burleigh, Southport), NDIS specialist disability accommodation along the M1 spine, and tenanted industrial in Yatala/Stapylton on long terms. All four attract competitive lender appetite because the lease covenant supports loan service entirely.

ICR is the binding constraint

Gold Coast lease doc lenders require minimum Interest Coverage Ratios of 1.40–1.50× on lease income at the assessment rate. With current Gold Coast commercial yields sitting at 5.25–6.25% for prime childcare and medical, and assessment rates around 7.5–8.0%, achievable LVR at policy ICR is usually 58–65% rather than the 65% theoretical cap on standard assets. We model ICR before recommending structure.

Tourism-tenanted assets are difficult on lease doc

Lease doc lenders are cautious on tourism-tenanted assets (motels, serviced apartments, hospitality venues) due to operator-specific risk and the difficulty of valuing the going-concern lease covenant. These assets often need a hybrid full doc structure with personal guarantees, or alternative non-bank funding. We assess tourism asset deals carefully before recommending lease doc.

$5.2M childcare centre, Coomera

120-place purpose-built centre on a 15-year lease to a national operator with 3.5% annual reviews. Net rent $360k. Funded at 65% LVR ($3.38M) on lease doc at 6.85% IO with annual rate review. ICR at 7.75% assessment rate: 1.62× — comfortably within policy. No personal guarantees beyond standard director limit.

$4.2M medical centre, Robina

Multi-tenanted GP and allied health centre, 5 tenants on 5+5 leases, 6.5-year WALE on principal tenant. Funded at 62% LVR ($2.60M), 7.05% IO. Lease covenant alone serviced the loan; borrower's full doc capacity was preserved for two concurrent acquisitions.

$3.8M industrial, Yatala

Single-tenant 2,200sqm distribution facility on a 10-year lease to a national 3PL operator with 4% fixed reviews. Funded at 64% LVR ($2.43M) lease doc at 6.95% IO. The M1 corridor industrial profile and tenant covenant supported a clean lender outcome.