Cash Out & Equity Release Against Commercial Property
Glenclair Financial | August 2026
Cash-out (equity release) against existing commercial property is widely available and frequently used by developers to fund deposits, DA costs or working capital. The equity a facility frees up is often worth more than the rate saved elsewhere.
Typical parameters (completed commercial property)
| Purpose / profile | Typical max LVR | Indicative rate range | Notes |
|---|---|---|---|
| Owner-occupier commercial | Up to 75–80% | From ~6.5 – 8.5% | Sharpest pricing — can reach higher with additional security |
| Investment commercial (tenanted) | Up to 65–75% | 7.0 – 9.5% | Depends on lease quality and location |
| Cash-out for development purposes | Up to 65–70% | 8.0 – 11%+ | Higher if funds are for speculative development |
| Second mortgage / short-term equity release | Combined LVR up to 75–80% | 11 – 16%+ | Faster, more expensive; senior lender consent required |
Example – $12m industrial warehouse
- Existing debt: $4.5m
- New facility at 70% LVR: $8.4m
- Cash released: ≈ $3.9m
- Rate: ~8.25% (strong investment lease profile)
- Structure: 5-year interest-only reverting to P&I, or shorter term if required
When this is most useful
- Funding a deposit or option fee on a new site
- Covering DA and planning costs
- Releasing capital to run multiple projects without selling existing assets
- Bridging to a construction facility
We regularly structure cash-out facilities alongside construction or land banking deals so the capital is available when it is needed.
Contact us for a confidential review of your position at info@glenclair.com.au.
This update is general information only and does not constitute financial, investment, tax or credit advice. It does not take into account your objectives, financial situation or needs. Figures are indicative as at August 2026, are subject to change, and lending terms are set by individual lenders on a case-by-case basis. You should seek professional advice before acting on any information contained in this update.