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SMSF Commercial Lending

A strategic way to grow your super through commercial property

If you’re looking to diversify your superannuation and gain more control over your investments, purchasing commercial property through your SMSF may be the right move. Whether you’re an investor or a business owner, this strategy allows your super fund to hold tangible assets — and potentially generate stable, long-term income.

But with strict compliance requirements and specific lending structures, it’s not a process to navigate alone.

At Heritage Finance, we specialise in helping SMSF trustees access competitive finance for commercial property. From structuring limited recourse borrowing arrangements (LRBAs) to working with your advisers on trust setup and lender selection, we’re here to streamline the process and ensure your fund remains compliant every step of the way.

Using Your Super to Secure Your Business Future

If you’re a business owner, your SMSF can do more than invest — it can house your operations.

SMSFs are one of the few vehicles allowed to purchase commercial property and lease it to a related party, such as your own company or trading trust. This means you can:

  • Buy your business premises inside your SMSF

  • Pay market rent to your fund instead of a landlord

  • Convert those rent payments into superannuation income

  • Secure your location long-term while building retirement wealth

This strategy is powerful — but must be carefully managed to stay compliant. Rent must be at market value, leases must be formal and consistent, and the SMSF must continue to meet its sole purpose test.

We work with your accountant, financial adviser, and legal team to make sure everything is structured correctly from day one.

What Types of Property Can My SMSF Buy?

Your SMSF can purchase commercial property such as:

  • Warehouses

  • Offices

  • Retail shops

  • Medical suites

  • Factories

  • Industrial premises

  • Mixed-use (non-residential) commercial buildings

So long as the property is wholly for business purposes, and not used as a residence, it can be purchased and leased in line with SMSF regulations.

How Lending Works for Commercial SMSF Purchases

SMSFs cannot borrow in the same way as individuals. Instead, the fund must set up a Limited Recourse Borrowing Arrangement (LRBA) where:

  • The loan is made to the SMSF

  • The property is held in a Bare Trust until the loan is repaid

  • The lender’s recourse is limited to that property only

Because of the added risk and structural complexity, lenders typically require:

  • A larger deposit (usually 30–35%)

  • Strong liquidity in the fund

  • Stable contributions and a clear exit strategy

Documentation confirming trust and legal setup

Liquidity Requirements & SMSF Responsibilities

Lenders and regulators will look closely at whether your SMSF can afford the loan — not just now, but throughout the life of the investment. This includes:

  • Having enough cash flow to cover loan repayments

  • Maintaining liquidity buffers post-settlement

  • Allowing for ongoing costs like insurance, property management, and auditing

Our team will help you model different scenarios and understand how your fund can maintain compliance over the long term.

How Heritage Finance Supports You

  • We work with specialist lenders who understand SMSF lending

  • We coordinate with your advisers to ensure structural compliance

  • We provide clear guidance from application to settlement

  • We help business owners transition from renting to owning through super

We offer post-settlement support if your needs evolve

Ready to explore your SMSF property options?

Whether you’re buying your business premises or building your fund’s commercial property portfolio, we can help you structure the finance right from the start.

Contact Heritage Finance today to speak with an SMSF lending expert. Get in touch

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