Yes — and this is now the primary SMSF property strategy for 2026. Commercial property borrowing through an LRBA remains fully available after the residential borrowing ban. Warehouses, offices, retail shops, medical centres and business premises can all be purchased through your SMSF using borrowed funds.
SMSF Commercial Property — What Is Allowed in 2026
| Commercial Property Type | SMSF Eligible? | LRBA Borrowing? | Est. Yield |
|---|---|---|---|
| Industrial / warehouse | Yes | Yes | 5.5–6.5% |
| Medical / consulting suite | Yes | Yes | 5.5–6.0% |
| Retail shop | Yes | Yes | 4.5–5.5% |
| Office / professional suite | Yes | Yes | 5.0–6.0% |
| Business premises (own use) | Yes — if business real property leased at arm’s length | Yes | Market rent |
The GeeVee Verdict on SMSF Commercial Property in 2026
Commercial property is the standout SMSF strategy for 2026. Higher yields, longer leases, CPI rent reviews and the unique ability to buy your own business premises make commercial property significantly more compelling than residential cash purchases for most SMSF investors. The ban has not affected commercial — it has made it more attractive by concentrating SMSF demand into one asset class where borrowing still works.
Frequently Asked Questions
Can my SMSF buy a warehouse and lease it to my business?
Yes — this is one of the most tax-effective strategies available to business owners. Your SMSF buys the warehouse, your business pays rent to your super fund, and the rental income accumulates in a low-tax environment.
What is the minimum SMSF balance to buy commercial property with borrowing?
Most SMSF-specialist lenders require a minimum fund balance of $200,000–$250,000 and will lend up to 70% of the commercial property value.
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