Turning a Dream into a Reality: How I Bought My Commercial Property and Why You Should Too

By Danni Boerma

For years, I dreamt of owning the walls that held my business. I was grateful for my landlord and had some flexibility with my salon’s layout, but deep down, I knew I was investing in someone else’s future, not mine. Every renovation, every upgrade, every dollar spent on improving the space wasn’t going into my equity. It was time to shift that dream into a strategic goal.

So, I made a plan and executed it. The result? Bliss Day Spa now operates in a space that I own, and I haven’t looked back since. This is the story of how I turned that vision into reality and the steps that can help you do the same.

Why Buy Commercial Property for Your Business?

1. You Build Equity, Not Just Rent Receipts: When you own your space, you’re investing in an appreciating asset. Every payment chips away at a loan, not vanishing into a landlord’s pocket. That equity builds your future wealth.

2. Stability and Control: Ownership brings predictability. You’re no longer subject to sudden rent hikes or the threat of non-renewal. You can plan long term and invest confidently in your business without fear of being moved along.

3. Tax Advantages: Owning commercial property comes with perks, like depreciation and mortgage interest deductions. For example, my air con unit, carpet, and even the new kitchen are all depreciable over time. These deductions make a big difference come tax time.

4. Long Term Investment Potential: Commercial real estate typically appreciates over time. In Sydney, we’ve seen the market bounce back with force as interest rates ease. That’s great news for those of us who bought in.

5. Additional Revenue Streams: If your space allows, you can lease out rooms to other professionals. Unlike renting, owning gives you full control over subleasing, no landlord approval needed, no rent hikes triggered.

6. Operational Flexibility: You can finally renovate and reconfigure as you please. I’ve divided large rooms, removed plumbing, and planned future renovations, all without needing anyone’s permission.

7. Financial Predictability: A fixed rate mortgage gives you consistency, no more annual rent increases to navigate. I remember the sting of an unexpected rent jump in my early Bliss Day Spa days. That was a turning point.

8. Asset Diversification & Retirement Planning: Owning a commercial property boosts your asset portfolio, something banks look on favourably. And down the track, the property can become a source of retirement income through leasing or selling.

How to Prepare Your Business to Purchase Property

This process doesn’t happen overnight, but it is very doable with planning.

1. Assess Your Financial Health: Gather your financial statements from the past 2–3 years: profit and loss, balance sheets, and cash flow reports. You may be pleasantly surprised to see how well you’re doing!

2. Understand Your Credit: Before you approach a bank, check your credit history. One missed phone bill can haunt you for years, as a friend of mine learned the hard way. Pay off debts, pay on time, and aim for a healthy credit score.

3. Start Saving for a Deposit: Aim for at least 20% of the property’s purchase price. Open a dedicated savings account or offset account to demonstrate financial readiness.

4. Boost Revenue and Trim Expenses: Look for areas to improve income, marketing, staff performance, retail lines and audit your expenses. For example, reducing towel orders saved me $300/month, which I redirected to marketing.

5. Explore Lending Options: Talk to brokers, compare interest rates, and understand the differences between residential and commercial loans. For us, refinancing our home made more financial sense than taking a commercial loan.

Get the Right Team Around You

• Broker: My broker guided me through multiple banks before landing on the right one.

• Accountant: Ours helped us set up a trust to purchase the property, offering protection and tax benefits.

• Solicitor & Agent: These pros helped navigate zoning, contracts, and negotiations.

Negotiating and Purchasing Your Property

Persistence pays off. I approached my landlord three times before he finally agreed to sell. I offered a bit above market value, but when I factored in the cost of relocating and fit out, it was a smart trade off. Don’t be afraid to explore new locations if your current landlord won’t budge, your clients will follow you.

Bonus Tips from My Journey

• Zoning matters: Make sure the property is approved for your type of business. Dreaming of a house turned salon? Check local council rules first.

• Document everything: A comprehensive business plan, market research, and financial forecasts make it easier to secure finance.

• Start early: I began working with my broker 18 months before purchasing. The earlier you prepare, the smoother it goes.

Final Thoughts

Owning your business premises is more than a financial milestone, it’s a statement of independence, vision, and legacy. Whether you’re just starting to dream or you’re nearly there, know that it’s possible. I did it and you can too !!

So here’s to building not just a business, but a future you can stand brick by brick, room by room, dream by dream.

Danni xx