Many lenders base their commercial loan interest rates depending on your level of risk on their risk matrix. This risk matrix generally considers the following:
Location, condition and appeal of the security property.
Current as well as future state of the local property market.
Ability to repay the mortgage, LVR and asset position of the borrower.
Management experience or track record.
Your property portfolio and the level of diversification.
Length of time until the lease(s) expires.