AustraliaCan my self-managed super fund invest in my own business property?
Yes, but only under strict conditions — your SMSF can buy business real property from you or your related parties only if it’s 'business real property' and the transaction is at market value and on arm's-length terms.
What the Law Says
The Superannuation Industry (Supervision) Act 1993 (SIS Act) generally prohibits SMSFs from acquiring assets from related parties — but a specific exception exists for business real property.
Your SMSF cannot buy most assets — including shares, artwork, or residential property — from you, your spouse, children, or other related parties. This is to protect retirement savings from conflicts of interest and improper use.
However, there is a narrow exception: your SMSF *can* acquire 'business real property' from a related party, provided it meets all conditions in the law. 'Business real property' means land or buildings used wholly and exclusively in one or more businesses — not residential or mixed-use property.
The purchase must be for full market value, as determined by an independent qualified valuer. The SMSF must also lease the property back to your business on genuine arm's-length commercial terms — e.g., market rent, written lease, no preferential treatment.
The SMSF trustee must document everything: valuation reports, lease agreements, board minutes approving the transaction, and evidence the property qualifies as business real property.
Statutory TextA trustee of a superannuation fund must not acquire an asset from a related party of the fund.
— Superannuation Industry (Supervision) Act 1993, s. 66(1) — Prohibition on acquisition of assets from related parties
Statutory TextSubsection (1) does not prevent the trustee from acquiring business real property from a related party if the acquisition is for full market value.
— Superannuation Industry (Supervision) Act 1993, s. 66(2)(b) — Exception for business real property
Statutory Text'Business real property' means real property that is used wholly and exclusively in one or more businesses.
— Superannuation Industry (Supervision) Regulations 1994, reg 13.22 — Definition of business real property
What to Do
Confirm the property is used *wholly and exclusively* in a business — no residential use, no personal use.
Obtain an independent, written valuation from a qualified valuer before purchase.
Ensure the SMSF pays exactly market value — no discounts, no deferred payments, no interest-free loans.
Enter into a formal, fixed-term commercial lease with your business — rent must reflect current market rates and be reviewed regularly.
Keep complete records: valuation report, signed contract, lease agreement, trustee resolution, and bank statements showing payment.
Sources
Not legal advice. This article is general information based on publicly available sources, written for educational purposes. Laws change and individual situations vary. Consult a licensed attorney in your jurisdiction before acting on anything you read here. Last reviewed: 2026-06-08.