Development Finance in London
CoreFi arranges development finance for London property projects, typically limited companies and SPVs funding ground-up build, conversion or heavy refurbishment. We match your scheme to lenders who fund London development. Loan-to-cost and loan-to-GDV figures are indicative and depend on the scheme, the exit and lender appetite.
Development finance funds the build cost of a property project, released in stages against the work as it completes, and is repaid when the finished scheme is sold or refinanced. Across London that spans a wide range: office-to-residential conversions in the City fringe and outer boroughs, ground-up residential in regeneration zones such as Croydon, Barking and the Thames Gateway, mixed-use schemes above retail on the high streets, and heavy refurbishment of period stock. London schemes are typically larger and more complex than the national average, and lender appetite varies sharply by zone, asset type and planning status. CoreFi is a commercial finance broker; we match your scheme to lenders whose criteria fit. We do not lend and we do not decide the outcome. Any loan-to-cost, loan-to-GDV or rate figure here is indicative and for illustration only.
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Send us the scheme
Share the site, the planning position, the build cost and programme, and your proposed exit. A one-page appraisal is enough to start, and it costs nothing.
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We match you to development lenders
We identify lenders whose appetite fits the location, asset type, leverage and your track record, and package the appraisal so it is presented properly.
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Review terms and proceed
Interested lenders issue indicative terms. Any loan-to-cost, loan-to-GDV or rate is illustrative until formally offered. You choose, and we help the deal through to facility.
How development finance is structured
A development facility usually funds a share of land or purchase cost plus most or all of the build cost, drawn down in stages as the project hits agreed milestones and is signed off by a monitoring surveyor. Lenders size the facility against two limits: loan-to-cost (a share of total project cost) and loan-to-GDV (a share of the expected end value, the gross development value). Interest is usually rolled up and paid at exit rather than monthly, so cash is not drained during the build. The exit, a sale of the units or a refinance onto a term facility or buy-to-let mortgage, has to be credible on the numbers. Terms run for the build period plus a sales window. The lender prices against the scheme, your experience and the exit, so we avoid quoting fixed figures up front.
What London development lenders look at
Lenders underwrite the scheme and the borrower together. On the scheme they look at planning status (consented schemes are far easier to fund than those at risk), the build cost and programme, the professional team, and the credibility of the end value and exit. On the borrower they look at your development track record, the SPV structure and the directors behind it. A first-time developer can still raise finance, but usually at more conservative leverage and often with a stronger contractor or monitoring arrangement. London's high values cut both ways: larger GDVs support larger facilities, but lenders scrutinise the sales assumptions closely because a soft market hits an over-optimistic appraisal hardest. We match your scheme to lenders comfortable with that zone, asset type and your level of experience.
Why bring your scheme to CoreFi
Development finance is a specialist market of challenger banks, dedicated development funders and private lenders, each with strong views on location, asset type, leverage and borrower experience. The wrong approach wastes weeks and can leave a good scheme looking shopped-around. We hold that appetite detail across our panel, so we can focus your appraisal on the lenders most likely to fund it at sensible leverage, and package it, the appraisal, costs, programme, planning and exit, so it is assessed properly the first time. We cannot promise leverage, a rate or an approval, because those sit with the lender and depend on the scheme. What we can do is match it well and present it clearly.
Frequently asked questions
Do you fund London developments without planning consent?
Consented schemes are far easier to fund. Some lenders will look at pre-planning or land with development potential, usually at lower leverage or via a bridge, but a credible route to consent is essential. We match the case to lenders comfortable with the stage you are at.
Can a first-time developer raise development finance?
Often yes, though usually at more conservative leverage and sometimes with a stronger contractor or monitoring arrangement. Your professional team and a realistic appraisal carry weight. The lender assesses your specific scheme and experience.
What figures can I expect?
Leverage is measured against loan-to-cost and loan-to-GDV, and both vary by lender, scheme and experience. Any figure we discuss up front is indicative only; the actual terms come from the lender after they assess the appraisal.
How is development finance repaid?
From the agreed exit: a sale of the completed units or a refinance onto a term or buy-to-let facility. Lenders test the exit closely, because it is how the facility is cleared. We help you evidence a credible exit.
Get matched with lenders for your London business
Tell us what your business needs and we will match you with lenders whose criteria fit. No obligation, no cost to start the conversation, and a straight answer about what is realistic for your situation.
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