Property Development Finance & Development Loans
We will find the Perfect Funding for your project,
and deliver it with unparalleled service.
With access to 130+ specialist lenders we find, structure and negotiate the right funding for your project, then project manage the process through to completion.
The Best Deal for Your Project
We compare a wide range of specialist lenders, negotiate terms, and identify the best options for your project.
Finance a Wide Range of Projects
New builds, conversions, refurbishments, land, part-complete and complex funding structures.
Your Development Finance Broker, From Start to Finish
Funding Capabilities
Up to 75%
Gross Development Value (GDV)
100%
of Your Build Costs Funded
£500k - £50m
Typical Loan Sizes for our Development Finance
Up to 95%
of Total Project Costs with Senior Stretch and Mezzanine
Development Finance for a Wide Range of Projects
Click on Your Project Below to Learn More
Development Finance for Ground-Up Builds
Fund your construction project from land purchase to final completion.
Whether you’re building from the ground up or completing a major refurbishment, we arrange development loans that finance both the land and the build — giving you the capital you need to deliver your project confidently and efficiently.
Common scenarios include:
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Purchasing land and funding a full new-build scheme.
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Building multiple houses, a block of flats, or mixed-unit developments.
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Converting large or complex buildings into modern residential units.
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Developers needing 100% of build costs funded via staged drawdowns.
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Large refurbishments or redevelopment where works exceed traditional bridging limits.
What to expect:
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Typically up to 65–75% of GDV, with 100% of build costs funded.
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Up to 75% of purchase price (or land value) on day one.
- If the land value is higher than purchase price, then up to 90% of purchase price can be arranged (sometimes more..)
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Drawdowns released against independent monitoring surveyor (IMS) reports.
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Rolled-up interest and fees added to the facility for better cash flow.
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Funding available from £500,000, with no maximum, depending on project size. For smaller projects, go to our Bridging Finance page and check ‘Refurbishments’
At Xcel Finance, we specialise in structuring development loans that match the complexity and ambition of your project. We’ll prepare a full proposal pack, compare offers across our lender panel, and negotiate the best structure for your site. From initial terms to drawdown and monitoring, we stay with you throughout the build.
If you’re planning a new-build scheme or major redevelopment, get in touch to discuss your project — we’ll guide you through every step.
Development Finance for Land Acquisition & Planning
Buy land early, secure planning, and unlock uplift value.
Development often begins long before a spade hits the ground. We arrange finance for land purchases, pre-planning work and planning-gain strategies.
Common scenarios include:
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Buying land with or without planning permission.
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Securing sites subject to planning.
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Funding planning applications, design work, surveys, or early professional fees.
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Developers aiming to enhance value and refinance or sell post-consent.
What to expect:
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Funding available for land purchase + planning-stage costs.
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Rates tailored to planning status and exit strategy.
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Ideal for developers, land promoters, and investors seeking planning uplift.
We regularly help developers and land investors secure funding before planning consent is in place. Our team knows how to position early-stage sites to lenders, highlight planning potential, and ensure your finance supports your strategy — whether you intend to build, refinance or sell post-consent.
If you’re acquiring land or seeking planning-gain finance, get in touch — we’ll help you secure the right structure to move forward.
Joint Venture Finance for Property Development
Partner with experienced funders to finance projects with minimal initial capital.
Where developers have strong experience and good schemes but limited upfront cash, JV funding can provide up to 100% of costs in return for a profit share.
Common scenarios include:
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Developers with skills and track record but limited capital.
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Investors seeking hands-off exposure to development returns.
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Projects where profit share makes more sense than high-interest debt.
What to expect:
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Typically covers all or most of land + build costs.
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Profit-share structure agreed upfront.
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Ideal for experienced developers with a strong exit strategy.
JV funding is all about matching strong developers with the right investment partners. We’ll review your scheme, prepare your numbers, and introduce you to experienced JV funders who understand your vision. Our expertise ensures you secure a fair structure and a smooth funding journey.
If you’re exploring JV options, get in touch — we’ll help you access experienced partners who can fund your next project.
Large Refurbishment Projects
Large Refurbishment Projects
Fund major refurbishment and redevelopment works from acquisition through to completion.
Whether you’re upgrading an existing property, carrying out structural works or undertaking a substantial refurbishment before refinance or sale, we arrange development finance designed around the cost, programme and complexity of your project.
Common scenarios include:
- Major residential refurbishments involving significant structural or internal works.
- Converting or reconfiguring existing buildings into houses, flats or HMOs.
- Extensions, additional floors and substantial improvements to increase value.
- Projects where refurbishment costs are too high for traditional bridging finance.
- Developers requiring staged funding to cover works throughout the project.
What to expect:
- Typically up to 65–75% of GDV, with 100% of eligible refurbishment costs potentially funded.
- Up to 75% of the purchase price or existing property value on day one, up to a maximum of 90% if the ‘value’ is higher than the purchase price, or 100%+ with additional security.
- Works funding released in stages against independent monitoring surveyor reports.
- Rolled-up interest and fees can be added to the facility to help preserve cash flow.
- Funding available from £500,000 to £50m+, depending on the project and lender. For smaller projects, check our Bridging Finance page.
At Xcel Finance, we’ll assess the purchase, refurbishment budget, projected end value and exit strategy to structure the right facility for your project. We’ll prepare the lender proposal, compare suitable development finance options and negotiate the funding structure, then stay involved throughout the works and drawdown process.
If you’re planning a substantial refurbishment or redevelopment, speak to us about the project and we’ll help structure the finance from acquisition through to completion.
Part Complete or Existing Projects
Part-Completed or Existing Development Projects
Refinance an existing development facility, raise additional funds or secure the finance needed to complete a project already underway.
Whether your current development loan is approaching maturity, costs have increased or the original lender can no longer support the project, we can arrange replacement or additional development finance to help get the scheme through to completion.
Common scenarios include:
- Refinancing an existing development loan before it reaches maturity.
- Part-completed developments requiring additional funding to finish the build.
- Cost overruns or increased construction costs creating a funding shortfall.
- Stalled projects where the existing lender will not release further drawdowns.
- Developers looking to replace an expensive or restrictive lender.
- Projects delayed by planning, construction or sales issues that need more time.
What to expect:
- The new lender will assess the current value, outstanding debt, remaining build costs and projected GDV.
- A monitoring surveyor may review the work completed and confirm the cost required to finish the project.
- The new facility can potentially refinance the existing lender and provide further funding for the remaining works.
- Interest can usually be rolled up, helping preserve cash while the development is completed.
- A clear revised programme and credible exit strategy will be particularly important.
At Xcel Finance, we’ll review the existing facility, understand what has changed and build a clear funding proposal around the remaining project. We’ll negotiate with lenders experienced in part-completed and development refinance cases, structure the replacement finance and work with the outgoing lender, incoming lender, surveyors and solicitors to keep the transition moving.
If your existing development finance is running out of time or money, speak to us early — we’ll help find a practical route to completion.
Property Developer Finance for Build-to-Rent Projects
Funding for developers keeping units as investments.
For schemes being retained rather than sold, specific development finance structures can help support the build and transition to long-term BTL finance.
Common scenarios include:
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Developers delivering blocks to be retained.
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PRS/BTR investors building long-term income streams.
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Developers moving from sales exit to refinance exit.
What to expect:
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Development funding through build phase.
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Pre-approved refinance terms for a smoother exit.
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Ideal for long-term holders of multi-unit blocks.
Whether you’re converting, building or retaining units, we understand the journey from construction through to long-term investment finance. We’ll secure the right development structure and help you line up an efficient exit route into a BTL or commercial investment loan.
If you’re building units to retain, talk to us — we’ll help you secure the right funding now and for your long-term strategy.
Property Development Finance for Conversions & Mixed-Use Projects
Finance for office, shop, industrial and mixed-use buildings being transformed into modern homes.
Many of today’s strongest development opportunities come from converting commercial or mixed-use buildings. We secure finance for schemes using permitted development rights (Class MA, G, L) or full planning.
Common scenarios include:
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Office-to-residential conversions into flats or apartments.
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Retail or commercial buildings being converted into mixed-use schemes.
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Industrial or warehouse buildings transformed into residential blocks.
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Part-residential, part-commercial developments.
What to expect:
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Funding up to 70-75% GDV, with full build costs included.
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Suitable for heavy structural works or full reconfiguration.
- Up to 75% of the purchase price or existing property value on day one, up to a maximum of 90% if the ‘value’ is higher than the purchase price, or 100%+ with additional security.
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Lenders comfortable with commercial valuations and PD schemes.
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Ability to refinance onto investment finance once units are retained.
Conversions often come with unique challenges — commercial valuations, planning conditions, cashflow sequencing, and heavy works. We understand these projects inside-out and will structure your development finance to keep the build moving smoothly. We’ll package your scheme professionally and introduce lenders who truly understand conversion projects.
Speak with us today about your upcoming conversion or mixed-use project — we’ll help you get the funding right first time.
Development Exit Finance & Development Exit Loans
Reduce costs, release profits, and extend your sales window.
Once construction nears completion, development exit loans replace your existing development facility. This reduces interest, releases capital, and gives you time to achieve the best sales values.
Common scenarios include:
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Completed schemes where developers want more time to sell.
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Projects nearing completion where the final development drawdown is slow, or where additional funds are required.
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Releasing equity to fund the next site.
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Switching away from expensive end-of-term development rates.
What to expect:
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Funding based on the current value of the completed scheme, up to 75-80% LTV.
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Typically lower rates than development finance.
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Options for capital raise where surplus value exists.
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Flexible terms aligned to your sales or refinance strategy.
We help developers reduce costs, release equity and extend sales time by arranging smooth transitions from development finance to exit funding. We review your completed scheme, structure the refinance, liaise with your lender and keep the process moving quickly.
If your project is nearing completion and you need more time or want to release cash, get in touch — we’ll arrange the right exit finance.
Stretch Senior & Mezzanine Finance
Maximise leverage and reduce your equity contribution.
Where senior development loans don’t provide enough capital, mezzanine and stretch-senior facilities fill the gap — allowing you to put less cash into the deal while keeping full control of the project.
Common scenarios include:
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Developers seeking up to 90%+ loan-to-cost ratio.
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Schemes where build costs exceed senior lender limits.
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Developers wanting to retain liquidity for multiple projects.
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Budget overrun or unexpected cost increases during construction.
What to expect:
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Stretch senior loans up to ~75% GDV / 90–95% LTC.
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Mezzanine finance secured via 2nd charge behind the senior lender.
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Options to reduce equity input significantly.
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Used for top-up capital or to bridge funding gaps.
High-leverage structures require careful planning and expert presentation to lenders. We work across senior and mezzanine markets daily, allowing us to negotiate the best blended costs and minimise your equity input. We’ll build your lender pack, model the deal, and manage both funders throughout the project.
If you’d like to maximise leverage or reduce the cash you need to put in, talk to us — we’ll structure a solution that works.
Why our customers choose us to arrange their funding
Jamie Lloyd | Specialist Finance Broker
Jamie specialises in Development Finance, using his experience and lender relationships to find practical solutions, particularly for complex projects.
You’ll deal directly with him from first enquiry through to completion. He takes ownership, working alongside you and your professional team to solve problems, provide clear advice and keep things on track.
An experienced specialist in your corner from project concept to completion.
How We Help Get Your Development Funding in Place
You’ll deal directly with an experienced development finance broker who takes ownership of the process, negotiates with lenders and works alongside your professional team..
1. Assess Your Development
We review the site, planning, construction budget, projected GDV, experience and exit strategy, identifying the funding requirements and potential obstacles. The funding strategy will be built around your specific needs.
2. Find and Compare Lenders
We shortlist suitable lenders, prepare the funding proposal, negotiate terms and provide a like-for-like comparison of costs, funding levels and conditions. We’ll ensure that the solution is perfect for your situation and objectives.
3. Package and progress the case
We coordinate the application, valuation, monitoring surveyor requirements and legal process, working with lenders and your professional team to resolve queries and allow you to focus on the project.
4. Manage through to completion
We project manage requirements, negotiate where necessary and coordinate the process towards the initial loan completion, with continued support on lender and drawdown matters throughout the project.
Get a Quick Development Finance Quote
Tell us about your project requirements, and we’ll be in touch to discuss your options.
Frequently Asked Questions
What is Property Development Finance and how does it work?
Unlike a normal mortgage, the lender will usually provide part of the funding at the start of the project and then release the remaining money in stages as the development progresses. This allows the facility to fund both the acquisition of the site and the construction costs.
The lender will assess the purchase price, development costs, projected Gross Development Value (GDV), your experience, the strength of the project and how the loan will ultimately be repaid.
Interest is commonly rolled up into the facility rather than being paid monthly, helping developers preserve cash during the build.
At Xcel Finance, we structure the facility around the complete project rather than simply finding a lender. We’ll assess the costs, programme, GDV and exit strategy, present the project professionally to suitable lenders and stay involved throughout the development to help keep the funding on track.
What types of property development projects can be funded?
Development finance can be used for a wide range of residential, commercial and mixed-use projects.
Typical projects include ground-up house building, blocks of flats, large residential refurbishments, conversions, change-of-use schemes, HMOs, commercial developments, mixed-use properties and build-to-rent projects.
Funding can also be available for land purchases, sites with planning permission, projects requiring further planning work and developments where the borrower already owns the site.
More specialist lenders may also consider complex projects such as part-completed developments, stalled schemes or projects where an existing lender needs to be refinanced.
The key is usually whether the project is commercially viable, the development costs are realistic and there is a clear route to repaying the development loan.
We’ll understand the project before approaching lenders and identify those whose appetite genuinely matches the scheme, helping avoid wasted time and giving the application the strongest chance of progressing to completion.
How much can I borrow with Property Development Finance?
The amount available will depend on the purchase price or current value of the site, total development costs and the projected value of the completed project.
Development lenders commonly assess the facility using both Loan to Cost (LTC) and Loan to Gross Development Value (LTGDV).
Depending on the scheme and lender, facilities may provide up to around 65–70% of the completed GDV, while potentially funding 100% of eligible build costs. The initial advance towards the land or property purchase may also be significantly higher than with conventional commercial lending.
The developer will normally need to contribute some equity, although the amount required can vary considerably depending on the site, existing equity, planning position and overall strength of the project.
We’ll model the whole capital requirement and compare lender structures, not simply headline rates. Where possible, we’ll structure the facility to reduce the amount of cash tied up while still leaving enough contingency for the project to complete successfully.
Can I get 100% Development Finance?
If you already own the land, then you’ll be able to raise all of the construction costs so long as any lending already secured on the site is at a reasonable level.
In most cases, lenders will require you to put in some of your own capital, so 100% financing is not a ‘standard’ option. Typically, a development lender might fund up to 80–90% of the project costs, meaning you must contribute the remaining 10–20% yourself
However, there are ways to achieve close to 100% funding through special arrangements. One option is to use mezzanine finance (a second, smaller loan on top of the main loan) to cover part of the required funding gap.
Another route is to enter a Joint Venture or profit-sharing agreement with an investor or the lender – in such cases the financier provides additional capital (even up to covering all costs) in return for a share of the profits on completion. These solutions can effectively allow for 100% funding, but they come at the cost of higher interest rates or giving up a portion of your profit. Always consult with your broker or financial advisor to determine if these options make sense for your situation.
Can first-time developers get Development Finance?
Yes. Some lenders will consider first-time developers, although the lender will usually look closely at the experience of the wider project team.
They may want to understand whether you have previously managed refurbishments or property investments, who your contractor is, what experience your professional team has and how realistic the development budget and programme are.
For larger or more complex projects, lenders may expect an experienced main contractor, project manager, architect, quantity surveyor or other professionals to be involved.
A strong project with sensible leverage and a credible team can sometimes be more important than the borrower having completed numerous developments previously.
We’ll help position the application around the strengths of the project and the team supporting you. We can also identify lenders comfortable with less-experienced developers rather than placing the project with lenders whose criteria make approval unlikely.
How are Development Finance funds released during the build?
Development finance is normally released in stages rather than providing the entire construction budget on day one.
The first advance is usually used towards the purchase or refinance of the site. The development funding is then drawn down as construction work progresses.
An Independent Monitoring Surveyor (IMS) will usually inspect the project and confirm the works completed, expenditure to date, remaining costs and whether the project remains on budget.
Once the lender is satisfied with the monitoring report, the next tranche of development funding is released.
The timing and structure of drawdowns can be critical to cash flow, particularly where contractors and suppliers require payment before the next stage of funding is available.
We stay involved after completion of the initial loan. Where drawdowns, monitoring reports or lender requirements create issues, we can work with the lender, monitoring surveyor and developer to resolve them and help keep money flowing when the project needs it.
What interest rates, fees and other costs are involved?
The overall cost of property development finance will usually include interest, lender arrangement fees, valuation and monitoring surveyor fees and legal costs.
Depending on the lender and project, there may also be exit fees or other charges.
Interest is usually charged only on the amount of the facility that has actually been drawn, rather than the whole development facility from day one. In many cases the interest is rolled up and repaid when the loan is redeemed.
Rates and fees vary considerably according to leverage, experience, project size, property type and lender appetite.
This means the lender with the lowest headline interest rate is not necessarily the cheapest or most suitable option overall.
We compare the whole funding package — including interest, fees, drawdown structure, equity requirement and lender flexibility — and negotiate the terms to find the most commercially suitable facility for the project.
How long does Property Development Finance take to arrange?
Timescales vary depending on the complexity of the development, but a well-prepared application can often move from initial terms to completion within several weeks.
The process will normally include lender underwriting, valuation, quantity surveying or monitoring reports, legal due diligence and review of the planning permission, build costs and professional team.
More complex developments may take longer, particularly where there are planning conditions, title issues, complex ownership structures or multiple lenders involved.
One of the biggest causes of delay is incomplete information being supplied at the beginning of the process.
We prepare the project properly before it reaches the lender, helping identify missing information and potential issues early. Once the application is underway, we coordinate with lenders, valuers, monitoring surveyors and solicitors to keep the transaction moving towards completion.
What information and documents will a Development Finance lender need?
This commonly includes details of the site or property, purchase price, planning permission, development appraisal, schedule of works, build cost breakdown, projected GDV, development programme and exit strategy.
They will also normally want information about the borrower, previous development experience, contractor and professional team.
Larger developments may require additional information such as quantity surveyor reports, cash-flow forecasts, planning documentation, building contracts, warranties and evidence of the developer’s equity contribution.
A clear and well-presented application can make a substantial difference to both lender appetite and the speed of underwriting.
We’ll help prepare a comprehensive lender proposal rather than simply forwarding documents. By presenting the project clearly — including the costs, profitability, experience, risks and exit — we can make it easier for lenders to understand and support the scheme.
When and how do I repay a Development Finance loan?
Development finance is normally repaid when the project reaches completion and the developer executes the agreed exit strategy.
For developments being sold, the loan is usually repaid from the proceeds of property sales.
If the developer intends to retain some or all of the completed properties, the development facility may instead be refinanced onto longer-term investment finance, buy-to-let mortgages, commercial mortgages or a development exit facility.
The lender will want to understand the proposed exit before agreeing the development finance because it is fundamental to how the loan will ultimately be repaid.
It is also sensible to consider the exit strategy well before the development reaches practical completion.
We’ll consider the exit from the beginning rather than waiting until the development loan is about to expire. Where properties are being retained, we can start arranging the refinance in advance so the transition from development finance to longer-term funding is as smooth as possible.
Can I refinance an existing or part-completed development?
Yes. Development finance can often be used to refinance an existing lender or provide additional funding to complete a project already underway.
This may be required where the current facility is approaching maturity, the original lender will not provide further funds, the project has experienced delays or development costs have increased.
A new lender will normally review the current condition of the project, costs already incurred, remaining construction budget, current value, completed GDV and revised exit strategy.
Part-completed developments can be more complex than new projects because the incoming lender needs to understand what has already happened and what remains to be completed.
This is an area where strong lender negotiation is particularly important. We’ll review the existing debt, remaining costs and project viability, then approach lenders comfortable with development refinance and work with all parties to create a credible route through to completion.
What is the difference between Development Finance and Bridging Finance?
Both are short-term forms of property finance, but they are designed for different purposes.
Bridging finance is generally better suited to property purchases, refinancing, lighter refurbishment or situations where funding is required quickly and most of the loan is needed at the beginning.
Property development finance is designed for projects involving substantial construction, conversion or major refurbishment. The lender assesses the completed GDV and normally releases the build funding in stages as work progresses.
For some projects there can be an overlap. A substantial refurbishment, for example, might be suitable for either a refurbishment bridging facility or development finance depending on the scale of the works and how the funding needs to be drawn.
We’ll assess the project rather than automatically recommending one product. By comparing bridging, refurbishment and development finance structures, we can select the funding route that gives you the right level of finance, flexibility and control throughout the project.
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