Property development can be one of the most rewarding investment strategies - but it requires significant funding to get projects off the ground. Whether you are planning a ground-up residential build, converting an office block into apartments, or undertaking a large-scale commercial development, having the right finance in place is crucial.
At Business Helpline, we specialise in arranging development finance tailored to your needs. From £100,000 loans for small-scale refurbishments to multi-million-pound funding for complex schemes, we connect developers with bespoke funding solutions that are flexible, competitive, and designed to meet the unique challenges of the UK property market.
We offer access to a wide panel of specialist lenders, high street banks, and private investors. Our expertise lies in structuring tailored debt solutions with features such as:
Introduction to Development Finance
Whether you are an experienced developer or embarking on your first project, Business Helpline is your trusted partner in sourcing development finance.
Funds are typically released in stages, aligned with key project milestones. This ensures capital is available when needed, while keeping interest costs efficient.
- Flexible pricing structures to match project timelines.
- Bespoke term debt aligned with exit strategies.
- Stage-drawn funding that supports cash flow during construction.
What Is Development Finance?
Development finance works differently from standard mortgages or term loans. Instead of a single lump-sum loan, funding is usually released in drawdowns as the project progresses.
Key Features of Development Finance:
- The purchase price or current value of the site/building.
- The costs of construction, refurbishment or conversion.
- The Gross Development Value (GDV) - the estimated value of the property once completed.
How Does Development Finance Work?
At Business Helpline, we are more than just brokers - we are partners in your project’s success. Our role is to navigate the complexities of property development funding, ensuring you receive a bespoke solution that aligns with your vision.
Why Developers Trust Us:
- Initial Loan Advance - A portion of the loan is released upfront to secure the site or property.
- Stage Payments - Further funds are drawn down at agreed stages (e.g., after foundations, completion of shell, or final fit-out).
- Monitoring Surveyor - An independent surveyor verifies progress before each drawdown, ensuring funds are released in line with construction progress.
- Interest Payments - Interest is charged only on funds drawn, not the total facility.
- Exit Strategy - The loan is repaid either by sale of the completed development or refinancing onto a longer-term facility.
Why Choose Business Helpline for Development Finance?
Development finance is not one-size-fits-all. Different projects require different funding solutions.
This type of finance is used for building new properties from scratch. It covers everything from land acquisition through to construction costs.
- Loan terms typically range from 6 months to 36 months.
- Loan sizes from £100,000 to £50 million+.
- Loan-to-GDV (Gross Development Value) typically up to 60–70%.
- Loan-to-Cost (LTC) up to 80–90%, depending on the lender.
- Available for both residential and commercial developments.
Types of Development Finance
When a property requires significant structural work - such as extensions, major internal re-configurations, or complete fit-outs - heavy refurbishment finance is ideal.
Conversion finance is designed for projects that transform one type of property into another. Examples include:
- Specialist Expertise: We focus exclusively on property and development finance.
- Bespoke Structuring: Every project is different, so we design debt solutions around your needs.
- Wide Lender Panel: Access to high street banks, challenger banks, private lenders, and specialist funds.
- Speed & Efficiency: We understand time is money in development. Our strong lender relationships help accelerate approvals.
- Support Beyond Funding: From valuations to legal processes, we guide you at every stage.
Residential vs. Commercial Development Finance
This covers less extensive works, where the property remains structurally sound but requires cosmetic or moderate upgrades. Examples include:
Business Helpline arranges funding for both residential and commercial projects.
- Suitable for residential housing developments, apartment blocks, or new commercial buildings.
- Lenders assess the Gross Development Value (GDV) to determine funding.
- Loan-to-GDV ratios usually max out around 65–70%.
- Funds released in stages tied to build milestones.
Loan Structures and Flexible Terms
Residential Development Finance:
Commercial Development Finance:
- Typically shorter-term than ground-up development loans.
- Common for upgrading dated residential or commercial properties.
- Loan-to-Cost ratios can reach up to 80–85%.
Key Considerations for Developers
We tailor finance to suit the property type, planning restrictions, and anticipated exit strategy.
One of Business Helpline’s strengths lies in structuring bespoke finance facilities. Unlike standardised loans, we negotiate terms to align with your project’s cash flow and completion schedule.
- Converting an office block into residential apartments.
- Turning a single dwelling into multiple flats.
- Changing commercial units into student accommodation.
- Highly attractive for investors due to potential uplift in value.
- Planning permissions and building regulations play a key role.
Documents Required for Development Finance Applications
Our Flexible Solutions Include:
When applying for development finance, lenders will consider:
- Kitchen and bathroom replacements.
- Roof repairs or redecoration.
- Light refurbishments to improve rental yields.
- Renovation finance is faster and simpler to arrange than ground-up funding.
- Lenders may assess projects as 'light refurbishment' if they don’t require planning permission or structural work.
Case Studies
To secure development finance, lenders typically request:
Busines Helpline assists clients in preparing and presenting these documents to maximise the chance of approval.
- New-build homes or flats.
- Conversions of existing buildings into dwellings.
- Student housing projects.
- Social or affordable housing schemes.
Frequently Asked Questions (FAQs)
Office Conversion into Apartments A developer approached us needing £2.5 million to convert an office building into 40 residential flats. We sourced a facility at 65% GDV with staged drawdowns. The project completed successfully, with refinancing arranged onto a buy-to-let portfolio loan.
New-Build Residential Scheme A client required £6 million for a 20-home development in the South East. We structured finance at 70% GDV with rolled-up interest, ensuring cash flow stability throughout the build.
- Office-to-residential conversions under permitted development rights.
- Retail units, warehouses, or industrial builds.
- Mixed-use schemes (residential with commercial ground floors).
- Hotels, care homes, or student residences.
Why Partner with Business Helpline?
Student Accommodation Development A specialist developer needed £12 million to construct a new student residence. We arranged bespoke debt with a flexible term structure and interest roll-up until completion.
Q: How much can I borrow with development finance? A: Facilities typically range from £100,000 to £50 million+, depending on project size.
- Interest Roll-Up: Interest can be rolled up and paid at the end of the loan.
- Deferred Payments: Structure payments to ease cash flow during construction.
- Stage Drawdowns: Funds released as and when you need them.
- Exit Finance: Bridging loans to refinance developments before sale or long-term letting.
Contact Business Helpline
Q: How long are development finance terms? A: Usually 6–36 months, with flexibility depending on build schedules.
Q: Do I need planning permission in place? A: Yes, most lenders require full planning approval before releasing funds.
Q: What is GDV? A: Gross Development Value — the estimated value of the property once completed.
Q: Can first-time developers access finance? A: Yes, though lenders may require stronger equity contributions or joint ventures with experienced partners.
Ready to secure finance for your development project? Whether you are planning a ground-up build, major refurbishment, or commercial conversion, Business Helpline can arrange the funding you need.
Business Helpline — powering property development through bespoke finance solutions.
- Experience: Previous track record in development carries weight.
- Project Viability: Lenders review plans, costs, and projected GDV.
- Planning Permissions: Fully approved planning permission is usually required.
- Exit Strategy: Clear repayment route (sale or refinance).
- Equity Contribution: Developers must usually contribute 10–30% of total project costs.
- Full details of the development project.
- Planning permission documents.
- Detailed cost breakdowns and build schedules.
- Professional team information (architects, contractors).
- Evidence of developer experience.
- Personal ID and financial statements.
- Specialist Broker: We focus on property and development finance.
- Tailored Debt Solutions: No two projects are the same; we build structures to suit your needs.
- Large-Scale Capabilities: From £100k to tens of millions, we handle projects of all sizes.
- Strong Lender Relationships: Access to mainstream banks, challenger banks, and private funds.
- Transparent Service: Clear advice, fast communication, and no hidden costs.