Senior development finance
The primary funding line for a development scheme — typically the first-charge facility covering the majority of build cost, released in stages against a certified drawdown schedule.
What is senior development finance?
Senior development finance is short-term, first-charge lending secured against a development site and released in stages as construction progresses. It sits at the top of the capital stack — the lender is repaid first from either sale proceeds or a refinance — which is why it carries the lowest cost of any tranche in the stack but also the most conservative leverage.
Most schemes fund the rest of the cost stack — the portion above what senior debt will cover — with developer equity, mezzanine finance, or a JV equity partner. We size and structure that alongside the senior facility so the whole stack is agreed as one plan.
Who it's for
Experienced developers with a scheme that has, or is close to, planning consent.
Ground-up new build, conversion or heavy refurbishment across residential, PBSA, BTR and mixed-use.
Schemes with a credible route to sale or long-term refinance on completion.
How it works
Eligibility
Full or detailed consent preferred; some panel lenders will consider outline consent or a strong resolution to grant.
Costs
Typically the lowest-cost tranche in the stack, reflecting its first-charge position. Indicative figures — subject to status, valuation and lender criteria.
When to use senior development finance vs. the alternatives
Questions on senior development finance
How much can I borrow?
Typically up to 90% of build cost or 65% of GDV, whichever is lower — the exact figure depends on the scheme, location and your track record.
Do I need planning consent already?
Full or detailed consent is preferred; some lenders on the panel will consider outline consent or a strong resolution to grant.