Development finance across the UK

Development finance, structured from site to exit.

For site acquisition, ground-up construction, conversion, heavy refurbishment and development exits—access specialist lenders with advice built around cost, timing, drawdowns and a credible route out.

Book a free 30-minute conversation Model the funding
Your initial conversation and project assessment are free.

We assess the project and present appropriate development finance solutions without charge or obligation. You only pay Willow if you decide to proceed, after every cost has been explained.

Development finance is usually released in stages. Lenders assess the complete project: planning, team, cost plan, contingency, GDV and exit strategy.
Prime residential property with architectural plans prepared for development
Established since 2008 Experience through changing credit cycles
Specialist lender access Banks, debt funds and private lenders
Project-led structuring Cost, drawdowns, leverage and exit considered together
Dedicated adviser From first appraisal to drawdown and completion
Common funding routes

Match the facility to the stage of the project.

The right structure depends on more than the finished value. Timing, planning, cost evidence, borrower experience and the point at which capital is required all shape lender appetite.

Site and land acquisition

Secure a development opportunity with or without full planning in place.

Explore this route
Where it helps Conditional purchases, strategic land, auction sites and planning-led opportunities.
What lenders examine Planning status, purchase price, current use, comparable values and equity contribution.
Structure to consider A short-term acquisition facility that converts to development finance after conditions are met.

Ground-up development

Fund land and staged construction of residential, commercial or mixed-use schemes.

Explore this route
Where it helps Single units, multi-unit residential, phased builds and purpose-built commercial property.
What lenders examine Team experience, planning, build contract, cost plan, contingency, GDV and sales evidence.
Structure to consider An initial land advance followed by monitored drawdowns against completed work.

Conversion and heavy refurbishment

Transform or reposition existing property where the scope exceeds light works.

Explore this route
Where it helps Office-to-residential, HMOs, permitted development, heritage assets and major renovation.
What lenders examine Existing fabric, works schedule, planning, contractor capability, contingency and end use.
Structure to consider Day-one acquisition or refinance plus staged funding for eligible works.

Mid-build refinance and completion

Replace an existing facility or solve a capital gap before the project is complete.

Explore this route
Where it helps Cost overruns, lender maturity, delayed drawdowns or a change in scope or programme.
What lenders examine Works completed, remaining costs, quantity surveyor reports, title and current lender position.
Structure to consider Refinance of existing debt with controlled funding to reach a defined completion point.

Development exit finance

Repay the build facility and create time to sell units or arrange longer-term debt.

Explore this route
Where it helps At or near practical completion where sales or refinance will take longer than the current term.
What lenders examine Remaining works, warranties, certificates, sales position, completed value and redemption.
Structure to consider A lower-friction exit facility with partial release terms aligned to unit sales.

Complex and mixed-use projects

Build a tailored capital stack for specialist assets, larger schemes or higher leverage.

Explore this route
Where it helps Mixed-use, hotels, healthcare, multiple titles, phased sites and larger loan sizes.
What lenders examine Each income and valuation component, sponsor strength, presales, operator and exit routes.
Structure to consider Senior or stretch-senior debt, mezzanine, preferred equity or a joint-venture solution.

Not sure where to begin? Model an indicative facility below, then share the project inputs with an adviser for a more detailed appraisal.

Model the funding
How lenders appraise development

The spreadsheet is only one part of the decision.

A viable scheme connects the planning position, delivery team, build budget, contingency, leverage and exit. Weakness in one area can alter the funding structure across the whole project.

Let us assess the complete project before you commit.

We review the site, planning, delivery team, costs, leverage and exit, then present appropriate routes for free. There is no obligation to proceed.

Site & planning

The lender starts with what can legally and practically be delivered.

Planning status, title, rights, existing use and valuation establish the security position. Conditions, abnormal costs or a consent still in progress can materially change leverage and lender selection.

  • Planning permission, conditions and Community Infrastructure Levy position
  • Title, access, services and any restrictive covenants
  • Purchase price, current value and valuation assumptions
Ask an adviser to assess the project
Indicative project model

See leverage, equity and profit in one view.

This improved calculator separates the initial land advance from staged build funding, adds professional costs and contingency, and measures both loan-to-cost and loan-to-GDV.

  • Model the total development cost, not build costs alone.
  • Estimate interest on the land advance and the average staged build balance.
  • See indicative borrower equity and profit after finance costs.

Development finance calculator

Adjust any field—the appraisal updates instantly.

Project costs and value
Indicative funding assumptions
Applied to purchase price / site value.
Usually released in arrears by stage.
Average build balance used for interest.
Indicative gross facility £0
0% LTC 0% LTGDV 0% margin on GDV
Total project cost £0
Initial land advance £0
Build facility £0
Estimated interest £0
Lender fees £0
Indicative borrower equity £0
Profit before finance £0
Profit after finance £0

The assumptions produce high leverage or a weak profit margin. That does not automatically make the project unfundable, but lender appetite may narrow and additional equity or a different capital structure may be needed.

Illustrative only. The model assumes the initial land advance remains outstanding for the full term and applies the selected average drawdown profile to the build facility. It excludes valuation, monitoring, legal, broker and some lender-specific costs. It is not financial advice or a formal offer.

How the structure changes

Three project stages. Three different funding priorities.

These illustrative scenarios show why development finance should be designed around the project’s current position rather than selected by headline rate alone.

Acquisition Planning

Securing a site before the full build facility

A short acquisition structure can create time to satisfy planning conditions, refine the cost plan and move into development funding with a stronger package.

Priority: certainty on purchase and a defined route into build finance.
Conversion Staged works

Funding a heavy refurbishment programme

The facility needs to reflect the building’s current condition, the construction schedule and how drawdowns will support cash flow as value is created.

Priority: eligible works, monitoring and sufficient contingency.
Practical completion Exit

Creating time for completed units to sell

Exit finance can repay the development lender and provide a more suitable sales period, with release terms structured around unit completions.

Priority: completed value, sales velocity and partial-release mechanics.
A controlled funding process

From first appraisal to final exit.

Development finance moves through valuation, credit, legal and monitoring stages. Preparing the right evidence early helps the facility keep pace with the project.

Define the project

Site, planning, costs, programme, team, funds required and intended exit.

Model the structure

Initial advance, staged drawdowns, fees, interest, leverage and equity.

Place the case

Match the risk and project profile to suitable lender appetite.

Complete & draw

Coordinate valuation, quantity surveyor, legals and conditions precedent.

Manage to exit

Monitor milestones, drawdowns, changes and the sale or refinance strategy.

No fee before you decide.

The initial conversation, project assessment and presentation of appropriate solutions are free. If you proceed, we explain Willow's fee and the expected lender, valuation, monitoring-surveyor, legal and other facility costs before you engage us—then manage the case through credit, completion, drawdowns and exit.

Development finance knowledge centre

Find guidance for the decision in front of you.

Choose a project topic and resource type. The library then shows only the most relevant Willow guides, market updates or real case studies.

1. Choose a development finance topic

Development finance, without the shorthand

Frequently asked questions.

Every facility is bespoke, but these answers explain the principles developers most often need before a first conversation.

Is there a fee for the initial conversation and project assessment?

No. Speaking with an adviser, assessing your project and presenting appropriate development finance solutions are free and carry no obligation. Willow only charges if you choose to proceed. Before you engage us, we explain Willow's fee separately from lender, valuation, monitoring-surveyor, legal and other project or facility costs.

How does development finance work?

An initial advance may fund part of the land purchase or refinance existing debt. Construction funds are then released in stages, usually after a monitoring surveyor confirms completed work. Interest is commonly rolled up and repaid when the development is sold or refinanced.

How much can I borrow?

Lenders test several limits, including loan-to-cost and loan-to-GDV, as well as the percentage advanced against land and construction costs. The final amount also depends on planning, experience, project type, marketability and the strength of the exit.

Can a lender fund 100% of build costs?

Some lenders can fund up to 100% of eligible construction costs, subject to overall leverage limits and the borrower contributing sufficient equity towards the land, professional costs, contingency and other expenses.

Do I need previous development experience?

Not always. First-time developers may still be considered where the scheme is well structured and supported by an experienced contractor, architect, project manager and professional team. Lender choice may be narrower and additional equity can be required.

What is the difference between LTC and LTGDV?

Loan-to-cost compares borrowing with the total project cost. Loan-to-GDV compares borrowing—often including rolled interest and fees—with the expected completed value. Lenders normally assess both because each reveals a different part of the risk.

What happens if costs overrun or the project is delayed?

Lenders expect a realistic contingency and may require evidence that the borrower can cover overruns. If the programme changes materially, early communication is important because further funding, an extension or a refinance can take time to arrange.

What can repay the facility at completion?

Common exits include sales of completed units, refinance onto buy-to-let or commercial term debt, or a development exit facility that creates a longer sales period. The evidence needed differs for each route.

Why use a development finance broker?

Lenders differ significantly on property type, geography, borrower experience, leverage, drawdown mechanics, monitoring and exit. A specialist broker can shape the proposal, identify suitable appetite and coordinate the funding process through to completion.

Speak with a development finance specialist

Start with an initial project assessment.

Tell us the site, planning position, costs, programme, funding requirement and intended exit. You do not need a valuation, monitoring report or every document ready before making contact.

No fee. No obligation. Understand the route before you commit.

We identify and present appropriate development finance solutions for free. You decide whether to proceed only after the costs are clear.

  • Free initial conversation with a development finance specialist
  • Free assessment of the project, structure and exit
  • Willow's fee and third-party costs explained separately before engagement
  • If you proceed, we manage the case through completion, drawdowns and exit
Book a 30-minute conversation Choose a convenient time with an available specialist finance adviser Call a development finance specialist Best for a live site, fixed deadline or more involved funding structure Email your project appraisal Send the site, planning position, cost plan, GDV, borrowing requirement and exit Begin on WhatsApp Useful for a quick introduction, an urgent question or when you are travelling

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Willow Private Finance Ltd is authorised and regulated by the Financial Conduct Authority and is entered on the Financial Services Register under reference 588422. Development finance is secured against property. Your property may be repossessed if you do not keep up repayments on a mortgage or other debt secured on it. Some forms of property finance are not regulated by the Financial Conduct Authority.