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Top 10 Lenders for £900,000 Development Finance in 2026
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Top 10 Development Finance Lenders for £900,000 Projects
| Rank | Lender | Best for | Published loan range | Loan rate |
|---|---|---|---|---|
| 1 | One Stop Business Finance | Developers needing staged development finance with monthly interest from 1.6% | £100,000 to £3,000,000 | interest 1.6% to 3% monthly |
| 2 | Nucleus Commercial Finance | Developers requiring fast bridging ahead of planning consent being secured | £3,000 to £2,000,000 | mixed 1.15% to 17.5% monthly |
| 3 | Inhale Capital | Property investors needing rapid bridging for land purchases and light refurbishment | £0 to £2,000,000 | interest 1.05% to 1.3% monthly |
| 4 | Brightstar | Developers seeking flexible short-term property finance with annual rate pricing | From £50,000 | interest 5% to 12% annually |
| 5 | Momenta Finance | Established developers with strong trading history needing short-term bridging | £50,000 to £2,000,000 | interest 8% to 24% annually |
| 6 | mcl finance | Included for comparison; suited to smaller property projects up to £100,000 | £5,000 to £100,000 | interest 2.75% to 4% monthly |
| 7 | Barclays | Large-scale developers seeking bank-backed finance alongside existing banking facilities | £1,000 to £25,000,000 | interest 8.5% to 14.9% annually |
| 8 | United Trust Bank | Experienced developers requiring large-ticket bridging with a specialist lender | £100,000 to £35,000,000 | interest 5% to 12.5% annually |
| 9 | Ultimate Finance | Established developers with strong revenue seeking flexible property bridging | £10,000 to £10,000,000 | interest 6.5% to 14% annually |
| 10 | MT Finance | Residential developers needing competitive short-term finance at low monthly rates | £50,000 to £10,000,000 | interest 0.89% to 1.05% monthly |
Development finance provides staged funding to cover land acquisition and construction costs for property projects. For developers and investors planning medium-to-large scale residential or commercial schemes, this type of lending aligns capital release with project milestones rather than requiring a single upfront drawdown. A £900,000 facility can support anything from a small multi-unit residential build to a light commercial conversion, with funds drawn in phases as each stage of the development is completed.
Choosing the right development finance lender goes well beyond comparing headline interest rates. Developers should weigh loan-to-cost and loan-to-GDV ratios, as these determine how much of the project a lender will actually fund. Drawdown schedules and any associated fees can make a significant difference to cash flow across the build timeline. The exit strategy requirements also vary between lenders, with some insisting on a confirmed sale or refinance route before releasing the first tranche of funds.
Important note:
Funding Agent
Published loan rangeFrom £10,000 to up to £1,000,000
Rate typeInterest from 6.8% annually
Why it is included:It is included because many business owners need to compare several finance routes before choosing where to apply.
Funding Agent can help businesses compare suitable options across a lender panel, especially when eligibility depends on turnover, sector, trading history, credit strength and available documents.
Best use case: When the borrower wants to avoid applying to one lender at a time.
More info
Company stats
Eligibility
Loan range
Rates and debtor rules
Why it stands out
- Useful when a business wants to compare lender fit rather than guess which lender to apply to first.
- Can help position the application around the funding purpose, trading profile and available documents.
- Works well as a conversion route for readers who are unsure whether a direct lender will approve a larger unsecured facility.
Need to know
- Funding Agent is a broker, not a lender.
- The lender, not Funding Agent, sets the final rate, term, fees and approval decision.
- The best match may be unsecured, secured, revolving credit, invoice finance or another product depending on the case.
Expert take
Funding Agent is a useful honourable mention for business owners who want to compare lender options before submitting a full application. A larger unsecured loan is not always approved by the first lender a business finds, so understanding lender fit early can reduce wasted time and avoid unnecessary declines.
One Stop Business Finance
Published loan range£100,000 to £3,000,000
Rate typeinterest 1.6% to 3% monthly
Overview: Development finance up to £3 million is available, with rates from 1.6% monthly for qualifying projects. This lender treats property development as a core product, which means underwriting is built around construction drawdowns and exit planning rather than generic business lending. Funds typically reach borrowers within five working days. A clear exit strategy and suitable security will be required.
Best next step: Compare development finance terms for £900,000 property projects
More info
Company stats
Eligibility
Loan range
Rates and debtor rules
Benefits
- Development finance up to £3 million
- Core product with drawdown expertise
- Funding within five working days
Need to know
- Security and personal guarantee may be required
- Exit strategy must be clearly demonstrated
- Legal and valuation costs apply
Expert take
A specialist lender where development funding is not an afterthought. For a £900,000 project, the drawdown structure and sector-focused underwriting work in the developer's favour, supporting staged construction payments rather than a single lump sum.
Source:https://www.osbf.co.uk/
Nucleus Commercial Finance
Published loan range£3,000 to £2,000,000
Rate typemixed 1.15% to 17.5% monthly
Overview: Funding can land within 24 hours, which helps developers who need to move quickly on a site purchase before arranging longer-term development finance. Rates start from 1.15% monthly, though pricing depends heavily on the security offered and the strength of the exit. Loan amounts reach £2 million. The speed comes with the expectation of a cast-iron exit plan.
Best next step: Explore fast bridging options for development site purchases
More info
Company stats
Eligibility
Loan range
Rates and debtor rules
Benefits
- Funds available within 24 hours
- Loans up to £2 million
- Short-term bridge for site acquisition
Need to know
- Mixed rate structure applies
- Strong exit strategy is essential
- Property security required for all facilities
Expert take
A rapid-response lender suited to developers who need bridge funding to secure a site. The 24-hour turnaround works in the buyer's favour when competition for land is fierce, and the bridging model aligns with a refinance or sale exit strategy.
Inhale Capital
Published loan range£0 to £2,000,000
Rate typeinterest 1.05% to 1.3% monthly
Overview: Monthly rates from 1.05% make this one of the more cost-competitive property-backed lenders on the list. Funding decisions come within 24 hours, and facilities reach £2 million. The lender focuses on secured property lending, suiting developers who have existing assets or the development site itself to offer as collateral. Valuation costs and exit-risk checks will apply.
Best next step: Check competitive monthly rates for property-backed development funding
More info
Company stats
Eligibility
Loan range
Rates and debtor rules
Benefits
- Competitive rates from 1.05% monthly
- Decisions within 24 hours
- Loans available up to £2 million
Need to know
- Property security is mandatory
- Valuation and exit-risk checks apply
- Higher fees possible on complex deals
Expert take
A lean, property-focused lender that keeps monthly interest costs low for secured borrowers. For a developer raising £900,000, the 1.05% starting rate and quick decision process combine to make the numbers and the timeline work.
Brightstar
Published loan rangeFrom £50,000
Rate typeinterest 5% to 12% annually
Overview: With a minimum loan of just £50,000, this lender works as well for smaller schemes as it does for larger development projects. Annual interest rates run from 5% to 12%, and funding decisions typically land within 24 hours. The property-backed model is straightforward: secure the loan against the site or other property assets and demonstrate a viable exit. The annual pricing structure may suit longer development timelines.
Best next step: View annual-rate development finance from £50,000 upwards
More info
Company stats
Eligibility
Loan range
Rates and debtor rules
Benefits
- Low minimum loan from £50,000
- Annual rates from 5% to 12%
- Same-day funding decisions in many cases
Need to know
- Annual rate structure suits longer projects
- Property security is always required
- Exit viability will be closely assessed
Expert take
A versatile property lender whose annual pricing model can work out cheaper than monthly equivalents on projects spanning 12 months or more. For a £900,000 development, the low entry threshold signals a lender comfortable with varied deal sizes.
Momenta Finance
Published loan range£50,000 to £2,000,000
Rate typeinterest 8% to 24% annually
Overview: Bridging loans from £50,000 to £2 million are structured around the borrower's exit, whether a refinance or a completed sale. Annual rates range from 8% to 24%, and funds can be in place within 48 hours. This suits developers who need a short-term bridge to acquire land or start groundwork while arranging longer-term development finance. Strong trading history and security are expected.
Best next step: Compare bridging rates for development site acquisition
More info
Company stats
Eligibility
Loan range
Rates and debtor rules
Benefits
- Loans to £2 million for site bridging
- Funds available within 48 hours
- Flexible exit via refinance or sale
Need to know
- Annual rates from 8% to 24%
- Trading history will be assessed
- Security and personal guarantee likely
Expert take
An established SME lender that uses bridging to solve land-acquisition speed problems. For a developer targeting a £900,000 project, the 48-hour funding window and exit-flexible structure mean the deal can proceed while development finance is being finalised.
mcl finance
Published loan range£5,000 to £100,000
Rate typeinterest 2.75% to 4% monthly
Overview: Funds can land within four hours, making this the fastest-responding lender on the list. Monthly rates run from 2.75% to 4% on secured bridging loans. Property developers may find it useful for covering immediate pre-construction costs or bridging a short-term gap in a larger funding stack when the main facility is not yet drawn. Property security and a credible exit are non-negotiable.
Best next step: Explore fast small-scale bridging for development costs
More info
Company stats
Eligibility
Loan range
Rates and debtor rules
Benefits
- Funding in as little as four hours
- Monthly rates from 2.75%
- Quick bridging for early-stage costs
Need to know
- Maximum loan is £100,000
- Property security is mandatory
- Requires clear exit strategy
Expert take
A speed-focused lender whose four-hour turnaround is unmatched on this list. For a £900,000 development, it works best as a short-term cash-flow bridge rather than primary funding, covering urgent costs while the main facility completes.
Source:https://www.mclfinance.com/
Barclays
Published loan range£1,000 to £25,000,000
Rate typeinterest 8.5% to 14.9% annually
Overview: A high-street name with a lending ceiling of £25 million. Annual rates from 8.5% to 14.9% reflect mainstream bank pricing, and the product range covers development finance, bridging and commercial mortgages under one roof. The trade-off is bank-style underwriting, which means longer assessment times and stricter affordability checks than specialist lenders impose.
Best next step: Check Barclays development finance rates and terms
More info
Company stats
Loan range
Rates and debtor rules
Benefits
- Lending capacity up to £25 million
- Annual rates from 8.5%
- Full range of property finance products
Need to know
- Bank underwriting can be slower
- Strong trading history expected
- Personal guarantee may be required
Expert take
A mainstream bank that brings institutional stability to development lending. For a £900,000 project, the broad product suite means the developer can package site acquisition, construction funding and exit refinance with one lender, though bank processes will test patience.
United Trust Bank
Published loan range£100,000 to £35,000,000
Rate typeinterest 5% to 12.5% annually
Overview: Bridging facilities from £100,000 to £35 million are available, with annual interest rates starting at 5%. Funds typically land within 48 hours. For property developers, this lender's bridging product can serve as site-acquisition finance ahead of a longer-term development facility, or as a short-term solution while planning consent is secured. The annual rate structure may reduce costs on projects spanning several months.
Best next step: View bridging finance up to £35 million for development
More info
Company stats
Loan range
Rates and debtor rules
Benefits
- Loans available up to £35 million
- Annual rates from 5%
- Funding within 48 hours
Need to know
- Property-backed security is essential
- Annual pricing suits medium-term holds
- Valuation and legal costs apply
Expert take
A substantial property lender whose £35 million ceiling signals institutional-grade backing. For a £900,000 development, the bridging product offers a credible short-term funding bridge, with annual rates that keep costs predictable over the holding period.
Source:https://www.utbank.co.uk/
Ultimate Finance
Published loan range£10,000 to £10,000,000
Rate typeinterest 6.5% to 14% annually
Overview: Bridging decisions land within 24 hours, and the loan book stretches to £10 million. Annual interest rates range from 6.5% to 14%. The property-bridging arm sits within a broader asset-based lending group, which means developers with additional assets such as unpaid invoices or equipment may find complementary funding options under one roof. A clear exit and suitable security are required.
Best next step: Compare fast bridging terms up to £10 million
More info
Company stats
Eligibility
Loan range
Rates and debtor rules
Benefits
- Decisions within 24 hours
- Lending capacity up to £10 million
- Annual rates from 6.5%
Need to know
- Exit strategy must be clearly defined
- Property security is mandatory
- Asset eligibility checks apply
Expert take
A well-capitalised lender where property bridging sits alongside invoice and asset finance. For a £900,000 development, the 24-hour decision speed is a genuine advantage, and developers running a trading business may unlock additional working capital from the same group.
MT Finance
Published loan range£50,000 to £10,000,000
Rate typeinterest 0.89% to 1.05% monthly
Overview: Monthly rates from 0.89% are among the lowest on this list, which matters when holding costs erode development margins. Loans run from £50,000 to £10 million, with funding decisions within 24 hours. The lender focuses squarely on property-backed bridging, suiting developers who need site acquisition funding or a bridge while planning permission is finalised. Security and exit viability are central to every deal.
Best next step: Check low-rate bridging for development site purchase
More info
Company stats
Loan range
Rates and debtor rules
Benefits
- Market-leading rates from 0.89% monthly
- Loans available to £10 million
- Decisions typically within 24 hours
Need to know
- Property security is mandatory
- Exit viability will be closely tested
- Valuation fees and legal costs apply
Expert take
A rate-competitive property lender whose 0.89% monthly starting rate stands out. For a £900,000 development, low monthly interest during the pre-construction phase protects the project margin, and the £10 million ceiling means the lender can grow with the developer.
Source:https://www.mt-finance.com/
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LTV ratios and how they shape your £900,000 development finance deal
For a £900,000 development finance facility, the loan-to-value ratio determines how much equity or cash you must contribute alongside the lender. Most specialist lenders on this list cap gross development value lending between 70% and 75%.
One Stop Business Finance, Inhale Capital, United Trust Bank and Ultimate Finance all publish a maximum LTV of 75%. MT Finance sits at 70%. Brightstar stands apart by offering up to 100% LTV, which can reduce the upfront capital needed for a £900,000 project.
A 75% LTV on a £900,000 development means the lender funds £675,000 and you contribute the remaining £225,000 through land equity, cash or mezzanine finance. Lower LTVs typically attract keener pricing, so the trade-off between rate and leverage is worth weighing before you commit.
Interest rates and costs for £900,000 property development loans
Rates for £900,000 development finance vary widely by lender and risk profile. Monthly-rate lenders include MT Finance at 0.89% to 1.05% per month, Inhale Capital at 1.05% to 1.3% per month, and One Stop Business Finance at 1.6% to 3% per month. Annual-rate options include Brightstar and United Trust Bank, both ranging from 5% to 12.5% per year. Ultimate Finance sits at 6.5% to 14% per year, while Barclays publishes 8.5% to 14.9% per year.
On a £900,000 facility, a 1% per month rate equates to roughly £9,000 in monthly interest before fees. Annual rates may appear lower but often carry arrangement fees and exit fees that alter the total cost. Ask lenders for a full breakdown including facility fees, monitoring surveyor costs and legal charges so you can compare like for like.
| Lender | Max LTV | Rate range |
|---|---|---|
| MT Finance | 70% | 0.89% to 1.05% per month |
| Inhale Capital | 75% | 1.05% to 1.3% per month |
| One Stop Business Finance | 75% | 1.6% to 3% per month |
| United Trust Bank | 75% | 5% to 12.5% per year |
| Brightstar | 100% | 5% to 12% per year |
Drawdown schedules and cash flow management for £900,000 development projects
Development finance is not released as a single lump sum. For a £900,000 project, the lender typically releases funds in stages tied to build milestones. This drawdown structure protects the lender and keeps interest costs aligned with actual spending.
One Stop Business Finance and Inhale Capital both offer terms from 3 to 18 months, suiting light refurbishment through to ground-up construction at this loan size. Ultimate Finance extends terms up to 7 years for larger schemes. Each drawdown usually requires a monitoring surveyor sign-off confirming the work completed matches the funds requested. Interest is charged only on drawn amounts, not the full facility, which helps manage cash flow during a £900,000 development. Keep a contingency buffer of 10% to 15% for delays, because missed drawdowns can stall a project quickly.
Exit strategies your development finance lender will expect at £900,000
Every development finance lender will ask how you plan to repay a £900,000 facility. The three most common exit routes are selling the completed units, refinancing onto a commercial mortgage or buy-to-let portfolio loan, or using retained profits from a broader development pipeline.
Lenders like United Trust Bank, which offers terms up to 5 years, and Barclays, with terms up to 25 years, can sometimes provide the exit themselves through their commercial mortgage products. MT Finance and One Stop Business Finance, with shorter maximum terms of 18 to 24 months, expect a clear exit plan before they commit. For a £900,000 development, demonstrating pre-sales, a strong local market appraisal, or an agreement in principle for a refinance term loan will strengthen your application considerably. Development finance is short-term by design, so the exit strategy is as important as the build itself.
