"Whether a client is carrying out light upgrades to a residential property or undertaking a more complex, heavy refurbishment project, we are able to support the deal with clear structures and straightforward decision-making"
- Constantinos Savvides - London Credit
London Credit has launched an enhanced refurbishment finance range aimed at property investors undertaking light, medium and heavy refurbishment projects across residential, semi-commercial and commercial assets.
The updated range gives brokers wider funding options for clients looking to improve, convert or reposition property, with loans available from £150,000 to £3,000,000, terms from three to 24 months, and pricing starting from 0.85% per month for light refurbishment work.
LTV limits by property type
Lending parameters vary depending on property type and project complexity:
Residential: up to 75% LTV from day one for light and medium refurbishment, 70% LTV for heavy refurbishment, with loan-to-gross-development-value (LTGDV) available up to 70%
Semi-commercial: up to 70% LTV from day one for light and medium refurbishment, 65% LTV for heavy refurbishment, with LTGDV up to 70%
Commercial: up to 65% LTV from day one, with LTGDV up to 60% depending on the project
The lender will also provide up to 90% loan-to-cost for eligible refurbishment projects, giving borrowers access to funding to complete works and deliver improved property value.
Initial drawdowns are available up to 75% of the current value for light and medium residential projects, 70% for semi-commercial schemes, and 65% for heavy refurbishment or commercial projects. Further drawdowns are released in tranches as works progress, subject to monitoring.
Flexible structure with no exit fees
Borrowers can choose from rolled-up, retained or serviced interest options, subject to income verification. The range carries no exit fees and no early-redemption charges after the first three months of the loan term, offering flexibility for those who complete projects ahead of schedule.
For smaller refurbishment projects up to £500,000, first-time developers may be considered. Projects above £500,000 and all heavy refurbishment schemes require borrowers to demonstrate a track record of completed projects and a minimum net-asset position.
What this means for brokers and property investors
The range is structured to give brokers clear parameters when placing cases of varying complexity. The inclusion of a 90% loan-to-cost option is particularly notable for investors looking to preserve capital during works, while the absence of exit fees provides a meaningful exit advantage for those who move quickly through a project. The tiered drawdown structure also reduces lender risk on heavier schemes without restricting access to funding as works progress.
"Refurbishment finance remains one of the most active parts of the short-term lending market, as investors continue to improve existing property stock and reposition assets to meet demand," said Constantinos Savvides, head of underwriting at London Credit (pictured).
"Our enhanced range has been crafted to provide brokers with greater flexibility when placing refurbishment cases. Whether a client is carrying out light upgrades to a residential property or undertaking a more complex, heavy refurbishment project, we are able to support the deal with clear structures and straightforward decision-making."
"Providing brokers with practical funding solutions, competitive pricing, and direct access to experienced decision-makers who understand the realities of refurbishment projects remains fundamental to how we work," he added.
The launch follows a busy stretch of product activity at London Credit. Earlier in March, the lender cut rates across its residential bridging range and launched a commercial bridging product with a serviced interest option. With refurbishment lending continuing to attract strong borrower demand across England and Wales, further criteria updates from specialist lenders are likely as competition for broker relationships intensifies through the remainder of 2025.
