Mezzanine Finance for Property Developers

A worked cost comparison of mezzanine finance and joint venture equity on the same development, showing what each costs when the scheme performs, when profit falls short and where the break-even sits.

A comprehensive guide to understanding and structuring the capital stack in UK property development, from senior debt through mezzanine to equity contributions.

A detailed guide to senior debt in UK development finance, covering first-charge lending mechanics, typical terms, and how to secure the best rates for your project.

Stretched senior development finance offers up to 85% LTC in a single facility, eliminating the need for mezzanine. Learn when this structure works and how to access it.

A practical guide to transitioning from a bridging loan to a development finance facility, covering timing, costs, and how to structure the handover between loan products.

Understand the profit margin requirements that development finance lenders impose, how margins affect your borrowing capacity, and practical strategies to protect your returns.

A guide to the ways you can fund your equity contribution to a development, covering cash, land value, planning uplift, joint venture equity and mezzanine, and how lenders assess each one.

A practical guide to drawdown schedules in development finance, covering how staged funding works, how to align drawdowns with your build programme, and common cash-flow pitfalls.

A clear explanation of interest roll-up in development finance, covering how capitalised interest works, how it affects your profit margin, and strategies to manage the cost.

A planning guide to the exit decision you make when you first appraise a scheme: selling units, refinancing to hold, bulk or forward sale, and how each choice changes the leverage, term and pricing lenders offer.

A guide to blended finance in property development, showing how to combine senior debt, mezzanine, equity, and alternative sources into an optimised funding structure.

A guide to forward funding in property development, covering how pre-selling to institutional investors works, how deals are structured, and the advantages and trade-offs.

A guide to funding the construction of a build-to-rent scheme, covering how BTR development loans are sized, the rental metrics lenders test, how to build in a stabilisation period and typical terms.

A guide to portfolio development finance, covering how experienced developers fund multiple projects simultaneously, manage cross-collateralisation risk, and scale efficiently.

A guide to funding land held for the long term while it is promoted through planning, covering option and promotion agreements, longer-term land loans, holding-cost management and when short-term bridging is the wrong tool.

A structuring guide to zero-cash development funding. We walk through the three main capital stacks (land equity with senior and mezzanine debt, a JV equity partner, and bridging with planning uplift) and what each really costs.

A lender-focused guide to borrowing through a special purpose vehicle, covering the company set-up lenders expect, the checks on directors and shareholders, the security package and personal guarantees.

An honest answer to whether 100% development finance exists in the UK, which developers and schemes realistically qualify, and the alternatives to consider if you cannot fund the whole project with debt.

A practical guide to the pricing and terms of development exit finance, with typical rates, LTVs and fees, and the steps, documents and timeline for arranging a facility before your build loan matures.

Mezzanine Finance Calculator

Calculate mezzanine funding, blended cost and remaining equity for your project.

Equity Required Calculator

Calculate the minimum equity needed for your project based on senior debt, mezzanine and GDV.

JV / Profit Share Calculator

Model profit split, return on equity and comparison with debt finance for joint venture structures.

Blended Finance Cost Calculator

Calculate the weighted average cost of capital across senior debt, mezzanine and equity tranches.