Lendus.

Development Finance in Cardiff

Compare senior debt, mezzanine, and stretched senior from specialist UK lenders serving Cardiff and Wales businesses. Matched in 2 minutes, no credit check.

200+ UK lenders
2-minute application
No credit check to apply
FCA-regulated brokers

Rates

From 6.5% p.a.

Senior, mezzanine, or stretched

Amounts

£150k - £25M+

Speed

2-6 weeks

Cardiff

22k

businesses

Compare development finance rates in Cardiff — 2 minutes, no credit check

Check Eligibility

Development Finance explained

Development finance is specialist lending for property development projects — new builds, conversions, refurbishments, and renovations. Unlike standard mortgages, funds are released in stages as the build progresses, and repaid when you sell the completed units or refinance.

How development finance works

You apply with your project plans, planning permission, build costs, and a projected Gross Development Value (GDV). The lender values the site, assesses the project, and if approved, releases an initial tranche for site acquisition. Further drawdowns follow at agreed construction milestones — foundations, first fix, second fix, completion.

Development Finance options in Cardiff

Senior Debt

The primary development loan. Up to 65-70% LTGDV and 70-85% LTC. Rates from 6.5% per annum.

Mezzanine Finance

Fills the gap between senior debt and your equity. Up to 90% LTC. Rates from 12-18% per annum.

Stretched Senior

Combined senior + mezzanine in one facility. Up to 85% LTC. Rates from 8-12% per annum. Simpler structure.

Representative example

Borrow £1,000,000 at 8.5% over 18 months. Total repayable: ~£1,127,500. Your rate depends on your circumstances.

Ready to compare development finance in Cardiff?

Check Eligibility

Common uses for development finance in Cardiff

Development Finance for Cardiff businesses

Cardiff is the capital and largest city of Wales, functioning as the country's administrative, financial, and cultural centre, with a large public sector presence complemented by growing financial and professional services firms. The city's media and creative sector is significant, anchored by BBC Wales, S4C, and a cluster of independent production companies that benefit from Wales' strong TV and film tax credits, making Cardiff Bay an established media hub. Cardiff's economy has diversified strongly over the past decade, with Cardiff Business District attracting major financial services employers including Legal & General, Admiral Group, and Zurich Insurance. With 22k registered businesses across Wales, Cardiff has strong demand for competitive development finance.

Our panel of 200+ UK lenders includes providers serving the Wales area. Whether your Cardiff business needs ground-up residential development or commercial to residential conversion, we compare rates across the full market in 2 minutes.

Public Sector & GovernmentFinancial & Professional ServicesMedia & CreativeTourism

Development Finance with bad credit in Cardiff

Several specialist lenders on our panel work with Cardiff businesses that have imperfect credit histories. Our eligibility check uses a soft search only — no impact on your credit score. Check your options in 2 minutes.

Compare rates from 200+ lenders serving Cardiff

Check Eligibility

Development Finance in Cardiff: frequently asked questions

Can I get development finance for a project in Cardiff?
Yes. Cardiff development projects are well-served by our lender panel. Urban development sites in Wales typically achieve stronger GDV valuations, which can improve your LTGDV ratio and overall terms.
What are development finance rates in Cardiff?
Development finance rates typically start from 6.5% per annum for senior debt, rising to 12-18% for mezzanine. Rates depend on project risk, developer experience, and LTGDV — not your Cardiff location specifically.
Do I need development experience?
Most lenders prefer experienced developers, but some will consider first-time developers for smaller projects (under £500k) if the project is straightforward and you have relevant professional experience. Cardiff projects with strong local comparable evidence are easier to fund.
What is LTGDV?
Loan to Gross Development Value — the loan amount as a percentage of what the completed development will be worth. Most lenders offer up to 60-70% LTGDV. Cardiff developments with strong GDV evidence (recent comparable sales) typically achieve the higher end.
How is development finance structured?
Funds are released in stages (drawdowns) as the build progresses — typically at land purchase, foundations, first fix, second fix, and completion. A monitoring surveyor visits the site before each drawdown to verify work is on track.
What planning permission do I need?
Most development finance lenders require at least detailed planning permission before they will commit. Some will lend against outline permission or permitted development rights (e.g. commercial to residential conversion under Class MA).
Can I combine development finance with mezzanine?
Yes. Many developers use senior debt at 65-70% LTC and add mezzanine finance to reach 85-90% LTC. This reduces the equity you need to put in but increases total interest costs. Stretched senior products combine both in one facility for simplicity.
How do I repay development finance?
The two most common exit strategies are selling the completed units or refinancing to a standard commercial mortgage or buy-to-let portfolio. Your exit strategy needs to be realistic and supported by comparable evidence in the Cardiff market.

Learn more about development finance

Ground-Up Development Self-Build Finance Guide Bridging vs Development Finance Best Development Finance Lenders

Other finance in Cardiff

Asset Finance Business Loans Bridging Loans Commercial Mortgages Invoice Finance

Find the best development finance in Cardiff

Compare 200+ lenders in 2 minutes. No credit check.

Check Eligibility
Check Eligibility — 2 min, no credit check