Commercial bridging loan lenders:who lends, what they like and how to choose
Commercial bridging loan lenders are the banks, specialist non-bank lenders, private credit funds and private capital providers that make short-term loans secured on commercial property, each with its own appetite for different buildings, loan sizes and borrowers. The market is wide, and the right lender for a let industrial unit is often the wrong one for a vacant pub or a parcel of land.
This page explains the main types of lender, how their appetite differs, how to compare offers on a like-for-like basis, and where a broker adds value. We work across a wide panel of bridging lenders, from specialist lenders to private credit funds.
Key takeaways
Commercial bridging loan lenders include specialist non-bank lenders, specialist banks, private banks, private credit funds and family offices.
Few high-street banks offer stand-alone bridging; most bank funding comes from specialist and challenger banks.
Appetite differs sharply by property type, loan size and deal, and it changes over time.
Compare total cost, including fees, minimum interest periods and extension terms, not just the rate.
A broker adds value by matching the case to current appetite and managing the process to completion.
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What types of commercial bridging loan lenders are there?
Bridging finance on commercial property comes from several kinds of funder. Each raises its money differently, which shapes how it lends:
Lender type
Where the money comes from
What they tend to suit
Watch for
Specialist non-bank lenders
Wholesale funding lines, institutional investors, own balance sheet
Fee structures and minimum interest periods vary widely
Specialist and challenger banks
Customer deposits
Well-presented cases, competitive pricing on stronger deals
Can be more process driven and less flexible on unusual assets
High-street and private banks
Deposits, relationship lending
Existing customers with wider banking relationships
Few offer stand-alone bridging; often slower
Private credit and debt funds
Institutional and private investors
Larger loans, complex or time-critical deals, development angles
Higher minimum loan sizes and more legal work
Family offices and private lenders
Private wealth
Unusual assets, very quick or bespoke structures
Terms and documentation differ greatly; legal review is essential
No type is better in general. What matters is matching your property, loan size and timetable to a lender whose appetite fits.
Which banks provide bridging loans?
Very few high-street banks offer stand-alone bridging loans. Where they do provide short-term facilities, it is usually to existing business customers as part of a wider relationship, and on the bank's timetable rather than yours.
Most bank-funded commercial bridging comes from specialist and challenger banks, which fund themselves through deposits and have dedicated short-term lending teams. Private banks also lend to high net worth clients, often on larger and more bespoke terms. The rest of the market is non-bank: specialist lenders and funds, which are often quicker to act.
How does lender appetite differ by property and deal?
Appetite is where lenders really separate. A broad guide to how the market tends to respond:
Property or deal
Typical appetite
Let industrial and warehouse
Wide appetite across most lender types
Offices and retail
Selective: location, specification and tenant covenant drive the decision
Semi-commercial
Broad appetite; the regulated position must be confirmed first
Land
Narrower field and lower LTVs; planning status is decisive
Hotels, pubs, care homes
Specialist lenders with sector experience; lower LTVs
Appetite changes over time as lenders fill or reopen their books, which is one reason a broker's current market knowledge matters.
Have a deal in front of you?Send us the property and the numbers. We will tell you quickly whether it is fundable.
How do you choose the right lender for your bridge?
There is no single answer, and anyone who gives one without seeing your deal is guessing. The right commercial bridging loan lender for your case is the one that:
has appetite for your property type and location;
can lend the amount you need at a sensible LTV;
can meet your completion date, including any auction deadline;
offers the lowest total cost, not just the lowest headline rate;
will be reasonable if your exit takes longer than planned.
Names you will come across in the UK bridging market include MT Finance, Octane Capital, Roma Finance, United Trust Bank, Hope Capital, Together, LendInvest and Octopus Real Estate. We do not publish lenders' rates or criteria, because they change frequently and depend on the individual case. We place each case across our lender panel rather than defaulting to any one name.
How do you compare offers from bridging lenders?
Two offers with the same monthly rate can cost very different amounts. Compare these points side by side:
Term
What to check
Gross vs net loan
How much actually reaches you after fees and retained interest
Unregulated commercial and investment bridging is arranged directly. Any case where the security includes a home you or an immediate family member occupies, including a flat above commercial premises, may be regulated and is introduced to a firm directly authorised by the Financial Conduct Authority. We are not directly authorised by the Financial Conduct Authority ourselves. Your property may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
Which lender is right for a commercial bridging loan in the UK?
No single lender suits every case. The right lender depends on your property type, location, loan size, completion date and exit. A lender that is keen on let industrial units may decline a vacant pub. We compare offers on total cost and flexibility across the lenders we work with, rather than steering every case to one lender.
What does Martin Lewis say about bridging loans?
We cannot speak for any commentator. The general consumer guidance on bridging is that it is short-term, more expensive than a mortgage, and should only be used with a clear exit. That is sound advice for commercial borrowers too. Understand the total cost, read the facility letter and have your sale or refinance plan in place.
How much would a 200k bridging loan cost?
The total cost depends on the monthly interest rate, the term, and fees. An arrangement fee of around 1% to 2% would be £2,000 to £4,000 on £200,000, plus valuation and legal fees and any exit fee. Interest varies with loan to value and risk. Our cost calculator models the full figure over your expected term.
Which banks provide bridging loans?
Few high-street banks provide stand-alone bridging, and usually only to existing customers. Most bank-funded bridging comes from specialist and challenger banks with dedicated short-term lending teams, such as United Trust Bank, and from private banks for high net worth clients. Specialist non-bank lenders and funds make up much of the rest of the market.
Is it better to go direct to a bridging lender or use a broker?
Going direct can work if you already know which lender suits your deal. A broker adds value by knowing current appetite across many lenders, packaging the case, comparing total costs and managing the valuation and legal process. A broker will also spot issues such as a regulated element early. Always ask what the broker's fee is.
Do commercial bridging lenders all use the same valuers?
No. Each lender has its own panel of RICS valuers and will usually only accept a report from a firm on that panel, addressed to it. That is why changing lender part way through can mean paying for a second valuation. Choosing the right lender at the start avoids that cost and delay.
