Catalyst Property Finance has launched a ground-up development finance product for residential and mixed-use schemes of up to 20 units across England and Wales, with tracker rates from 5.25% plus Bank Base Rate. Leverage goes up to 85% loan-to-cost and 65% loan-to-GDV, with loan sizes from £250,000 to £5 million.
TL;DR · LAST REVIEWED 12 July 2026
- Catalyst Property Finance launched a ground-up development finance product for residential and mixed-use schemes up to 20 units.
- Tracker rates start from 5.25% plus Bank Base Rate; loan sizes run from £250,000 to £5 million.
- Leverage of up to 85% loan-to-cost and 65% loan-to-gross development value (LTGDV) is available.
- The product carries no commitment or non-utilisation fees, and every application is managed by a dedicated business development manager and underwriter.
KEY FACTS
- Product: ground-up development finance
- Scheme size: residential and mixed-use, up to 20 units
- Coverage: England and Wales
- Rate: from 5.25% + Bank Base Rate (tracker)
- Loan size: £250,000 to £5 million
- Leverage: up to 85% loan-to-cost, up to 65% LTGDV
What's Launching
Catalyst Property Finance launched a ground-up development finance product in March 2026, aimed at residential and mixed-use schemes of up to 20 units across England and Wales. The product is designed for property developers working with brokers, offering institutional development funding rather than bridging or refurbishment finance repackaged as development lending.
| Detail | Terms |
|---|---|
| Rate | From 5.25% + Bank Base Rate (tracker) |
| Scheme type | Residential and mixed-use, up to 20 units |
| Coverage | England and Wales |
| Loan size | £250,000 to £5 million |
| Leverage | Up to 85% loan-to-cost, up to 65% loan-to-GDV |
| Term | Up to 24 months |
| Fees | No commitment or non-utilisation fees |
How It's Positioned
Chris Fairfax, CEO at Catalyst Property Finance, said the business had "built amazing resources for understanding and processing refurbishment risk of all natures," and was applying that experience to ground-up schemes. He described the product as "a senior stretch proposition that balances higher leverage with leading interest rates and fees," distinguishing it from bridging or refurbishment capital marketed as development finance. James Farge, Sales Director, said the launch extended Catalyst's existing relationship-led approach in bridging and refurbishment finance into the ground-up development space.
Service Model
Catalyst has committed to a "single-stream" service model for this product: every development finance application is managed by a dedicated business development manager and underwriter from initial enquiry through to project completion, intended to avoid the loss of momentum that can occur when a scheme moves from land purchase into the build phase.
Who This Is For
Ground-up development finance is a specialist product for experienced property developers and is arranged through brokers rather than bought direct by consumers. It's typically used to fund construction of new residential or mixed-use schemes from the ground up, distinct from refurbishment finance (improving an existing building) or bridging finance (short-term funding for a property transaction). Developers considering this route should compare terms across multiple specialist lenders via a broker, since leverage, rate and fee structures vary significantly by lender and by scheme.
RELATED GUIDES
DISCLAIMER
This article is for general information only and does not constitute financial or investment advice. Kael Tripton Ltd is an independent editorial publisher and is not authorised or regulated by the Financial Conduct Authority (FCA). Development finance is a specialist product typically arranged through a broker; terms vary by lender and individual scheme, and can change without notice. ICO registration ZC135439.
Frequently asked questions
What is ground-up development finance?
Short-term funding used to construct a new residential or mixed-use scheme from the ground up, distinct from refurbishment finance (improving an existing building) or bridging finance (short-term funding for a property transaction).
What size schemes does Catalyst's product cover?
Residential and mixed-use schemes of up to 20 units across England and Wales, with loan sizes from £250,000 to £5 million.
What rate does the product start at?
Tracker rates from 5.25% plus Bank Base Rate.
Can I apply for this directly, or do I need a broker?
Development finance of this kind is typically arranged through a broker rather than bought direct by consumers.
Are there any commitment fees?
No. Catalyst has confirmed the product carries no commitment or non-utilisation fees.
SOURCES
- Catalyst Property Finance, Development Finance Loans – accessed 12 July 2026
- Mortgage Solutions, Catalyst adds ground-up development finance deal – accessed 12 July 2026
