Seven months of Development Finance at London Credit
Q&A with Jake McCausland, Head of Development Finance at London Credit
Six months on from the launch of its development finance offering, London Credit has seen strong uptake across a range of commercial and semi-commercial conversion projects. In this Q&A, Head of Development Finance Jake McCausland discusses what’s driving demand, what the lender has learned so far, and how it’s shaping future plans.
Q: It’s six months since London Credit launched its development finance proposition. How has it gone so far?
We launched our development loan product at the start of 2025, and it has certainly exceeded our expectations. Deal flow has been strong, and we’ve already funded a number of projects across London and other key locations.
Borrowers have responded well to the combination of competitive pricing, a streamlined process, and our hands-on approach. The product was built around speed and flexibility, and that’s really resonated, especially with those tackling semi-commercial or commercial conversions, which is where we’ve seen the most demand. We’re also starting to see those borrowers come back to us with follow-on projects, which is always a positive sign that we’re doing something right.
Q: What have you learned since the launch?
The relationship between lender and borrower matters even more in development finance. When you’re funding a live site, or dealing with planning and construction challenges, trust and communication are essential.
We’ve found that site visits and direct engagement with borrowers make a real difference. Not only do developers value speed and transparency, but they also require flexibility around how the loan is structured, especially in the current environment where costs are consistently rising. Being able to fund up to 90% of total costs has helped clients reduce equity requirements.
Interestingly, we’ve seen more demand for commercial and semi-commercial projects than pure residential. That seems to align with the wider trend towards mixed-use developments, particularly in and around London.
Q: Can you give us a flavour of the types of schemes you’ve funded so far?
One of the early cases involved the conversion of a commercial block in a popular London suburb into six residential units and one commercial unit. That was a circa £4m GDV scheme, and we funded both the refinance and 100% of build costs.
We also completed on a semi-commercial development in Chiswick, which involved a mixed-use retail and residential property, and a ground-up residential scheme in a major UK city, where we provided 70% LTGDV.
Another recent case was a permitted development conversion of an office building in the South East. That one came with planning hurdles, but we worked with the borrower to move it forward.
Q: How do you expect your development finance offering to evolve in the second half of the year?
We’re going to be refining our approach even further, using what we’ve learned from the first wave of completions. That includes deepening our expertise in commercial and semi-commercial conversions, and making sure our internal training reflects the real-life challenges borrowers face on site.
More broadly, we’re focused on strengthening borrower relationships. That means being even more hands-on, and continuing to adapt based on feedback and experience. The goal is always to offer solutions that are quick, practical, and tailored to the project.
Q: What’s your outlook for SME developers at the moment?
Despite the challenges around rising costs and tighter financial conditions, I would say the outlook is still positive. The UK commercial property market is holding up well, and policy changes could make it easier to convert commercial buildings to residential use, which will definitely benefit SME developers.
We’re seeing strong activity in London, especially around mixed-use schemes. If developers can find the right opportunities, the demand is there. There’s also likely to be more M&A and infrastructure investment this year, which could help unlock further growth.
Q: Finally, what advice would you give to brokers looking to place development finance cases?
The more information you can give us upfront, the better. That includes a clear project plan, timelines, build costs and a sense of the borrower’s experience.
It really helps if we can get involved early in the process, sometimes even before a formal application, so we can get a feel for the site, understand the challenges and structure a facility that works.
And of course, if your client has delivered similar projects before, make that front and centre. Track record counts for a lot in development finance.
