When the Bank Says No
Development Finance after a Bank Refusal
If your bank has refused development finance, it does not necessarily mean your project is not fundable.
Many viable development projects fall outside mainstream lending criteria, especially if the project is complex, time-sensitive, smaller than usual or led by a first-time developer.
Hunter Finance is an independent development finance lender using our own funds to support projects across London and the South East. If your project has been declined, delayed or stalled elsewhere, we can review the details and give you a clear view on whether we can help.
Why Banks Decline Viable Development Projects
Banks and mainstream lenders often apply rigid criteria to proposals, which many viable development projects can fall outside of. Common reasons why a mainstream bank or lender may decline or delay a development finance application can include:
- Limited or no development track record: Many banks require applicants to have completed several projects before.
- Project size: Smaller schemes often fall below minimum loan thresholds or do not justify the bank’s time and costs.
- Project complexity: Conversions, change of use and non-standard construction types can be difficult for standard underwriting.
- Speed: Bank processes are often too slow to meet the timescales required for a site acquisition, especially in competitive areas like the South East.
- Unusual site or planning situation: Anything outside the typical template can cause delays or an outright refusal.
- Incomplete documentation: Some banks may decline a proposal simply because the application was not packaged correctly.
However, none of these issues automatically mean your project is unviable, and a refusal from one lender does not mean the project is dead. It often means the lender was just not the right fit.
What Hunter Finance Offers
Development Finance
Development finance for private residential property developments in the South East UK.
Bridging Loans
Bridging loans for developers to provide short-term finance to ‘bridge the gap in projects.
Equity Finance
Equity finance for property developers in return for a share of the development’s profit.
Pre-completion Loans
Pre-completion finance loans for property developments that are very close to completion.
Exit Finance
Exit finance is used to repay outstanding development finance so that it's ready for sale.
What We Need From You
We assess each case on its own merits. To consider an application where another lender has declined, we need to understand whether there is a genuine issue or simply a mismatch with their criteria. This includes:
- Why the previous lender declined the application
- The current planning position and any conditions attached
- The site purchase price or current value
- Detailed build costs and contingency
- Expected GDV, supported by robust local market research
- Your background and experience
- Details of the project team, including contractors
- The proposed build programme and timescales
- Your exit strategy
Although we work with developers on a range of projects with previous refusals, it must be fundable on its own merits. A bank refusal is not a barrier, but we need to be confident of its viability.
We’ll consider your project with an open mind, give you a clear view quickly, and tell you whether we think we can help. For more information, read our Lending Criteria.
Why Developers Choose Hunter Finance After a Bank Refusal
We’ve financed over 800 new build projects and lent over £75 million across the South East. Many developers choose us because:
- We’re 100% independent
- We lend our own funds, so we take a real interest in your project
- We consider each proposal individually rather than applying a rigid formula
- We work with developers of all experience levels
- You work directly with our decision-makers throughout the process
- We make the decision to offer a loan in less than 48 hours, helping you capitalise on your opportunity
- No broker or upfront fees
- There’s no commitment for an offer in principle
Why Developers Choose Hunter Finance After a Refusal
Fast Decisions
Most decisions are made within 7 days, and an agreement in principle as fast as 24 hours.
Up to 100% of build costs
Our loans can support up to 100% of the build costs, helping you keep work moving without tying up unnecessary capital.
No broker or upfront fees
No middleman, and an agreement in principle costs nothing.
We are 100% independent
We lend our own funds, so we take a real interest in your project
We consider ALL projects
We consider each proposal individually rather than applying a rigid formula
Experienced and first-time developers
We work with all experience levels, including first-time developers.
A Previously Refused Project We Funded
We’ve funded several previously refused projects. For example, we provided a £1m loan to fund 2x Semi-Detached Units in Ashley Green, Buckinghamshire.
The developer had faced some construction delays, needing to both refinance their existing loan and secure additional funding. The project was complex, but we could be flexible and trust the developer’s previous experience to take on the financial risk that mainstream lenders would not. As a result, the properties sold for a total of £1.4m.
View our other case studies to find out how we’ve helped developers like you.
Development Finance after Bank Refusal FAQs
Will a bank refusal count against me with Hunter Finance?
Can you still help if the bank was slow rather than refusing?
What information do I need before contacting you?
Do I need a broker?
Don’t Let a Refusal Derail Your Development
If your development finance application has been declined, delayed or stalled, we may be able to help. If the project is viable, we can often give you an Offer in Principle within a week, so don’t let a refusal ruin your opportunity.
What Our Developers Have To Say
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