LOANS
Development Finance
If you’re a Charity or social enterprise looking for a loan to finance a building project, you’re in the right place.
Building a better tomorrow
Repayment period
Typically up to 25 years. Interest only payments during build phase.
Expert development guidance
Our specialist team understands the complexities of large-scale building projects.
Larger loans
We offer loans up to £7.5 million on a stand-alone basis and larger loans can be delivered in partnership with other social lenders.
Sector Owned
Charity Bank is uniquely owned by Social Sector organisations and entirely based in the UK.
Discuss a loan
Talk us through what you need by filling in our easy step-by-step loan form and this will give us all the information we need to give you a call back to discuss your loan.
Discuss A Loan
Flexible, tailored lending solutions
Charity Bank offers tailored, competitive, and ethical lending solutions for charities and social enterprises for building projects.
We have extensive experience working with Contractors, Architects, Surveyors, and Lawyers to ensure your project succeeds.
Our development finance specialists will take the time to get to know you and your organisation and understand the unique needs of the development. We offer tailored loan structures to help you deliver impact.
Supporting a range of initiatives
Our expertise has supported the development of social and affordable housing, world class sports centres, vital community hubs, an air ambulance base, and even one of the world’s largest indoor Skate Parks.
Whether you’re looking to construct a new building, retrofit social housing, create healthier living spaces, or just want to reduce your environmental footprint while fulfilling your social mission – Charity Bank is here for you.
Development Finance Guide
At Charity Bank, we are committed to supporting your building projects and helping you
create a positive impact in your community. To ensure a smooth process, here’s an overview of our
approach to development finance.
The social impact of Development Finance
FAQs
Here we’ve listed the common questions we get about our loans. If you still have a question please do not hesitate to contact us.
What types of development projects does Charity Bank finance?
Charity Bank provides development finance for a wide range of projects, including property development, construction of new facilities, and major renovations. We support projects that create positive social impact, such as affordable housing, community centres, and care facilities. Our loans can cover up to 70% of the property’s value, depending on the nature of the development and the security provided.
What are the key requirements for securing a development loan from Charity Bank?
To secure a development loan from Charity Bank, you will need to provide detailed project information, including:
- A brief description of the project.
- Build cost estimates and cashflow/programme.
- Confirmation of VAT implications.
- Details of the main contractor and consultants.
- Legal advisors’ information.
- Any valuations conducted on the site.
- Confirmation of any grants, junior loans, or cash reserves contributing to the project. Additionally, we may require being the “first loss payee and co-insured” on the main contractor’s “all-risks” insurance, direct funders warranties, and a mortgage debenture.
How does Charity Bank support borrowers during the development process?
Charity Bank supports borrowers throughout the development process by offering:
- Early engagement to discuss funding needs and eligibility.
- Assistance with legal and contractual matters through experienced professionals.
- Co-appointment of quantity surveyors for drawdowns.
- Regular project reviews and feasibility studies.
- Flexibility in loan drawdowns based on project milestones. We aim to ensure a smooth financing process and help manage risks such as weather conditions, material costs, and potential delays.
Q&A 