Loans are available up to 85% LTC net of interest and 70% LTGDV.

Variable interest rates are from 6.5% plus BBR per annum, with fixed rates from 10.5% per annum.

Chris Fairfax, CEO at Catalyst (pictured above), said: “We understand the challenges developers face in securing the necessary funding to bring their projects to life.

“Our new senior product is specifically tailored to provide the leverage required to unlock potential and drive growth within the development sector.

“And with variable rates from 6.50% plus BBR, and fixed rates from 10.5% per annum, we’re pleased to deliver a competitive offering that helps developers' cash flow and profit margin.

•   The Finance Professional Show 2024: The Video
•   Industry vets launch consultancy Mito Land
•   SevenCitiesLdn launches with £100m capital backing from SevenCapital

“Catalyst’s entry into the development finance arena is backed by a strong team with expertise in property lending and a clear understanding of the intricacies of the development process.

“We are committed to building long-term partnerships with brokers and developers, offering a streamlined and efficient service underpinned by pragmatic underwriting and a collaborative approach.”

Anna Bennett, marketing director at Catalyst, added: “If there’s one product brokers ask our BDMs for time and again, it’s development finance; so, we are excited to launch ground up and meet this demand.

“Our current funding appetite lies with experienced developers who have urban residential schemes from one to 15 units in England and Wales.

“We believe this funding is crucial in easing the housing shortage and enabling the delivery of smaller projects and first-time buyer-targeted properties.”