What we worked on in July 2026: bridging, South West development, a £54m portfolio

A look at what we have been working on across bridging, commercial and development finance in July 2026, the trend that has not slowed since I wrote about it in May, and why rates are staying put for now.

The CasesWhat we have been working on

July has been a very busy month. Regulated bridging has been especially busy for older clients who are asset rich and income poor, development finance has been going strong with small schemes across the South West and quite a few HMO conversions this month, we have had a lot of large loan enquiries from commercial trading businesses such as dentists and GP practices, and on the investment side we are working on commercial portfolio finance including one case funding around £10m across a £54m portfolio.

The £54m portfolio case is a good example of where a broker earns their keep. Raising £10m against a portfolio that size is comfortable gearing, so the conversation with lenders is less about whether they will do it and more about which assets should carry the charge, because keeping the majority of the portfolio unencumbered leaves the client free to trade, refinance or sell without asking a lender's permission every time. Once I understand the make-up of the portfolio my role is to select the security that gives the client the cheapest money and the most freedom, and to present the income and covenant story so the lender understands the case as well as I do by the time it reaches credit.

The TrendAsset rich, income poor has not slowed

DevelopmentSmall schemes in the South West, and a run of HMO conversions

Development finance has been going strong. The work this month has been small schemes across the South West, the sort of sites we know well from our Bristol base, and quite a few HMO conversions, taking ordinary houses through conversion and out the other end into term lending. On a conversion the exit valuation drives the whole deal, so before a client commits we model what the finished property supports, and the HMO valuation calculator we rebuilt this month does exactly that, with yields by region and city and a maximum borrowing figure alongside the valuation.

For anyone weighing up a first scheme, our guide to development finance for first time developers covers how lenders look at track record, and the developer profit calculator will tell you quickly whether profit on cost is going to clear a lender's hurdle. Where a scheme is finishing and sales are slower than hoped, development exit finance takes the pressure off the senior facility while units sell. You can see how recent schemes have been structured in our case studies.

Trading BusinessesDentists, GPs and the premises they trade from

The large loan enquiries from trading businesses keep coming, particularly commercial mortgages for dentists and GP practices buying their premises. These are strong covenants and lenders compete hard for them, with funding available up to 100% of the purchase price for established professional practices in the right cases, because the repayment comes from the patient list. We have arranged plenty of these over the years, including a dentist buying their surgery and a GP surgery purchase, and the owner-occupier commercial mortgage route is usually the right starting point.

The ToolsOur calculators, and who is using them

Our tools continue to prove useful to clients who are using them, all designed to help clients understand their funding options before they pick up the phone, not after.

The MarketRates held at 3.75%, and a new man in Number 10

The base rate stayed at 3.75% again this month. Where it goes next is difficult to say, with uncertainty in global markets and the war in Iran stalling any appetite for further reductions. Closer to home we have a new prime minister, and it will be interesting to see what he does to help the economy, because it certainly needs help.

For the lenders we work with, pricing has held steady through the summer. Trading business commercial mortgages are still pricing in the 4.5% to 5% range for the cleaner cases, prime commercial investment from around base plus 1.75% to 2.25%, and regulated bridging from around 0.55% per month on the standard route. Our bridging loan rates guide is reviewed monthly if you want the current bands in full.

What's NextWhat we are here for

We continue to advise UK clients on large loans particularly in the £1m to £250m lending bracket working with everyone from developers and business owners to private individuals. If you have a case that needs working through, or you want to talk through a structure before you commit to it, give us a call.