LendInvest has strengthened its bridging finance proposition after securing a new £250 million funding agreement with global private credit specialist Castlelake.
Under the agreement, Castlelake will purchase up to £250 million of loans, giving LendInvest additional firepower to scale its short-term lending business and offer greater flexibility to borrowers across the UK property market.
The partnership marks a significant expansion of LendInvest’s funding stack and is designed to optimise its bridging offering, increasing capacity for larger and more complex loans. The arrangement will allow the platform to fund individual projects of up to £15 million, while also enhancing its ability to support regulated bridging loans and specialist products such as development exit finance.
Bridging finance, which provides short-term funding to cover the gap between a property purchase or refurbishment and longer-term finance or sale, has become an increasingly important tool for UK investors and developers. It enables borrowers to move quickly on opportunities such as auctions or complex refurbishments that cannot be supported by traditional mortgage lending timelines.
LendInvest said the deal builds on work completed last year to diversify its funding sources and establish a more sustainable, long-term capital base capable of supporting lending across specialist residential, development finance, bridging and buy-to-let markets.
The announcement follows the publication of LendInvest’s strong half-year FY26 results, which showed high lending volumes and a return to profitability. The company said the latest funding agreement demonstrates continued institutional appetite for UK property-backed lending, despite ongoing uncertainty in the wider market.
Hugo Davies, chief capital officer and managing director of mortgages at LendInvest, described the partnership as a milestone for the group’s bridging franchise.
“This is a strategically important step for our business,” Davies said. “Partnering with Castlelake gives us an accretive, long-term funding solution that allows us to fund larger loans more efficiently and support areas of the market where traditional lenders remain constrained.
“Coming off the back of our strong half-year results, this deal underlines institutional confidence in our platform and our commitment to making property finance simple for our customers.”
Leanne Ardron, managing director of short-term lending at LendInvest, said the UK market had increasingly recognised the role of bridging finance as a mainstream funding option.
“Bridging is no longer a niche product, it is a powerful tool for property investors looking to maximise their opportunities,” she said. “This partnership with Castlelake allows us to widen our lending criteria and gives investors the confidence to be bolder with their strategies.
“We’re excited about what this funding pipeline will enable and are ready to start conversations with brokers and their clients.”
With institutional backing and a strengthened balance sheet, LendInvest said it is well positioned to capture further growth in the UK’s specialist property finance market as demand for flexible, short-term funding continues to rise.
