Refurbishment Finance

Specialist Funding for Property Renovation and Value-Add Projects

Property refurbishment — done well and funded correctly — is one of the most effective strategies available to UK property investors. Whether you are modernising a tired residential asset for resale, converting a dated commercial building or undertaking a comprehensive programme of works to bring a property up to lettable standard, refurbishment finance from Amica Capital provides the capital you need at every stage of the programme.

We understand that refurbishment projects are dynamic. Costs can move. Programmes shift. Unexpected structural or condition issues arise. Our approach to property refurbishment finance in the UK is built around that reality — pragmatic, flexible and supported by a team with direct experience in property development and renovation.

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What Is Refurbishment Finance?

Property refurbishment finance is a form of short-term secured lending that covers both the acquisition of a property and the cost of the works required to refurbish, renovate or improve it. It is distinct from pure bridging finance — which typically funds acquisition only — in that it also provides capital for the works themselves, structured and released in tranches aligned to the programme of work.

Refurbishment bridging loans are typically arranged for terms of between three and eighteen months, with the exit strategy either a sale of the improved property or a refinance onto a longer-term mortgage once the works are complete and the asset has been revalued. Amica Capital provides refurbishment finance across both light and heavy refurbishment categories, with facilities tailored to the nature and scale of the works involved.

Light Refurbishment Finance

Light refurbishment finance is designed for projects involving cosmetic or relatively straightforward improvement works those that do not require planning consent, do not significantly alter the structure of the building, and can be completed relatively quickly. Typical light refurbishment schemes include:

Kitchen and bathroom replacement or upgrade
Redecorating and recarpeting throughout
New windows, doors and external works
Landscaping and external improvements
New electrical, heating or plumbing systems (where not structurally disruptive)
Cosmetic commercial fit-outs

Light refurbishment finance is particularly well-suited to the buy-refurbish-refinance (BRR) strategy, in which a property investor acquires an undervalued asset in need of improvement, carries out the works, refinances onto a buy-to-let mortgage at the enhanced valuation, and deploys the released equity into the next project.

Light Refurbishment Finance Features:

Loan sizes from £100,000
LTVs up to 75% of purchase price or current value
Works funding released in one or two tranches
Decisions in principle typically within 2 business days of enquiry
Loan terms from 3 to 12 months
Suitable for residential buy-to-let and resale strategies

Why Choose Amica Capital for Refurbishment Finance?

We understand refurbishment projects from the inside

Our team has direct experience in property improvement and development, not just in lending against it. We understand the practical realities of managing a refurbishment programme and we apply that knowledge to every application we assess.

We fund both acquisition and works in a single facility

Rather than requiring separate loans for purchase and refurbishment, we structure a single integrated facility that covers both, simplifying your administration and reducing your transaction costs.

We move quickly

Property refurbishment finance lenders who understand the pace of auction purchases and off-market acquisitions are rare. We are experienced in this environment and we structure our process accordingly.

We are flexible on scope and structure

Whether your project is a light cosmetic renovation or a complex conversion, we will structure a facility that reflects the specific requirements of the works involved.

Heavy Refurbishment Finance

Heavy refurbishment loans in the UK are designed for more substantial projects involving significant structural works, change of use, conversion, extension or improvement that may require planning consent or building regulations sign-off. These projects carry greater complexity and greater potential for value creation, and they require a lender who understands both.Typical heavy refurbishment schemes include:

Structural reconfiguration or extension of a residential property
Conversion of a property to multiple units or a different use class
Major renovation of a commercial building ahead of letting or resale
Installation of new building fabric, insulation or energy efficiency improvements
Listed building or heritage property refurbishment where specialist works are required
Permitted development conversion of an office or commercial building to residential

Heavy refurbishment finance bridges the gap between standard bridging and full development finance. At Amica Capital, we are experienced in this part of the market and we can provide facilities that reflect the complexity of the project without imposing the full weight of a development finance due diligence process where it is not warranted.

The Buy-Refurbish-Refinance Strategy

The buy-refurbish-refinance (BRR) strategy is one of the most widely used approaches among professional UK property investors. It involves:

Buying a below-market-value or undervalued property — often one in poor condition, unmortgageable in its current state, or requiring significant improvement
Refurbishing the property using short-term refurbishment bridging finance, with works carried out to a standard that maximises value
Refinancing the improved asset onto a buy-to-let mortgage or term loan at the enhanced valuation — ideally recovering the majority or all of the initial equity deployed

Short-term refurbishment loans from Amica Capital are ideally structured for this strategy. We provide both the acquisition capital and the works funding within a single facility, with drawdown schedules designed to align with the programme of works and the investor’s cash flow.

What Information Do We Need?

For a refurbishment finance enquiry, we typically need:

The property address and a description of its current condition
The scope of works planned and an estimated total works cost
The loan amount required for acquisition and works combined
Your proposed exit strategy — sale or refinance
A summary of your experience with similar refurbishment projects
Our team will guide you through the documentation required at each subsequent stage.

Frequently Asked Questions

Can you fund a property that is currently unmortgageable?

Yes. Properties that are in poor condition, uninhabitable or structurally compromised can often be funded on a refurbishment basis. The exit strategy — typically a refinance once works are complete — needs to be credible and achievable.

How are works funds released?

For light refurbishment, works funding is typically released in one or two tranches on the basis of a desktop or brief physical inspection. For heavier programmes, drawdowns are aligned to defined project milestones, with a monitoring surveyor involved where appropriate.

Do I need planning permission in place before applying?

For light refurbishment, planning is generally not required. For conversion or change-of-use projects, we will want to understand the planning position before issuing a formal offer. Pre-application positions can be considered in the right circumstances.

Start Your Refurbishment Finance Conversation

If you have a residential bridging requirement and would like to discuss your options, contact Amica Capital for a no-obligation conversation and an indicative term sheet.