Short-term property finance lender Signature Property Finance has agreed a new funding line with Santander Corporate and Investment Banking (CIB).
The private securitisation warehouse facility will unlock £250m of lending for Signature Property Finance, and become the lender’s core funding source.
This will allow the lender to scale its loan book and compete in the market while supporting property developers and investors across England, Scotland and Wales.
Signature Property Finance said the facility would reduce the cost of the lender’s capital, enabling it to reduce rates across its products and increase lending while maintaining growth.
The agreement replaces previous long-term facilities Signature Property Finance had with Paragon and Hampshire Trust Bank, but the lender will retain its existing funding line with Shawbrook Bank to support the flexibility of its deals and business growth.
The lender plans to build on this and develop its products further, as well as increase its presence in the market.
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Tony Gilbertson, CEO of Signature Property Finance, said: “This agreement represents a huge vote of confidence in our business, our credit quality and it clearly recognises our self-imposed stretching targets are achievable.
“The key driver in our performance since we started this journey in 2012 has been our certainty of funding and this deal with Santander confirms our approach has always been the right one. We’re now in a position to fund more deals, more competitively and with greater certainty, whilst crucially maintaining our renowned service standards.”
He added: “We’ve already seen how this translates into tangible benefits for our clients, with rate reductions filtering through across the book during our Thrive in ’25 campaign. But equally, it reinforces our financial strength and gives us headroom to grow.
“This deal has required a lot of work behind the scenes, whilst we continued to deliver the finance our clients needed, when they needed it. Thanks to the efforts of the senior management team, we have delivered a significant milestone for the business.”