Development Finance — Madrid
Senior debt, stretch-senior and mezzanine facilities for residential and mixed-use schemes across Madrid — whole-building conversions in prime central districts, new-build residential across the metropolitan area and mixed-use rehabilitation stock.
Senior debt for building conversions, new-build residential and mixed-use repositioning across Madrid. A specialist will review your scheme and revert within one working day.
Last updated Reviewed by our Clifton International finance team.
In short
Madrid development finance funds ground-up construction, conversions and major refurbishments, typically up to 65% of gross development value released in stages against certified works. Facilities usually run twelve to twenty-four months and repay from unit sales or an investment refinance.
At a glance
Figures reviewed:
Indicative figures for guidance only, correct as at October 2026. Rates, costs and timelines vary by lender, borrower profile, asset and jurisdiction, and are not an offer of finance. How we derive these figures.
Last reviewed . Read the full Key facts methodology, or speak to our team for a quote based on your circumstances.
Local data
Price data
Transfer tax in Spain is set by each autonomous community, not centrally — the same €1m purchase costs materially more in some regions than others. These are the figures that apply to a Madrid purchase.
Official price per m² and purchase taxes for Madrid, Q2 2026
Source for price per m²: Ministerio de Transportes y Movilidad Sostenible (MITMA), Valor tasado de la vivienda libre, Q2 2026 (published September 2026). Figures are the official average bank-valuation price of private housing (vivienda libre), in euros per m², for municipalities over 25,000 people or, where a town is not published, the province or region shown. Valuation prices usually sit below portal asking prices. Tax rates are the headline rates published by each autonomous community. Guidance only — not tax or legal advice; confirm the rate applying to your purchase with your Spanish lawyer. View the official MITMA data · Compare all 30 Spanish locations · Data disclaimer · How we compile these figures.
Popular Spain finance
Why clients choose us
Facilities on Salamanca, Chamberí and Chamartín building acquisition and conversion into apartments.
Senior debt on small-to-mid new-build residential schemes across Madrid's metropolitan area.
Refurbishment and repositioning finance on existing mixed-use stock in the city centre.
US, UAE, UK and European developers welcomed — cross-border SPV structuring with Spanish counsel.
Development-exit facilities to refinance completed residential stock and preserve sales pace.
Spanish banks, international private banks and specialist real-estate debt funds active in Madrid.
Borrower eligibility
Typical lending criteria
Indicative only. Actual terms depend on borrower profile, asset and lender criteria.
Case studies
Real deals arranged — with the scenario, the structure and the outcome. Every transaction is different; these illustrate how we think.
€4.5m · 43% LTV · 36 days to funding
A developer needed structured financing to continue the development of a residential building in a strategic location in Palma, with construction already significantly progressed and commercialisation to follow on completion.
Following a comprehensive transaction analysis covering construction progress and the asset's market value, our specialist partners structured a tailored developer loan aimed at driving project execution and its subsequent commercialisation.
€6m · 60% LTV · 18-month bridge
A completed 14-unit residential scheme required a bridge into a longer-term facility to avoid discounting units on completion of the senior debt.
Our specialist partners structured an 18-month bridge with interest retained, allowing the developer to sell units at target values without pressure.
Recent transactions
Published transactions from our own case study library — select any to read the full brief.
Madrid · Refinance
€5.1m · ~47.7% LTV · 13.5% p.a.
€5.1m mortgage-backed credit line completed on a €10.7m prime Madrid home — repaying a €1.6m bank mortgage and releasing liquidity for professional investment.
Mallorca · Development
€4.5m · 43% LTV · 36 days to funding
€4.5m developer loan at 43% LTV to complete a 6-unit residential building in a strategic Palma location. Funding delivered within 36 days.
Costa Blanca · Exit
€6m · 60% LTV · 18-month bridge
€6m 18-month development exit bridge with interest retained, allowing a Costa Blanca developer to sell 14 completed units at target values without discounting.
Frequently asked
Whole-building refurbishment and conversion in prime central districts, new-build residential across the metropolitan area, and mixed-use repositioning stock are all regularly financed.
Yes — whole-building acquisition and conversion into apartments is a well-understood Madrid strategy, with senior debt sized on total-cost basis.
Typically 65–75% of total scheme costs on senior debt, with stretch-senior and mezzanine layers taking overall leverage higher on stronger schemes.
Yes — international sponsors are regularly funded on Madrid schemes via a Spanish SL, subject to a demonstrable track record of comparable projects.
Off-plan and completion sales, with development-exit facilities available to refinance completed residential stock and preserve sales pace.
Local coverage
Salamanca, Chamberí, Chamartín, La Moraleja and the north-west corridor. We also arrange property finance across the neighbouring areas below — one adviser, one conversation, whichever location you buy in.
Nearby covered areas
Not listed? We cover all of mainland Spain, the Balearics and the Canaries — tell us the town and we will confirm lender appetite.
Also in Madrid
Developers frequently move completed or income-producing stock onto commercial investment terms once the scheme stabilises.
Commercial and investment finance on Madrid offices, retail units, hotels and mixed-use buildings held personally or through an SPV.
Short-term bridging across Madrid — prime residential, commercial and mixed-use buildings, with drawdown in 3–6 weeks.
Currency exchange
Development equity, contractor payments and staged costs are paid in euros over months. Our currency partner can help you plan staged or forward transfers so the scheme’s margin isn’t eroded by exchange-rate moves.
Clifton introduces clients to a specialist currency partner and does not hold, convert or transfer client funds.
Explore the currency service
Related coverage
Lender appetite matrix
New-build off-plan — appetite across every buyer profile. Indicative panel appetite reviewed July 2026 — not an offer of finance.
UK buyer (non-resident)
Offer usually issued near completion, so stage payments come from own funds.
Buyer guideUS buyer (non-resident)
Long build timelines plus US compliance leave very few lenders.
US buyers & off-plan guideUAE / GCC-based buyer
Panel narrows; developers usually want staged cash before an offer exists.
Buyer guideEU buyer (non-resident)
Widest off-plan appetite of any non-resident profile.
Buyer guideSwiss / Norwegian buyer
Available, with the offer confirmed close to handover.
Buyer guideSpanish resident / fiscal resident
Developer-linked lending and subrogation of the builder's loan available.
Corporate / SPV purchase
Rarely funded before completion; bridging covers the gap.
Buyer guideRelated bridging & development finance
Dedicated landing pages for each bridging use case and development stage — with typical structures, eligibility and example transactions.
Time-critical acquisitions, auction, off-market and chain-break completions.
View pageRefinance existing Spanish debt, cancel embargoes and restructure onto cleaner terms.
View pageRelease equity from Spanish real estate to fund operating capital or growth.
View pageFast cash advance against Spanish property with a defined exit route.
View pageShort-term facilities for professional investors executing on Spanish opportunities.
View pagePartial land funding on consented and pre-consented sites, rolling into senior debt on planning grant.
View pageSenior debt for new-build residential and mixed-use schemes with staged drawdowns.
View pageRefurbishment and repositioning finance for existing Spanish buildings.
View pageFinance for schemes already under construction — completion funding and stretched senior.
View pageRelated services
Purchase finance for primary residences, second homes and holiday properties across Spain.
Learn moreSenior debt and stretched-senior facilities for residential and mixed-use schemes.
Learn moreInvestment and owner-occupier funding for offices, hospitality, retail and logistics.
Learn moreImproved terms, capital raising and exit refinance for maturing Spanish facilities.
Learn moreShort-term funding for acquisitions, auctions, chain-breaks and development exits.
Learn moreReady to explore your options?
Senior debt for building conversions, new-build residential and mixed-use repositioning across Madrid. A specialist will review your scheme and revert within one working day.