Development Finance — Mallorca
Senior debt, stretch-senior and mezzanine facilities for boutique residential, mixed-use and hospitality schemes across Mallorca — the south-west, Palma, the north and rural interior.
Senior debt for boutique villa clusters, Palma conversions and rural hospitality schemes across the island. A specialist will review your scheme and revert within one working day.
Last updated Reviewed by our Clifton International finance team.
In short
Mallorca development finance funds villa construction, finca restoration and boutique hospitality schemes, typically up to 65% of gross development value with staged drawdowns against certified works. Terms run twelve to twenty-four months and repay from sales or a term refinance.
At a glance
Figures reviewed:
Indicative figures for guidance only, correct as at July 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.
Popular Spain finance
Why clients choose us
Facilities on 3–15 unit villa schemes across Son Vida, Puerto Andratx, Bendinat and Camp de Mar.
Senior debt on Palma townhouse-to-apartment conversions and small residential blocks.
Boutique hotel and rural finca hotel conversion finance with a defined operator and licensing route.
UK, German, Nordic, US and Middle-Eastern developers welcomed with cross-border SPV structuring.
Development-exit facilities to refinance completed stock and preserve sales pace on the island.
Structured facilities on rural finca schemes with agricultural land and tourism-use components.
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.
Recent transactions
Published transactions from our own case study library — select any to read the full brief.
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.
Estepona · Non-Resident Mortgage
€1.6m purchase · 70% LTV · primary residence
A 70% LTV Spanish mortgage was secured through a specialist partner for a UK tax-resident international professional relocating to a €1.6m primary residence in Estepona.
Frequently asked
Boutique villa clusters in the south-west and north, Palma townhouse and small apartment conversions, and hospitality-led rehabilitation across the island are all actively financed.
Typically 65–75% of total scheme costs on senior debt, with stretch-senior and mezzanine layers taking overall leverage higher on suitable schemes.
Yes — Palma old-town and rural finca hotel conversions are financeable where planning, licensing and operator strategy are well-defined.
Yes — UK, German, Nordic, US and Middle-Eastern developers are regularly funded on Mallorca via a Spanish SL with cross-border SPV structuring.
Off-plan and completion sales into the international buyer market, with development-exit facilities available to refinance completed stock and preserve sales pace.
Local coverage
Palma, Son Vida, Puerto Andratx, Deià, Pollença and the south-east. 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 Mallorca
Developers frequently move completed or income-producing stock onto commercial investment terms once the scheme stabilises.
Commercial property finance on Mallorca hospitality, retail and mixed-use assets, including boutique hotel and rental-yield lending.
Short-term bridging on Mallorca property where a term mortgage cannot complete in time, refinanced onto a mortgage at exit.
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 boutique villa clusters, Palma conversions and rural hospitality schemes across the island. A specialist will review your scheme and revert within one working day.