Development Finance — Menorca
Senior debt, stretch-senior and mezzanine facilities for residential and mixed-use schemes across Menorca — Mahón (Maó), Ciutadella, Es Castell, Sant Lluís, Fornells and Binibeca — arranged through our specialist funding partners. Clifton International introduces clients to specialist lending partners; we do not lend or give regulated advice ourselves.
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Last updated Reviewed by our Clifton International finance team.
In short
Development finance in Menorca funds new-build, refurbishment and conversion schemes, typically up to 65% of gross development value, drawn in stages against certified works. Terms usually run twelve to thirty months and are repaid from sales or a 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
Funding for careful restoration of existing rural houses within island rules.
Facilities to rehabilitate houses in Ciutadella and Mahón.
Senior debt on boutique residential projects in established towns.
Land in Menorca funded alongside construction where planning is granted or clearly deliverable.
UK, European and international developers funded through a Spanish SL with cross-border structuring.
Cheaper facilities that refinance completed Menorca stock while sales run.
Borrower eligibility
Typical lending criteria
Indicative only. Actual terms depend on borrower profile, asset and lender criteria.
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
Finca restoration; townhouse refurbishment; small coastal schemes — across Mahón (Maó), Ciutadella, Es Castell, Sant Lluís.
Typically 65–75% of total scheme costs on senior debt, with stretch-senior and mezzanine layers taking overall leverage higher for experienced developers.
Yes, where a building licence (licencia de obra) is granted or clearly deliverable. Menorca is a UNESCO Biosphere Reserve with strict rural building rules, so finca extensions and new rural builds face tight limits.
New rural building is heavily restricted. Most funded projects are restorations of existing buildings or schemes inside towns.
Yes. UK, European and international sponsors are regularly funded through a Spanish SL, with sponsor or parent guarantees where the company is new.
From unit sales or a refinance once the scheme is complete. Development-exit facilities can refinance finished stock while sales continue. Pricing is case by case, based on LTV, the property and the strength of the exit. Expect a monthly interest rate plus an arrangement fee of 2%–5% depending on the project, with legal and valuation costs on top.
Local coverage
Mahón, Ciutadella, Es Castell and the northern coves. We also arrange development 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 Menorca
Developers frequently move completed or income-producing stock onto commercial investment terms once the scheme stabilises.
Short-term bridging in Menorca — harbour homes, coastal villas and registered fincas.
Long-term Spanish mortgages for Menorca property, with non-resident lending criteria and indicative terms.
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?
Funding for new-build, refurbishment and conversion schemes across Menorca. A specialist partner will review your scheme and reply within one working day.