Glenhawk eyes £1bn lending target with £200m Natwest fund

This injection sits alongside the lender’s existing funding line with J.P. Morgan and builds on Natwest’s experience in the bridging sector. The UK bridging market as a whole saw a revival in applications and completions during the second half of the year resulting in a record loan book of £6.1bn. 

The funding line is expected to give Glenhawk the opportunity to increase its lending volumes through the expansion of its unregulated range. This will lead to an increased focus on refurbishment, light development, larger loan sizes, commercial real estate and an enhanced regulated offering. 

Glenhawk said it had seen a “strong demand” for its short-term lending products this year, particularly in the residential space. It said this was supported by a lack of stock, a strong labour market and the continued focus on home ownership. 

Jennifer Wallaert, managing director at Natwest Markets, said: “Natwest Markets is delighted to work with Glenhawk’s team and support the company in its next phase of growth. This transaction demonstrates Natwest Markets’ expertise and capabilities in the UK specialist lending space and associated hedging.  

“Supporting UK businesses and ultimately providing tailored innovative funding solution to an underserved part of the market is at the very heart of Natwest Markets purpose led strategy.”  

“Fundamentals remain compelling”

Daron Kularatnam (pictured), treasurer and ESG director, Glenhawk, added: “The market dislocation we are witnessing as a result of the current macroeconomic volatility provides an attractive window for highly-disciplined and well-capitalised lenders. Furthermore, the fundamentals underpinning homeowner, commercial and mixed-use asset real estate remain particularly compelling. 

“The support of Natwest is a major endorsement of not only what Glenhawk has achieved to date, but also our future strategy, and provides stable funding to support our ambitious lending targets. Borrowers looking for sophisticated lending solutions that marry speed and flexibility with certainty of funding remain underserved, and Natwest’s support will enable us to accelerate the roll out of new products that meet growing investor demand. We are hugely excited to embark on this new growth phase and thrilled to be welcoming the Natwest team in as additional funding partners.” 

Glenhawk was advised on legals by Ashurst, Natwest Markets was advised by Allen and Overy.