The new loan, charged at 1.40% per month, is available at 60% loan to value on prime London office and retail developments, 55% LTV on secondary offices and 50% on secondary retail premises.
The minimum loan size on the new product is £200,000 while the maximum loan size is £25m and the property must have a value of at least £500k.
There is no exit fee after the first month’s interest.
Mark Posniak, head of marketing & operations at Dragonfly Property Finance, said: “Within residential property we are very well known and lend more than any other finance provider. While we intend to keep pushing hard within that sector we are also keen to ramp up our commercial proposition and this new product is the first major step in that direction.
“The message we want to get out to commercial developers and investors is that we are hungry to lend and have the funds and financial strength to do so.”
Posniak added: “In finance terms we feel the commercial property sector is currently underserved and have our sights set on rectifying this. Working with the experienced and highly knowledgeable members of the NACFB will clearly make for an easier roll-out of this product.”
Adam Tyler, chief executive of NACFB, added: “We are thrilled that Dragonfly are making a concerted move into commercial and this will be a huge benefit to the sector given their track record and appetite to lend. Our members have dealt with them on numerous occasions in the past and they have never failed to deliver a service that is anything other than first class.
“This is an exciting development for our organisation and it is an exciting development for the commercial property market as a whole.”
