Semi-Commercial
Bridging Loans

A semi-commercial bridging loan is a short-term loan secured against a mixed-use property — one that combines residential and commercial elements under a single freehold title. The classic example is a shop on the ground floor with one or more residential flats above. These properties do not fit neatly into residential or commercial mortgage categories, making bridging finance one of the most practical and commonly used routes to purchase or refinance them. AF Credit offers semi-commercial bridging from 0.89% per month, up to 70% LTV, across England and Wales.

AF Credit typically lends up to 70% LTV on semi-commercial property. This is slightly lower than pure residential bridging (up to 75%) to reflect the more limited pool of specialist refinance lenders at exit and the complexity of valuing a blended asset. The exact LTV depends on the property configuration, location, vacant or tenanted status, and the overall strength of the case. Contact us for a case-specific response — indicative terms are available the same day.

We lend on a wide range of mixed-use assets: shops with flats above (the most common type), pubs with living accommodation, office buildings with residential floors, takeaways or restaurants with a flat above, HMOs above retail units, and mixed-use investment blocks. If your property has both residential and commercial elements under one title, speak to our team — we will advise quickly on our appetite.

A RICS-qualified surveyor physically inspects the property and values the residential and commercial elements separately, using appropriate comparable evidence for each. The two valuations are combined to produce a blended open market value, which forms the basis of the loan. Desktop or automated valuations are not reliable for semi-commercial assets because the comparable datasets for the two elements are entirely different. We instruct experienced mixed-use surveyors from our approved panel to move this as quickly as possible.

Yes. AF Credit considers vacant semi-commercial properties — whether the commercial unit is empty, the residential flats are void, or both. A credible exit strategy is important for vacant assets: the most common approach is securing tenants on both elements and refinancing onto a specialist semi-commercial mortgage once the property produces income. We will discuss your exit in detail at the enquiry stage.

Semi-commercial bridging is for properties where a meaningful residential element forms part of the blended value — typically where residential value accounts for 50% or more. Commercial bridging is for pure commercial assets, or properties where the commercial element is dominant. Semi-commercial typically attracts a slightly lower rate (AF Credit from 0.89% vs 0.99% per month for commercial) and a slightly higher LTV (70% vs 65%), reflecting the residential component. See also our commercial bridging loans page.

The most common exit is refinancing onto a specialist semi-commercial or mixed-use mortgage once the property is tenanted and income-producing. Selling the asset is also a well-established exit — demand for income-producing mixed-use investments is broad. In some cases it is possible to split the title and refinance the residential and commercial elements independently. AF Credit will assess and discuss your proposed exit strategy at enquiry stage.

Adverse credit is considered on merit. As a direct principal lender, AF Credit assesses each case individually rather than applying automated credit scoring. The strength of the security, the quality of the exit strategy, and the overall case merits all carry significant weight. We will give you an honest, prompt assessment of our appetite — speak to our team before assuming your credit history is a barrier.