InterBay introduces six broker-driven criteria updates

InterBay has introduced six broker-driven updates to its commercial and semi-commercial lending criteria following consultation with its broker partners.

The changes are designed to provide greater flexibility, broader eligibility and a more practical approach to structuring complex deals.

The key updates include:

Market value lending
InterBay will now lend up to 75% of market value, rather than the lower of market value and vacant possession value.

This enables larger loan sizes on income-producing assets, provided the loan does not exceed 85% of vacant possession value and the valuer confirms a maximum 12-month letting and sale period. The valuer’s market rent will also be used in place of passing rent.

Mixed-use properties
Semi-commercial properties with a residential split of more than 50% (previously 55%) will now qualify for lower semi-commercial pricing.

Minimum lease period
Where a property is income-producing at origination and this can be validated, minimum lease term requirements have been removed.

Lease overhang
The requirement for a 60-month remaining lease term at loan expiry has been removed.

Vacant units
Cases will now be considered where there is sufficient rental income to cover vacant units. Non-structural works to enhance property condition are also accepted.

First-time landlords
The requirement for two years’ relevant sector experience has been removed, making it easier for new commercial landlords to access funding.

Marc Callaghan, Head of Commercial Lending at InterBay, said:

“These criteria changes are a direct result of listening closely to our broker partners and understanding the real-world challenges they face when placing commercial and semi-commercial cases.

Ultimately, these updates mean faster decisions, broader eligibility and more opportunities to place complex deals with confidence.

We’re committed to evolving our proposition in step with broker feedback, and today’s changes are another step in strengthening the way we work together.”

Lucy Waters, Managing Director at Aria Finance, added:

“This is a strong move that reinforces InterBay’s role as a key partner in the commercial lending space.

These enhancements show InterBay is serious about supporting brokers and their clients during more challenging times.

The move to market value lending and the easing of lease restrictions will unlock opportunities that simply weren’t viable before.

It’s refreshing to see a lender act directly on broker feedback and make changes that will have a real, positive impact for our clients.”

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