OSB Group Secures £25.9m Refinance for Manchester Mixed-Use Development Barclay House

OSB Group has finalised a £25.9 million refinance for Barclay House, a mixed-use development in Manchester, completing the transaction in just 21 days from formal offer. For fintech and specialist lending professionals, the deal demonstrates the increasing demand for high-velocity, short-term bridge-to-exit facilities in the regional residential and commercial property markets.

What was announced

The £25.9 million refinance was structured for a seasoned property developer to support Barclay House, a significant mixed-use development located in Manchester. The scheme consists of 93 residential apartments alongside basement commercial space. The funding serves as a bridge-to-exit facility, allowing the borrower to transition away from their previous development lender now that the residential portion of the project has reached practical completion.

The facility is designed to provide the developer with the necessary liquidity to complete fit-out works for the commercial basement units. Furthermore, it allows the borrower to establish a consistent rental income stream across the residential units before committing to a long-term refinance or a potential sale of the asset. This strategic pause between construction and final exit is becoming a common requirement for developers looking to maximise asset value in a fluctuating market.

Speed of execution was a defining feature of the deal, which moved from a formal offer to completion in 21 days. The entire process, from the initial referral to the delivery of funds, was completed in just over a month. OSB Group’s High Net Worth and Specialist Property Team maintained momentum by conducting a site visit shortly after the first enquiry, which helped inform the credit approval process. The loan was agreed at a 75% loan-to-value (LTV) ratio, reflecting both the developer’s professional track record and the perceived resilience of the Manchester rental market. A&M Investment Office acted as the adviser on the transaction, marking their first deal with OSB Group.

"This was a substantial transaction with a challenging timeframe, but by engaging with the borrower at an early stage and visiting the site within days of the initial enquiry, our teams were able to build a clear understanding of both the asset and the client’s objectives. The strength of the development, the borrower’s track record and the resilience of the Manchester rental market gave us confidence in the case, allowing us to deliver a solution in just over a month from first enquiry."

Adrian Moloney, Group Lending Distribution Director, OSB Group

"The client needed a lender that could move quickly and take a pragmatic view of a complex refinance while parts of the scheme were still being finalised. Although this was our first transaction with OSB Group, the team engaged early, worked collaboratively with the professional advisers and maintained clear communication throughout the process. Completing a £25.9 million transaction in this timeframe helped the client meet a critical deadline and move forward with their plans for the development."

Aris Shanti, Partner, A&M Investment Office

The companies involved

OSB Group is a prominent specialist lender in the United Kingdom, listed on the London Stock Exchange and operating through a portfolio of brands including Precise, Kent Reliance, and InterBay. The group has established a significant presence in the specialist mortgage market by focusing on complex sub-sectors such as professional buy-to-let, commercial, and semi-commercial property. Its High Net Worth and Specialist Property Team is designed to handle high-value transactions that fall outside the automated criteria of mainstream lenders, requiring manual underwriting and a pragmatic approach to asset valuation.

A&M Investment Office, the advisory partner on this deal, provides bespoke financial solutions for sophisticated property developers and investors. The firm specialises in structuring debt and equity for large-scale real estate projects, often acting as a bridge between developers and specialist funding institutions. This transaction represents a new collaboration between the two entities, specifically targeting the Manchester market. The involvement of such intermediaries is increasingly vital in the specialist space, where navigating the transition from development finance to exit strategies requires deep market knowledge and established lender relationships.

What FF News has reported before

OSB Group has been a recurring subject in FF News, particularly regarding its efforts to digitise and accelerate the lending cycle. Previous reporting includes Precise Launches New Residential Mortgage Platform Cutting Offer Times by 30%, which highlighted how the group's Precise brand utilised new technology to significantly reduce offer turnaround times. This focus on speed is a consistent theme in the group's market positioning. Other relevant coverage of the specialist lending landscape includes the appointment of Michael Walsh at Pepper Money, as seen in Pepper Money Appoints Michael Walsh to Lead Scottish Expansion Ahead of First Charge Launch, and the advisory expansion at RiseUp, detailed in RiseUp Accelerates Growth With Appointment of Three Fintech Veterans to Advisory Board. These stories reflect a broader industry push toward more agile, specialist financial services.

What this means

This transaction highlights a growing trend where specialist lenders are stepping in to fill the "funding gap" between construction completion and long-term asset stabilisation. As traditional banks maintain conservative appetites for large-scale regional developments, the ability to execute a £25.9 million deal in under a month puts significant pressure on slower-moving competitors. It also underscores the continued institutional confidence in Manchester’s residential sector. However, the reliance on rapid refinances raises questions about the broader market's sensitivity to interest rate fluctuations during the "bridge" period, and whether other regional hubs can attract similar levels of specialist capital as the UK property market evolves.