Redwood Bank

Redwood Bank is a UK-regulated specialist commercial bank that was established with a clear and focused mission: to provide fast, flexible, property-backed lending to small and medium-sized businesses across the UK. Licensed by the Prudential Regulation Authority in 2017, Redwood Bank has grown steadily by focusing exclusively on commercial property finance and building a reputation for speed, transparency, and personal service that has resonated with both borrowers and the broker community.

The bank was founded by a team of experienced banking professionals who identified a persistent gap in the market for a commercial lender that combined the speed and flexibility of specialist finance with the security and regulatory oversight of a fully licensed bank. Many specialist property lenders operate outside the traditional banking framework, but Redwood Bank's founders believed that full banking regulation — with its associated capital requirements, governance standards, and consumer protections — was an essential foundation for building trust with borrowers and sustainable growth for the business.

Redwood Bank provides commercial mortgages for the acquisition, refinance, and equity release of commercial and semi-commercial properties across the UK. Loan sizes range from £50,000 to £15 million, with loan-to-value ratios of up to 75%. Terms of up to 25 years are available, with both fixed and variable rate options. The bank finances offices, retail units, industrial properties, warehouses, mixed-use buildings, and a range of specialist commercial properties, providing broad coverage for the diverse requirements of UK SME borrowers.

One of Redwood Bank's defining characteristics is the speed of its credit decision-making. The bank can typically provide a decision in principle within 24 hours of receiving a complete enquiry, and has a target of issuing formal offers within two weeks of receiving all required documentation. This speed comes from a combination of experienced credit professionals who can assess cases quickly, streamlined internal processes that avoid unnecessary bureaucracy, and a flat organisational structure that enables fast escalation and decision-making when needed.

Redwood Bank's underwriting approach balances pragmatism with sound risk management. The bank's credit team assesses each application individually, considering the quality of the property, the strength of the borrower, the sustainability of the rental income or business earnings, and the overall commercial rationale for the transaction. This case-by-case approach means Redwood can consider applications that might not fit standard criteria — for example, properties with shorter leases, borrowers with recent credit events that have been resolved, or transactions requiring creative structuring. The bank's experienced underwriters use their professional judgement to assess the underlying fundamentals of each case rather than relying on rigid automated scoring.

The bank places particular emphasis on transparency throughout the lending process. Redwood Bank publishes clear criteria and pricing guides, provides honest early-stage feedback on application viability, and maintains open communication between its team, brokers, and borrowers throughout the transaction. This transparency helps to set realistic expectations from the outset and reduces the risk of applications falling through late in the process due to undisclosed issues or shifting criteria — a frustration that is all too common in commercial lending.

Redwood Bank's typical interest rates for commercial mortgages start from around 5.75%, with rates varying based on LTV, property type, loan size, and borrower profile. The bank offers fixed-rate options for periods of two to five years and variable rates linked to Bank of England Base Rate. Arrangement fees are typically 1% to 2% of the loan amount. While Redwood's rates may not always be the lowest in the market, the bank competes on the total value of its proposition — combining competitive pricing with speed, reliability, and personal service that many borrowers find more valuable than a marginal rate difference.

The bank's approach to property types is broad but focused on standard commercial asset classes. Redwood finances offices, retail, industrial, warehouses, mixed-use, and semi-commercial properties as core categories, and will also consider specialist properties on a case-by-case basis where the bank's underwriters are comfortable with the asset class and the specific property. For each property type, the bank has developed clear lending criteria that are published for broker reference, reducing guesswork and enabling efficient case preparation.

Redwood Bank lends to individuals, limited companies, SPVs, LLPs, and partnerships, providing flexibility in borrower structure. The bank is experienced with borrowers who hold properties through corporate structures for tax efficiency and understands the particular documentation and guarantee requirements for company borrowing. For portfolio landlords, Redwood can assess applications with consideration of the borrower's overall property portfolio and financial position.

The application process with Redwood Bank is designed for efficiency without sacrificing thoroughness. Initial enquiries are assessed rapidly, with feedback typically provided within 24 hours. The bank's broker support team helps to prepare applications properly before formal submission, identifying any potential issues early and ensuring that documentation is complete. Once a formal application is submitted, Redwood instructs a valuation and initiates legal due diligence, targeting formal offer issuance within two weeks of receiving all required information. Standard completions typically take four to eight weeks from formal application.

Redwood Bank has built strong relationships with the intermediary community through consistent service quality and responsive broker support. The bank's broker development managers provide knowledgeable, accessible support, and the bank has invested in efficient broker communication systems that keep intermediaries informed of case progress. These broker relationships are central to Redwood's business model, and the bank's commitment to serving the intermediary channel well is reflected in consistently positive broker feedback and industry recognition.

For Commercial Mortgage Broker clients, Redwood Bank is a strong recommendation for SME borrowers who value speed, transparency, and personal service in their commercial mortgage experience. The bank's combination of fast decision-making, clear communication, and pragmatic underwriting makes it a reliable choice for straightforward to moderately complex commercial property transactions. Our relationship with Redwood Bank's credit team enables us to present cases efficiently and ensure the smoothest possible journey from enquiry to completion.