UK real estate investor Delancey has launched a real estate credit strategy that will provide short-to-medium term whole loans of £10m (€11.5m) and above.

The strategy, known as AlbionArc Capital, will be sector-agnostic, targeting transitional and bridge situations, and including development assets, for terms of between 12 and 36 months. 

Delancey says AlbionArc Capital is a long-term, scaleable strategy “designed to recycle capital efficiently and deploy substantial volumes across UK real estate credit opportunities”.

As with Delancey’s existing debt strategies, this transitional real estate finance strategy will lend across sectors, with a strong emphasis on high-quality sponsors and liquid assets. The investor added that the strategy already has a pipeline of opportunities, with potential loans being considered across the office and senior living sectors.

In 2025, Delancey established a strategic lending partnership with UK challenger bank Cynergy.

Adnan Ozair, managing director, fund strategies at Delancey, said: “Our new UK real estate credit strategy, backed by sophisticated investors with extensive experience in, and continuing appetite for, the UK market, is designed as an attractive option for borrowers seeking transitional or bridge financing. AlbionArc Capital will offer flexible, interest-only debt that allows clients to move quickly on acquisitions, refinancing, or transitional business plans. We will work collaboratively with our borrowers to meet their investment and development timelines.

“Leveraging the wider Delancey platform’s deep real estate underwriting expertise, the strategy delivers efficient, bespoke financing solutions by pairing agile capital with a proven ability to assess complex situations and deploy capital with speed and certainty,” he added.

Martin Kom, head of credit investment at Delancey, said: “A convergence of structural forces, from changing work patterns and consumer expectations to rising sustainability requirements, are driving a near-constant need for assets to be repurposed, which is heightening demand for transitional finance. Regulatory restraints are also encouraging traditional banks to move risk off their balance sheet, creating an opening for specialist alternative lenders like Delancey to provide shorter-duration products to investors in the UK real estate market.

“While the nature of AlbionArc Capital’s loans will be shorter term, we will be focused on building long-term relationships with quality developers and investors with whom we want to do repeat business.”

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