Glenhawk has agreed a £200m senior funding line with NatWest Markets to boost its regulated and unregulated loans.

The specialist short-term lender says the new line will support its unregulated product range, which will focus on refurbishment and light development projects, larger loan sizes and commercial real estate – as well as increasing its regulated offering.

It adds the move capitalises on NatWest’s experience in the high growth UK bridging sector, which saw applications and completions rebound significantly in the second quarter of this year, as industry bridging loan books hit a record £6.1bn, up 22% on the same period a year ago, according to the latest Association of Short Term Lenders data.

The lender says the new facility sits alongside its existing funding line with US investment bank JP Morgan, and comes after doubling the size of its live loan book over the past 12 months, which is part of its plan to lend £1bn a year by 2024.

NatWest Markets managing director Jennifer Wallaert says: “This transaction demonstrates NatWest Markets’ expertise and capabilities in the UK specialist lending space and associated hedging.

“Supporting UK businesses and ultimately providing a tailored innovative funding solution to an underserved part of the market is at the very heart of NatWest Markets purpose-led strategy.”

Glenhawk treasurer & environmental, social and governance director Daron Kularatnam adds: “The market dislocation we are witnessing as a result of the current macroeconomic volatility provides an attractive window for highly disciplined and well-capitalised lenders.

“Furthermore, the fundamentals underpinning homeowner, commercial and mixed-use asset real estate remain particularly compelling.”