LendInvest has launched a new funding partnership with asset-based private credit specialist Castlelake.

The agreement enables Castlelake to purchase up to £250m in loan purchases and enables LendInvest to scale the firm’s bridging proposition.

The new funding represents an evolution of LendInvest’s funding stack.

The arrangement increases LendInvest’s capacity for more complex loans, including the ability to fund individual projects up to £15m as well as an expansion in regulated bridging loans and other areas such as development.

LendInvest chief capital officer and managing director of mortgages Hugo Davies says: “This partnership is a strategically important milestone for our bridging franchise.”

“By partnering with Castlelake we have secured an accretive, long-term funding solution that allows us to fund larger loans more efficiently and support gaps in the market where traditional lenders remain constrained.”

“Coming off the back of our strong half-year results, this deal underscores the institutional confidence in our platform and our commitment to making property finance simple for both new and existing customers.”