Greater London

Industrial and Logistics Property Finance in Croydon

Funding for industrial units, warehouses and multi-let estates in Croydon: commercial mortgages, acquisition finance, bridging, development, mezzanine and long-term debt.

Written by Matt Lenzie Founder & Principal Broker · 25 years arranging commercial property finance

up to £32.00/sq ft

Prime rent (London)

4.75%

Prime yield (London)

7.08%

UK logistics vacancy

3,124

House sales, 12m (Croydon)

Looking for funding on an industrial unit in Croydon? Croydon sits in Greater London, within the Greater London industrial and logistics market. We are a finance arranger, not a lender: we arrange commercial mortgages and the full range of light industrial finance on Croydon property, from acquisition and bridging through development and mezzanine to long-term debt, across Greater London.

Every facility we arrange is grounded in the market evidence. Prime industrial and logistics rents in Greater London run to up to £32.00/sq ft (Newmark (Gerald Eve), UK Prime Logistics, Q4 2024), with prime equivalent yields around 4.75% (Knight Frank, UK Logistics Market Dashboard, Jan 2026). Prime rents in the region grew 5.4% over the year (Knight Frank, UK Logistics Market Dashboard, 12 months to Dec 2025). We then underwrite the specific Croydon property, its income and its occupier demand, on its own merits.

Commercial mortgages on Croydon industrial units

A commercial mortgage is the core way to buy or refinance an industrial unit in Croydon. For investors, lenders size the loan against the rent: typically up to around 65 to 70 percent loan to value, tested so the net rental income covers the interest with a clear margin, with the tenancy schedule, the estimated rental value and the re-letting depth of the Croydon market all part of the assessment. For owner-occupiers buying their own premises the loan is underwritten on the trading business instead, its accounts and its debt service cover, and can reach around 70 to 80 percent for established firms. Terms run from 5 to 25 years. We place each facility with the lender that prices Croydon industrial property best across Greater London.

Warehouses, multi-let estates and trade counters across Greater London

Each property type is underwritten differently. We arrange finance for distribution and logistics warehouses, multi-let industrial estates, trade counters, workshops and light industrial units, hybrid and flex space, urban and last-mile logistics and open storage yards in Croydon and across Greater London. A let distribution warehouse on a long lease to a single covenant, a fully let estate of small units with dozens of SME tenancies, and a vacant workshop bought at auction are credit-assessed in very different ways, and knowing which lender backs each format is the work we do before a deal reaches credit. Multi-let estates carry short leases that re-gear to market quickly, which lenders read as reversionary income, while distribution sheds and trade counters lean on the covenant strength and unexpired term of the tenant.

Finance we arrange in Croydon

Property types we fund

How much you can borrow against Croydon industrial property

On an industrial investment in Croydon, a commercial mortgage usually reaches around 65 to 70 percent of value, so you would budget for equity of roughly a third of the price plus stamp duty and costs. The figure is driven by the quality of the income, the tenants, the unexpired lease terms and the condition of the unit, not the postcode. Vacant or part-let property is funded differently: bridging finance secures an auction purchase or a unit awaiting letting, typically to around 70 to 75 percent of value from around 0.75 percent per month, and development or refurbishment finance funds works to around 65 to 75 percent of cost, with mezzanine stretching the stack where the scheme supports it. Interest rates depend on the lender, the leverage and the income profile, so we quote them deal by deal rather than as a headline rate. We size the right facility, rate and equity requirement for your Croydon deal.

Where industrial property trades in Croydon

Croydon is one of the largest commercial districts in Greater London and sits at the centre of Tramlink, the only tramway system in southern England, which opened in 2000. Croydon is served by A23 and M25 J7, the kind of road access that drives occupier demand for industrial units and supports the rents an estate can sustain. Occupiers here draw staff and customers from across the town, from Addiscombe, Thornton Heath, Purley and Coulsdon, the catchment a lender weighs when it considers re-letting risk. Planning applications for industrial use, including change of use within Class B2, B8 and E(g), are determined by London Borough of Croydon. Multi-let landlords with estates in or around Croydon include Mileway, a sign of institutional confidence in the catchment. Mileway estates in Croydon, Coulsdon and Mitcham.

Industrial demand signals in Croydon

Development activity is visible in the planning register: 4 recent applications for industrial and logistics use in the Croydon area include 26/01140/DISC (Details pursuant to Condition 3 (contamination) of planning permission 24/03893/FUL for "Change of use from MO...). We track industrial, logistics and open storage planning applications across more than 100 UK council portals. As a local-economy signal, Croydon recorded 3,124 residential transactions in the last twelve months on HM Land Registry price paid data, at a median price of £412,750; that is housing-market context, not industrial volume, but it speaks to the depth of the local economy that fills small units. Nationally, industrial and logistics vacancy remains moderate at 7.08% (CBRE, UK Logistics Q4 2025, Q4 2025), against forecast rental growth of 2.7% (Savills, Big Shed Prospects 2026, 2026 forecast).

Croydon industrial market profile

Planning authorityLondon Borough of Croydon
Road accessA23, M25 J7
Landlords presentMileway
House sales (12m)3,124 · median £412,750

Location facts and Land Registry data. Market figures shown are national or Greater London-level, not Croydon-specific.

Recent industrial planning applications

26/01140/DISC · 17 April 2026Details pursuant to Condition 3 (contamination) of planning permission 24/03893/FUL for "Change of use from MOT and serv...
26/00931/DISC · 27 March 2026Discharge of condition (6) (travel plan) of planning permission reference 23/03684/FUL granted on the 10/03/2026 for the...
26/00930/DISC · 27 March 2026Discharge of conditions 11 (CEMP biodiversity) and 12 (Biodiversity Compensation and Enhancement Layout) of planning per...

Source: council planning register (Idox). A development-activity signal, not our applications.

The Greater London industrial and logistics market

Croydon is an established industrial market within Greater London, the kind of catchment lenders are comfortable underwriting. Well-let units and estates attract competitive commercial-mortgage and term-debt pricing, while bridging and refurbishment finance suit vacant units, auction purchases and value-add plays where the exit is clear.

London is the UK's tightest and most expensive industrial market, defined by an acute scarcity of urban, last-mile and multi-let space serving a dense and affluent consumer base.

Structural land constraints and very limited speculative supply underpin the strongest near-term rental-growth forecast of any region, and investor appetite for last-mile multi-let assets continues to strengthen.

Market commentary and figures for Greater London are drawn from Knight Frank (UK Logistics Market Dashboard, Jan 2026); Newmark (Gerald Eve) (UK Prime Logistics, Q4 2024); Colliers (Industrial and Logistics Rents Maps H2 2025, Jun 2025).

Sources and methodology

Industrial and logistics market figures are published nationally or regionally, not per town, so the rents, vacancy and yields on this page are presented as context for a Croydon appraisal and attributed to their sources (Newmark (Gerald Eve), UK Prime Logistics; Knight Frank, UK Logistics Market Dashboard; CBRE, UK Logistics Q4 2025). Town-level facts are different: road access, the named estates, the planning authority, the landlords present, and the Land Registry housing-transaction data are genuinely local and sourced. We do not publish a Croydon-specific rent or yield as if it were measured. Nationally, UK big-box logistics take-up reached 25.6m sq ft in 2025 (CBRE, UK Logistics Q4 2025, 2025).

FAQ

Industrial and logistics finance in Croydon: common questions

Can you get a mortgage on an industrial unit in Croydon?

Yes. An industrial unit in Croydon is financed with a commercial mortgage rather than a residential loan. We arrange them for owner-occupiers buying their own premises, underwritten on the trading business, and for investors buying let units or estates, underwritten on the rent, typically to around 65 to 70 percent loan to value, and we place each one with a lender that backs the sector.

How much deposit do I need to buy an industrial unit in Croydon?

Most lenders advance around 65 to 70 percent of value on a let Croydon industrial investment, so plan for equity of roughly 30 to 35 percent of the price plus costs. Established owner-occupiers can often reach around 70 to 80 percent against their own premises. A vacant or short-income unit is funded on more cautious terms, often via a bridge first.

What are Croydon industrial finance rates and terms?

Rates depend on the lender, the leverage and the income profile of the property, so we quote them deal by deal rather than as a headline. Indicatively, term debt starts from around 6 percent, development finance from around 8 percent and bridging from around 0.75 percent per month, with terms from months on a bridge to 25 years on a commercial mortgage. For market context, prime industrial and logistics rents in Greater London run to up to £32.00/sq ft (Newmark (Gerald Eve), UK Prime Logistics, Q4 2024).

Can I fund a multi-let estate or a yard in Croydon?

Yes. Multi-let industrial estates are funded on the rent roll, with the lender testing interest cover against the net income and the manager's ability to run dozens of small tenancies; open storage and industrial yards are funded against the land with more conservative leverage, typically around 55 to 65 percent. We arrange both routes across Greater London.

Funding an industrial unit in Croydon?

Send us the outline and we will come back with a view on fundability and likely terms within one working day.