InterBay, part of the OSB Group, has announced a raft of changes to its commercial lending proposition, including the launch of a new owner occupier product range, rate reductions across selected products and a reduced minimum loan threshold.

The lender’s new owner occupier range is designed to appeal to brokers working with SME clients in need of tailored commercial finance solutions. Rates on selected commercial products now start from 6.54%, while semi-commercial rates begin at 5.49%, both with a 5% fee.

In addition, the minimum loan size for standard products has been lowered from £150,000 to £125,000.

Marc Callaghan (pictured), head of commercial lending at InterBay, said the changes were designed to reflect market demand and offer greater flexibility to brokers and their clients.

“We monitor the market and look at ways that we can best support brokers with commercial clients,” he said.

“Research suggests that of the UK’s industrial and logistics property market, 95% of the sector comprise small to mid-size units. This new range has a clear focus on owner occupier opportunities, helping to support SMEs across this and other commercial sectors.”

The new range includes a choice of fee structures and offers up to 75% LTV on both 2 and 5-year fixed products.

InterBay has also refreshed its commercial investment offering, and made targeted rate cuts of up to 0.20% on selected products. These include the new commercial owner occupier products and semi-commercial properties where the residential element accounts for 55% or more of the total value.

The move comes amid signs of continued resilience in commercial property values, particularly in the retail sector.

James Hardwick, managing director at Charleston Financial, part of Pivotal Growth, welcomed the launch.

“We’ve seen increased interest around owner-occupier in the commercial space throughout the first half of 2025 so InterBay launching this range is very timely,” he said.

“This new range will attract a lot of attention, especially as statistics for the UK Q1 2025 retail sector suggest that investment yields are holding steady if not improving, and therefore property values are being supported as a result.”