Holiday and residential park stabilisation finance
We arrange stabilisation finance for developers and operators carrying a new or repositioned holiday or residential park through the fill-up of pitches and lodge sales to a stabilised income. A park takes seasons to build recurring pitch-fee income, so this is the short-dated bridge across that gap, not a regulated home loan or a personal loan.
Stabilising holiday parks
Holiday and residential parks are operational businesses, holiday and caravan parks, static-led and lodge parks, and residential park-home sites, valued on EBITDA multiples rather than a property net initial yield. Christie & Co's nearest measure is operational yields ranging between about 6% and 10% across leisure sectors, an operational range rather than a property prime yield. After a subdued 2024, the sector recovered through 2025 with returning institutional appetite, strongest for larger static-led parks with dependable pitch-fee income.
Holiday and residential park stabilisation finance is the short-dated bridge that carries a new or repositioned park from completion of works through the fill-up of pitches and lodge sales to a stabilised, trading-evidenced income. A park takes seasons to fill pitches and lodge sales and to build recurring pitch-fee income before its trading is stabilised, so income builds rather than switching on at completion. Stabilisation finance funds that fill-up before lenders who favour proven trading will refinance.
The financing question turns on the trading ramp and the recurring income, not on any one borrower's personal circumstances. Lenders read the fill-up of pitches and the pace of lodge sales, the recurring pitch-fee income the park builds, the operator's track record, and the gap between the day-one value and the stabilised value the proven EBITDA supports. As an operational sector, they weigh trading and EBITDA closely, sizing against loan to value during the ramp, the income the park builds, and interest cover, with a clear exit onto investment debt or a sale once the park trades to a stabilised level.
We package the park, the operator and the trading assumptions so lenders comfortable with parks and operational risk can price the fill-up quickly, and we run the market across stabilisation, development exit and investment term lenders rather than approaching a single bank.
What we fund
- New static-led holiday parks filling pitches and lodge plots
- Repositioned parks building recurring pitch-fee income
- Residential park-home sites stabilising after works
- Parks adding lodges or pitches and ramping the trade
- Mixed holiday and residential parks proving a new income
- Standing trading parks being refinanced off development debt
Indicative terms
- Loan to value during fill-upCommonly around 65 to 75% of value
- TermShort-dated, across the seasons needed to fill pitches
- Income basisRecurring pitch-fee income plus lodge sales, building
- Trading testLenders value parks on EBITDA and weigh trading closely
- Interest coverTested against building income; often part-serviced
- Key testsPitch fill-up, lodge sales, recurring income, operator
- ExitInvestment refinance or sale once trading is stabilised
Indicative only. Terms vary by lender, asset and scheme and are not an offer of finance.
How we arrange holiday and residential park finance through fill-up
We arrange park finance around the fill-up of pitches and the build of recurring income, and pre-agree the exit. For a new or repositioned park, we place stabilisation finance commonly to around 65 to 75% of value, short-dated across the seasons needed to fill pitches and build pitch-fee income, sized on the income the park generates today and its trajectory to a stabilised level. Where the works have just completed, development exit finance repays the development facility and gives the park room to fill without a construction loan running on. Because parks are operational businesses valued on EBITDA, lenders weigh trading closely and often allow interest to be part-serviced while the recurring income builds. We pre-agree the route onto an investment term loan or a sale once the park trades to a stabilised level. We frame every figure as indicative and never as an offer; the terms depend on the park, the operator and the pace of the fill-up.
What lenders assess on a filling park
Lenders underwrite a holiday or residential park on the fill-up of pitches and lodge sales, the recurring pitch-fee income it builds, the operator's track record, and the gap between day-one and stabilised value, then size against loan to value, the building income and interest cover. As an operational sector valued on EBITDA, they weigh trading closely, because the recurring income and the operator's ability to run the park are what underwrite the loan and the exit. Institutional appetite is returning, strongest for larger static-led parks with dependable pitch-fee income, which deepens the pool of lenders and buyers, but operational trading risk is priced very differently from a let property asset. As a broker with no exclusive tie, we present the operator and the trading evidence honestly and place the case with the lender most comfortable with park risk. We arrange the finance; we do not lend, and we are not FCA-authorised because this is unregulated commercial lending.
From pitch fill-up to a stabilised income
A holiday or residential park's exit rests on reaching a stabilised, trading-evidenced income, after which it refinances onto investment debt or sells. Because parks are operational businesses valued on EBITDA rather than a property net initial yield, the relevant measure is Christie & Co's operational yields ranging between about 6% and 10% across leisure sectors, an operational range to read alongside the specific park's trading. The sector recovered through 2025 with returning institutional appetite, strongest for larger static-led parks with dependable pitch-fee income, so a stabilised park with proven recurring income has a clear exit. Once the park trades to a stabilised level, we term out the bridge onto a senior investment loan sized on the EBITDA, or arrange a cash-out refinance to release equity. For a stabilisation lender, that clear route from a pitch fill-up to a refinanceable income is what supports the loan on day one.
Finance that suits this asset class
- Stabilisation bridge financeCarries the park through the fill-up of pitches to a stabilised income.
- Development exit financeRepays the construction loan and gives the park room to fill.
- Bridge-to-term financeStructures the move from the stabilisation bridge onto long-term debt.
- Senior investment term loansLong-term debt sized on the park's stabilised EBITDA.
- Cash-out refinanceReleases equity from a stabilised park into the next project.
Stabilising holiday parks?
A view on fundability within one working day.
Frequently asked questions
How is a holiday or residential park financed before it is fully trading?
Usually with a short-dated stabilisation bridge, commonly to around 65 to 75% of value, that carries the park across the seasons needed to fill pitches and build recurring pitch-fee income. Because parks are operational businesses valued on EBITDA, lenders weigh trading and often part-service interest while income builds. Where the works have just completed, development exit finance repays the construction loan first. The exit is onto an investment loan or a sale once trading stabilises.
How are holiday and residential parks valued for finance?
Parks are operational businesses, so they are valued on EBITDA multiples rather than a property net initial yield. Christie & Co's nearest measure is operational yields ranging between about 6% and 10% across leisure sectors, which should be read alongside the specific park's recurring pitch-fee income and trading. That is why a lender weighs the fill-up of pitches and the build of recurring income before refinancing a stabilisation bridge onto term debt.
What do lenders look for when financing a holiday park?
Lenders look at the fill-up of pitches and lodge sales, the recurring pitch-fee income the park builds, the operator's track record, and the trading the park can evidence, then size against loan to value, the building income and interest cover. As an operational sector valued on EBITDA, trading leads the underwriting rather than a personal income. We present the operator and the trading evidence and place the case with a lender comfortable with park ramp risk.
Is this the same as static caravan or park home finance for a buyer?
No. We arrange commercial property finance for the developers and operators who build, reposition and own parks: the stabilisation bridge across the pitch fill-up and the investment debt that refinances it on the park's EBITDA. That is entirely separate from consumer finance to buy an individual static caravan, lodge or park home, which is a retail product and not something we arrange. Our finance is unregulated commercial lending against the park and its income.
Stabilising holiday parks?
Tell us about the asset and the income plan and we will come back with a view on fundability and likely terms.