If you're planning to purchase a commercial property—such as an office, retail unit, warehouse, or mixed-use building—and want to do so in accordance with Islamic finance principles, there are several Sharia-compliant financing solutions available in the UK market.
Fraser Bond offers tailored support for clients looking to fund commercial acquisitions ethically, with no involvement in riba (interest), gharar (excessive uncertainty), or prohibited use.
To ensure your commercial acquisition is halal, the finance must meet these core criteria:
No interest (riba) – Replaced with profit-sharing, rental, or markup structures
Asset-backed – Transactions must be tied to real, tangible property
Ethical use – The commercial activity must not involve haram sectors (e.g. alcohol, gambling, adult entertainment)
Shared risk – The financing model should distribute ownership, risk, or rental income ethically
Transparency and fairness – All terms must be clearly disclosed at the outset
The Islamic bank buys the commercial unit and leases it to you
You pay agreed rent while gradually acquiring full ownership
Suitable for offices, shops, clinics, or investment units
The bank purchases the property and resells it to you at a fixed markup
You pay instalments over a fixed term with no interest
Common for one-off commercial acquisitions with larger deposits
You and the bank jointly own the commercial property
You gradually buy out the bank’s share while paying rent on their portion
Popular for income-generating assets with growth potential
Sharia-compliant lenders typically assess:
Deposit amount (usually 30%–40% of property value)
Type and location of commercial asset (must be halal-compliant)
Rental yield and investment purpose
Business income or alternative income sources
Credit history and financial conduct UK or international investor status
Fraser Bond works closely with Islamic lenders to structure solutions that meet both UK financial regulations and Sharia requirements.
Gatehouse Bank – Offers Sharia-compliant commercial buy-to-let and development finance
Al Rayan Bank – May support commercial or semi-commercial property purchases under specific conditions
UBL UK – Flexible for experienced investors and business buyers
Specialist Islamic finance firms – Offer custom funding structures for larger projects
Fraser Bond provides comprehensive support, including:
Sourcing commercial units suitable for Islamic finance
Introducing you to Sharia-compliant lenders and preparing applications
Structuring Ijara, Murabaha, or Musharakah agreements
Legal coordination with Islamic-compliant solicitors
Investment and tenant strategy support for long-term halal returns
Whether you're purchasing a retail space in Central London or developing a warehouse facility in Greater Manchester, we ensure full compliance and commercial viability.
Fraser Bond helps ethical investors and business owners acquire UK commercial property with riba-free, Sharia-compliant financing. From property search to lender approval and legal closing—we support every stage of your halal investment journey.
Visit FraserBond.com or contact our Islamic commercial finance advisory team to schedule a confidential consultation.
