Publication - Advice and guidance

Building Scotland Fund (BSF): how to apply

Building Scotland Fund is a precursor to the Scottish National Investment Bank. It focuses on housing, modern industrial and commercial property and business-led research and development projects.

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38.0 kB

Building Scotland Fund (BSF): how to apply
Expressions of interest

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Express interest in the Building Scotland Fund

Projects / investments must be capable of agreement within a short timescale and be drawn down by March 2021 although consideration may be given to projects that will require draw down after this date. 

Evidence of deliverability within this timescale will be helpful at an early stage; e.g. planning status and land ownership or control (for construction projects), offers of support to complete the financing package etc.  Applications for finance which clearly demonstrate deliverability within the investment periods set out will be given priority.

The amount of finance available will vary depending on the project.  The BSF financing will not cover the entire cost of a project, and applicants will need to provide funding from their own resources or from other third parties.  

BSF will not fund projects where the proportion and type of equity, or other capital subordinated to BSF’s financing is not appropriate for the project’s industry, the nature of the project, the proposed structure of BSF funding or other risk aspects of the project.  For example, a project will not be eligible for BSF loan finance where the full project costs are proposed to be debt funded at one level of priority.  Other capital subordinated to BSF’s financing can include junior debt, mezzanine debt or grant. 

Following any BSF financing, the investee must retain a private sector classification and this may limit the form and terms of any BSF investment.

Applicants will initially need to provide an Expression of Interest (EOI), which should include the following information:

  • a brief summary of the project
  • a description of how it meets the fund objectives, and details of any other wider benefits it will deliver
  • the type of funding required – whether loan or equity finance and amounts, and how it will be repaid within 2-30 years (This should also demonstrate the ability to service any debt and/or generate the necessary equity return within a 2 to 30 year timeframe and, where appropriate, details of the assets over which security can be taken and how any inter-creditor position would be treated.)
  • the overall project budget, and details of other funding/financing
  • project start and end dates and estimated drawdown profile (by year) for the funding requested
  • current project status and deliverability (e.g. site control, planning status or commercial prospects as relevant)
  • a list of project partners and actual/potential co-funders
  • an indication of why public sector investment is sought
  • how your project meets the investment criteria (Low Carbon (housing projects) and Fair Work practices)
  • how your project contributes to wider Scottish National Investment Bank principles (Low Carbon (all projects), creating places, tackling demographic issues, wider community benefits)

You will receive an acknowledgement of receipt of your EOI and in due course a response.  If it is considered eligible and a priority at that time, further work will be undertaken with you and additional documentation (including formal legal documentation) will be required.  

The Scottish Government is committed to developing suitable investment opportunities quickly to assist these investments to be made, although it will require appropriate credit processes to be followed and retains discretion to decide which projects / investments to support.

Fill out the attached expression of interest form.

Completed forms should be submitted to:



Scottish Government 
Building Scotland Fund Team
Scottish National Investment Bank Directorate
1 North Waverley Gate
2-4 Waterloo Place


Telephone: Central Enquiry Unit 0300 244 4000