The Scottish Borders is one of Scotland's 32 council areas, running from the edge of Edinburgh and the Lothians down to Cumbria and Northumberland, with the North Sea on its eastern side. It covers roughly the old shires of Berwickshire, Peeblesshire, Roxburghshire and Selkirkshire. The land is hilly and mostly rural, drained by the River Tweed, and most people live in the Central Borders towns: Galashiels, the largest, Selkirk, Hawick, Jedburgh, Earlston, Kelso, Peebles, Melrose and Tweedbank, with the council based at Newtown St Boswells.
We arrange business mortgages for trading companies anywhere in the Borders that want to buy, or refinance, the premises they work from. We are a broker, not a lender. This is finance for a business's own building, not a residential mortgage.
What premises do Borders businesses buy with an owner-occupier loan?
The region's market towns grew on textiles, farming and the trade that passed along the Tweed valley, and that still shapes what comes up for sale. Former mill buildings, small industrial units and workshops suit makers, engineers and agricultural suppliers. High streets in Galashiels, Kelso, Peebles and Hawick hold shops, cafés and professional offices. Two national scenic areas, Eildon and Leaderfoot around Melrose and Upper Tweeddale near Peebles, bring visitors, which supports hotels, guest houses, pubs and restaurants.
Hospitality and other trading businesses are assessed partly on their trading figures as well as the bricks, so the terms differ. Our page on owner-occupier mortgages explains how a lender reads a company buying its own premises.
The Borders economy: farms, forestry and small family firms
ONS UK Business Counts 2026, local units.
Show as a table
| Sector | Businesses | Scottish Borders share | UK share |
|---|---|---|---|
| Farming, forestry and fishing | 1,195 | 20.2% | 4.5% |
| Construction and building trades | 705 | 11.9% | 12.5% |
| Professional, scientific and technical | 575 | 9.7% | 13.9% |
| Retail | 515 | 8.7% | 9.4% |
| Health and social care | 345 | 5.8% | 5.6% |
| Business support services | 340 | 5.7% | 8% |
| Restaurants, cafes and pubs | 280 | 4.7% | 6.2% |
| Manufacturing and engineering | 270 | 4.6% | 4.3% |
| Arts, sport and leisure | 240 | 4.1% | 3% |
- 10.4xforestry100 businesses
- 4.3xfarming1,070 businesses
- 4.2xlibraries, museums and heritage45 businesses
- 2.5xhotels and accommodation125 businesses
A figure of 2.0x means the trade makes up twice the share of local businesses that it does across the UK.
One business in five across the Scottish Borders is in farming, forestry or fishing: 20.2% of local units against 4.5% across the UK. Forestry and logging is more than ten times as common as nationally, and 85% of the region's 5,915 businesses are micro firms. Only 10 employ 250 people or more.
That shape matters for premises finance. A sawmill, agricultural engineer or farm shop buying its site is assessed on the owner's own trading history rather than a tenant's covenant, so clean, up-to-date accounts do much of the work. Rural sites can have fewer comparable sales, which makes a well-prepared valuation brief worth the effort.
How has the Borders Railway changed commercial property finance in the Scottish Borders?
For decades the area had no working station. The Victorian branch lines closed after the Second World War, and it was 6 September 2015 before the Borders Railway reopened the Waverley route from Edinburgh to Stow, Galashiels and Tweedbank. A station reopened at Reston in 2022 to serve Eyemouth, on the East Coast Main Line. There are no commercial airports in the region; Edinburgh and Newcastle are the nearest.
For an owner-occupier, location along these links matters. A unit or office within reach of Galashiels or Tweedbank stations has a wider pool of staff and potential future occupiers, which a valuer will notice. A remote rural building can still be financed, but a lender may be more cautious about loan to value if it would be slow to re-let.
Borders industrial estates, from Bongate in Jedburgh to Burnfoot
Named estates and parks listed on Google Maps near Scottish Borders, October 2026. Listed to show where premises trade locally; we have no connection with the owners or agents.
- Oxnam Road Industrial EstateJedburgh TD8 6LS
- Bongate Industrial EstateJedburgh TD8 6DU
- Bankend South Industrial EstateJedburgh TD8 6ED
- Burnfoot Industrial EstateHawick TD9 8SL
- Mansfield Gardens Industrial EstateHawick TD9 8AN
- Lochpark Industrial EstateHawick TD9 9JA
What tax, legal and lending terms apply to business property finance in the Borders, Scotland?
Land and Buildings Transaction Tax applies, collected by Revenue Scotland. Non-residential LBTT is 0% up to £150,000, 1% on the slice from £150,001 to £250,000 and 5% above £250,000 (rates as at October 2026; check the current rates before you buy). Our commercial stamp duty guide compares this with the English and Welsh taxes, which is useful for a firm weighing premises either side of the border.
The purchase is concluded by missives under Scots law and the lender takes a standard security registered with Registers of Scotland. Lenders active in owner-occupier lending typically go to 70 to 75% loan to value, at indicative rates of 6.0 to 7.5% a year, or 7.0 to 9.0% for hotels and pubs, all subject to status, accounts and valuation.
Illustrative example. A knitwear maker buys a former mill unit for £300,000. A 75% loan is £225,000 and the deposit £75,000. LBTT is £3,500, so the company needs about £78,500 before fees.
Lending to a limited company for its own premises is unregulated and sits outside the FCA's regulated mortgage perimeter; a case involving a sole trader, or living accommodation for you or close family, goes to an appropriately authorised firm. Planning is handled by Scottish Borders Council. For the rest of the country, see our Scotland premises finance page.
Premises finance in the Borders towns
Galashiels
Known as Gala, the largest town is the commercial centre of the region and home to Heriot-Watt University's School of Textiles and Design. Its station on the Borders Railway gives a direct link to Edinburgh, and buyers here range from retailers and service firms to textile and design businesses.
Hawick
Hawick is the region's best-known knitwear town, with a long tradition of hosiery and cashmere production. Mill buildings, workshops and town-centre shops make up much of what trading companies buy, and older industrial stock needs a careful valuation and survey.
Kelso
A market town where the Teviot meets the Tweed near the flat country of the Merse, Kelso serves a wide farming hinterland. Agricultural suppliers, vets, shops and hospitality businesses are typical owner-occupiers.
Peebles
In Upper Tweeddale, Peebles sits inside one of the national scenic areas and draws visitors as well as Edinburgh commuters. Independent shops, cafés, hotels and professional practices buy their premises here, often in traditional stone buildings.
Melrose and Tweedbank
Melrose lies under the Eildon Hills, while Tweedbank is the terminus of the Borders Railway. The pairing gives hospitality and tourism businesses on one side and modern units and offices with a rail link on the other.
Eyemouth
On the Berwickshire coast, Eyemouth is a working harbour town now served by the reopened station at Reston. Fishing-related businesses, food processors and seaside hospitality firms are the usual buyers of premises here.
