Modular building and portacabin finance
Modular building finance funds portable cabins, site offices, modular classrooms, welfare units and storage containers used on construction sites or operationally, spreading the cost rather than buying the units outright. The usual routes are hire purchase, which suits units a business expects to keep and move between sites, and sale-and-leaseback, which releases capital from a fleet of modular units already owned. The units are the security and modular buildings hold value across sites as transferable, recoverable assets, which keeps lenders comfortable. Underwriting considers the business track record, the asset and, for semi-permanent installations, the planning position. Site-to-site movement costs over the term are a real consideration on a mobile fleet. For construction main contractors, schools needing temporary classrooms, healthcare providers using temporary clinics and modular accommodation suppliers, financing the units keeps cash free for the wider project and lets the fleet flex with demand.
At a glance
- Category
- Property
- Typical tickets
- £10,000 to £300,000+
- Typical term
- 36 to 84 months
- Best finance type
- Hire purchase for keep-on-site; sale-and-leaseback for releasing capital.
How financing modular building and portacabin works
The lender funds the units and you repay over a fixed term, with the buildings as security. Hire purchase transfers ownership at the end; sale-and-leaseback turns owned units into released cash with a lease back over them. For semi-permanent installations the planning position can affect underwriting, because it changes how easily the lender could recover and resell.
Typical terms
Terms commonly run 36 to 84 months. Movement, craneage and reinstatement costs between sites are material on a mobile fleet and should be budgeted alongside the finance. Planning status matters most where units are semi-permanent.
Who it suits
Construction main contractors, schools and education providers needing temporary classrooms, healthcare providers running temporary clinics and modular accommodation suppliers. Hire purchase suits keep-on-site units; sale-and-leaseback suits releasing capital from an owned fleet.
What to check
- Planning permission status, which affects underwriting on semi-permanent buildings.
- Site-to-site movement and craneage costs across the term.
- Whether the units are kept long term or refreshed.
- Condition and resale value of older units in a sale-and-leaseback.
Why asset finance fits
Modular buildings hold value across construction sites; transferable security.
New to the structures? The guide to hire purchase, finance lease, operating lease and refinance explains how each route is taxed and accounted for, and the asset finance cost compare calculator puts them side by side on the same asset.
Top sectors
- Construction main contractors
- Schools and education temporary buildings
- Healthcare temporary clinics
- Modular accommodation providers
Top UK lenders
- Specialist modular finance lenders
- Aldermore
- Time Finance
- Manufacturer finance arms (Portakabin, Algeco)
Watch outs
- Planning permission status affects underwriting where buildings are semi-permanent.
- Site-to-site movement costs over the term.
Apply
Open modular building and portacabin finance eligibility checker →Last reviewed: 2026-04-26.