Loanhead is a town in Midlothian, Scotland, in a commuter belt to the south of Edinburgh, and close to Roslin, Bonnyrigg and Dalkeith. Th…Loanhead is a town in Midlothian, Scotland, in a commuter belt to the south of Edinburgh, and close to Roslin, Bonnyrigg and Dalkeith. The town was built on coal and oil shale mining, and the paper industries.