Commercial Bridge Loans

A “Commercial Bridge” loan is a short-term loan used to purchase or refinance a property quickly in order to take advantage of a short-term opportunity, accommodate an urgent closing, or bridge the gap until permanent financing is available.  A Commercial Bridge Loan is a great fit in the following situations:

  • Unique acquisition situations requiring non-conventional financing such as a foreclosure sale or REO
  • Sale & Leaseback Scenarios needing a quick closing
  • Distressed Sales, IRS Liens, Bankruptcy Resolutions, Debt Consolidation
  • Partner Equity Buyouts
  • Mortgage Acquisitions and Discounted Mortgage Buybacks
  • Rehab & Conversion opportunities which require property stabilization before permanent financing can be obtained

At Capital Funding Financial, our commercial bridge loans close quickly… in as little as 7-14 days at rates starting at 7.99%! Our commercial bridge loans require no personal income verification and very little documentation instead the underwriting is primarily based on the property itself! Our Commercial Bridge loans are a great way to purchase or refinance a commercial asset which needs a quick closing without the extensive underwriting associated with traditional bank financing. Our commercial bridge loan program provides you with the ability to close quickly by using a reliable & experienced lender as your financing partner. and very little documentation!

Investment Criteria

Loan Size$2,500,000 – $100 Million
Term12, 18, 24, 36 month options
Time to Close28 – 45 Days from Deposit
Asset ClassesMultifamily, Mixed Use, Retail, Industrial, Self-Storage, Warehouse, Data Center, Office, Medical Office, Independent & Assisted Living (case by case)
LTVLesser of up to 75% of the “as is” Value or 65% – 70% of the “as stabilized” Value
Lien PositionSenior secured first mortgage or deed of trust
Interest Rate1 Month SOFR + 400 – 850 BPS
Origination Fees2.00% – 3.50% (adjusted to loan size, timing and complexity)
AmortizationInterest Only
“Stabilized” Debt Yield8.75+
“Stabilized” DCR1.25x
CapEx/TI HoldbacksHoldbacks for renovations & tenant improvements
PPP / Yield MaintenanceMinimal prepayment penalty generally for ½ of the initial term
RecourseRecourse & Nonrecourse Options with “bad boy” carve outs
Minimum Net Worth & LiquidityNW > LA | Liquidity of 5% – 10% of LA

Required Documents

We recommend being prepared to provide the following documentation in order to process this type of loan as efficiently as possible.

Property Documents

Current Rent Roll
Operating Statements for Last Two Years & YTD
Operating Budget/Proforma for Next 12 Months
Purchase Contract or Payoff & Current Mortgage Statement (if applicable)
Leases
Property Management Agreement
Plan to Stabilize the Property with Timeline and Budget/Costs (if unstabilized)
Planned and Past Capital Improvements
Valuation (to be ordered)
Title & Insurance Contacts

Personal Documents

Loan Application
Copy of Driver’s License & Passport
Personal Financial Statement
Schedule of Real Estate Owned
Bio/Resume
Last Two Months of All Bank Statements

Business Documents

Last 2 Years of Tax Returns (if applicable)
Entity Documents – Articles of Organization + Bylaws/Operating Agreement
Organizational Chart

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Get the fastest hard money lender on your side and let Capital Funding fund your dreams.

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Wondering which program best fits your investment? Speak to a loan officer to get tailored guidance on the best options for your property.
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5550 Glades Rd Ste #200,
Boca Raton, FL 33431