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How a Commercial Bridge Loan Can Help You Seize Real Estate Opportunities

June 03, 2022

When you want to act quickly on a commercial real estate opportunity, there isn’t typically the time to arrange permanent financing – you need the flexibility to move immediately with financial backing to close the transaction. This is where a commercial bridge loan comes in.

As the name suggests, a commercial bridge loan “bridges” the gap between a pressing need for financing and a longer-term solution. For instance, if you see a property for sale that would fit perfectly in your portfolio – but you don’t have time to secure long-term financing – a commercial bridge loan can help you purchase it quickly.

Alternatively, if you require short-term financing while you complete re-leasing or lease-up activities, to prepare an asset for redevelopment, to restructure ownership or release equity to fund another acquisition, a commercial bridge loan can provide the funding you need now.

Benefits of a commercial bridge loan

There are several advantages to commercial bridge loans for real estate buyers and developers. Namely, they offer:



Commercial bridge loans serve several different scenarios, providing financing when you need it quickly with flexible payment structures.
Quick Closing

Quick closing

Depending on your lender, commercial bridge loans close within three weeks or even less, allowing you to move on opportunities sooner.
Selling and Range of Terms

A range of terms

Terms for bridge loans can be anywhere from three months to three years, giving you flexibility to move into a permanent solution once you’re ready while providing the time to renovate, stabilize and/or lease-up a property.

Why choose MCAP for your bridge loan

For over 35 years, MCAP has provided reliable, flexible financing for multi-family, seniors housing, student housing, industrial, office, and retail assets. To meet the varying needs of our clients, we offer two bridge loan options:

Multi-Family Short Term Bridge Mortgage: This solution provides flexibility to close quickly on a purchase transaction, complete final lease-up activity or facilitate timely repayment of construction debt. Loans are available from $5M to $50M.

Conventional Bridge Mortgage: This loan provides short-term flexibility to complete re-leasing or lease-up activity, complete capital repairs, prepare an asset for redevelopment, restructure ownership of the asset, or release equity to fund subsequent acquisitions. Loans are available from $3M to $25M.

What’s more, once closing has occurred or the repositioning of the property is complete, the MCAP commercial team has a variety of long term competitive commercial mortgage financing solutions readily available for you, making MCAP the perfect lender for your business. The same team of experts remains in place throughout the entire lifecycle of the loan, which means you have a consistent, dedicated team available to assist you at any time.

Have questions?

If you’d like to learn more about MCAP’s commercial bridge loan solutions or any other commercial mortgage solutions, visit our Commercial Mortgages page or Contact Us for more information.

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