Bridge Loans

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SunRidge Commercial Capital offers a variety of bridge loan products for commercial real estate. Bridge loans are typically used to fund a gap between a current funding need and permanent financing. These loans are generally shorter in term than a permanent loan and can range from 12 to 36 months. Closings on these products tend to be faster than a typical term loan and can sometimes be completed in a time frame as short as 30-45 days. 

While many bridge lenders will allow multiple reasons for a putting a bridge loan in place, the following are more typical:

- Acquisitions where the financials don’t support traditional lending, but the buyer believes they can improve the cash flow

- CapEx and FFE 

- Property improvements 

- Repositioning of a property

- Short term interest only non-recourse financing

Despite often coming with higher interest rates than traditional loans, bridge loans offer several advantages, including more flexible terms, an expedited closing process, fewer restrictions on the use of funds, and access to capital in situations where other funding sources may not be available. If you are thinking about bridge financing as an option for your business needs, it’s important to consider these potential benefits.

When reviewing these requests, our lenders typically require a minimum loan of $3MM. They want to make sure the borrower has a strong value proposition and a clear exit strategy. 

Typical Lending Parameters:

- Loan size: $3MM -$100MM

- LTV to 75% / LTC to 85% (LTV can be based on stabilized value)

- Rate Range: 7.99 – 12.99%

- Interest Only repayment

- Lending Areas: Medium to Large MSAs

- Term: 12 -36 months, extensions typically available

- First lien position