Short-term commercial financing across the USA and Canada—built for acquisitions, renovations, lease-up, and time-sensitive transactions.
Bridge financing is a short-term commercial loan designed to help borrowers close quickly or execute a transitional strategy before moving into long-term financing.
In commercial real estate, bridge loans are commonly used as:
Bridge-to-permanent: Refinance into long-term debt after stabilization
Bridge-to-sale: Hold and reposition a property before selling
Bridge-to-construction or rehab: Fund improvements, then refinance
Bridge loans are typically used when a property or borrower is not yet positioned for permanent financing due to vacancy, renovation needs, limited operating history, or tight closing timelines.
Bridge loans are often considered when one or more of the following situations apply:
Competitive acquisitions, auctions, seller deadlines, or 1031 exchanges often demand faster execution than traditional financing permits.
Bridge financing suits properties with vacancy, lease rollovers, renovations, or limited history supported by a clear stabilization plan.
Bridge loans provide capital and time to reposition a property, improve performance, and later transition into permanent financing.
When a balloon payment is due or existing financing no longer fits, bridge financing can act as a temporary refinance solution.
Common situations where short-term bridge financing supports acquisitions, renovations, lease-up, and refinancing.
Purchase an investment property, then renovate and stabilize
Fund improvements to increase rents and occupancy
Improve tenant mix and raise occupancy levels
Access capital for improvements with a defined repayment plan
Replace short-maturity debt while preparing long-term financing
Used when permanent lenders require stronger stabilization
Bridge lending is underwritten using a combination of property fundamentals, business plan, and sponsor strength, rather than long operating history alone.
Lenders review current condition, location, market demand, in-place income, and after-repair or stabilized value.
A clear plan to stabilize, refinance, or sell the property is critical. Lenders focus heavily on how the loan will be repaid.
Borrower experience, net worth, liquidity, and track record executing similar projects play a major role in approval.
Bridge loans often consider LTV, LTC (loan-to-cost), interest reserves, and projected DSCR at stabilization.
A successful bridge strategy balances speed and flexibility with disciplined planning and a defined long-term exit.