Business Expert
Types of Bridge Loans Available
Discover flexible financing options tailored for investors who need immediate liquidity, fast execution, and structures aligned with their goals. Below are the main categories of bridge loans we offer:
1. Income-Generating Properties
Borrower: Special Purpose Entity (SPE)
Personal Liability: Required if the DSCR (Debt Service Coverage Ratio) is below 1.1 (personal guarantee will be required)
Use of Funds: No restrictions
Term: 1 year, with the option of up to 4 annual renewals
Interest Rate: From 9.875% annually
Due Diligence Fee: Not charged, but costs related to site visits, legal counsel, and specialists will be borne by the borrower (estimated between $30,000 and $45,000)
Maximum LTV (Loan-to-Value): Up to 75% of the projected six-month exit value
Collateral: First mortgage + pledge of 100% of shares + assignment of rental income
Prepaid Interest: Covers the initial term of the loan
2. Rehabilitation and Construction Financing
Borrower: Special Purpose Entity (SPE)
Personal Liability: Not required for principals*
Use of Funds: Exclusively for the asset securing the loan
Term: 1 to 3 years, with possible extension up to 5 years in exceptional cases
Interest Rate: From 9.875% annually
Due Diligence Fee: Not charged, but borrower is responsible for costs related to site visits, legal counsel, and specialists (estimated between $30,000 and $45,000)
Maximum LTV: Up to 65% of the projected six-month exit value
Collateral: First mortgage + pledge of 100% of shares + contract with the general contractor
Prepaid Interest: Covers the initial term of the loan
3. Vacant Commercial Land
Borrower: Special Purpose Entity (SPE)
Personal Liability: Not required for principals*
Use of Funds: No restrictions
Term: 1 year, with the possibility of up to 2 annual renewals
Interest Rate: From 9.875% annually
Due Diligence Fee: Not charged, but borrower is responsible for costs related to site visits, legal counsel, and specialists (estimated between $30,000 and $45,000)
Maximum LTV: Up to 60% of the projected six-month exit value
Collateral: First mortgage + pledge of 100% of shares
Prepaid Interest: Covers the initial term of the loan
Important General Considerations:
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In all cases, an appraisal by an MAI or MRICS certified professional will be required.
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The borrower may propose the appraiser, subject to the lender’s prior approval.
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Interest payments are non-refundable.
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No penalties for early repayment.
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To request an extension, interest must be paid upfront.
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Extensions do not incur administrative fees and retain the same interest rate.
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The mortgage will be in the first lien position.
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Closing may occur within 30 to 45 days after site inspection and receipt of the required documentation from the borrower.
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Special focus is given to developing countries with secure environments in Asia, Latin America, and Eastern Europe, where financing can have a positive local impact.
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Loan amounts available starting at $2 million.
