Secure commercial properties before your competition with bridge loans from \$200K to \$5M. Closings in as few as 7 business days. Acquisition, renovation, and stabilization financing all in one package.
Get Funded NowIn commercial real estate, the ability to close quickly is not a luxury; it is a competitive weapon. When a distressed office building hits the market at 40% below replacement cost, the buyer who can close in 14 days wins over the buyer who needs 90 days for bank financing, even if the bank buyer offers a higher price. When a landlord needs to sell a retail center before a loan maturity date, certainty of close matters more than the last dollar of purchase price. Commercial real estate bridge loans from Merchant Fund Express give you both speed and certainty, the two currencies that win deals in commercial real estate.
Our bridge loan program serves real estate investors, business owners purchasing owner-occupied commercial property, and developers who need interim financing for acquisition, renovation, stabilization, or repositioning of commercial assets. With loan amounts from \$200,000 to \$5,000,000 and closings in as few as 7 business days, we provide the capital that lets you execute on opportunities that would be impossible through conventional commercial lending channels.
Commercial real estate bridge loans are versatile instruments that accommodate a wide range of property types and investment strategies. Here are the most common scenarios we finance:
Purchasing commercial properties below market value that need renovation, repositioning, or improved management to reach their full income potential. Bridge financing covers the acquisition and renovation costs, and upon completion, the property is refinanced at its improved value, often resulting in little or no capital remaining in the deal. A typical value-add scenario: purchase an underperforming 20-unit apartment building for \$1.2M, invest \$300K in renovations, increase rents by 40%, and refinance at \$2.1M, pulling out your entire initial investment while retaining ownership of a cash-flowing asset.
Properties in foreclosure, REO (real estate owned by banks), or bankruptcy sales offer significant discounts but require fast capital to secure. These properties rarely qualify for conventional financing due to deferred maintenance, occupancy issues, or environmental concerns. A bridge loan allows you to acquire the property, address the issues, and position it for permanent financing or profitable sale. Discounts of 25-50% below market value are common in distressed property acquisitions.
A newly constructed or recently renovated commercial property that has not yet reached the occupancy level required for permanent financing needs bridge capital during the lease-up period. Our bridge loans provide the runway for your leasing team to fill vacancies and reach the 75-85% occupancy threshold that conventional lenders require for permanent commercial mortgages.
Business owners who find the perfect property for their operations but cannot wait 90+ days for SBA or conventional financing use bridge loans to secure the property immediately, then refinance into permanent owner-occupied financing once the deal is closed and any necessary improvements are complete. This strategy prevents losing prime locations to faster-moving buyers or investors.
Investors completing a 1031 exchange face strict IRS timelines: 45 days to identify replacement properties and 180 days to close. When your exchange timeline and your permanent financing timeline do not align, a bridge loan ensures you meet IRS deadlines while your permanent financing processes, preserving your tax-deferred exchange status and potentially saving hundreds of thousands in capital gains taxes.
Provide property details, purchase price or current value, renovation scope if applicable, your real estate experience, and your exit strategy. Include property photos and any existing financials. Our CRE team begins evaluation immediately. For urgent deals, call (305) 384-8391 directly.
Within 48-72 hours, we complete our property valuation, borrower assessment, and deal analysis. We issue a term sheet detailing loan amount, rate, term, closing costs, and any conditions. For straightforward deals, term sheets can be issued within 24 hours.
Once you accept the term sheet, we order the appraisal (if needed), prepare loan documents, and coordinate with your title company and attorney. We work in parallel to compress the timeline. Environmental reports, surveys, and insurance requirements are communicated upfront to avoid delays.
Close at the title company of your choice. Funds are wired to escrow on your scheduled closing date. For renovation bridge loans, the renovation holdback is established at closing and disbursed in stages as work is completed. Your deal is done, and your investment strategy is in motion.
| Requirement | Minimum | Preferred |
|---|---|---|
| Property Value | \$250,000+ | \$500,000+ |
| Loan-to-Value (Current) | Up to 75% | Up to 65% |
| Loan-to-ARV (Renovation) | Up to 85% | Up to 75% |
| Borrower Credit Score | 600+ | 680+ |
| Real Estate Experience | 1+ transaction | 5+ transactions |
| Exit Strategy | Defined and viable | Permanent financing pre-qualified |
Industry: Commercial Office / Medical (Orlando, FL)
Challenge: An experienced investor identified a 15,000 SF vacant office building in a medical corridor selling for \$950K, roughly 55% of its estimated value as renovated medical office suites. The property needed \$800K in renovations but banks would not finance a vacant building.
Solution: \$1.85M bridge loan covering acquisition (\$950K) plus renovation (\$800K) plus reserves (\$100K), with renovation funds disbursed in 4 stages. 18-month term with interest-only payments during the renovation and lease-up phases.
Result: Renovation completed in 5 months. Property was 85% leased within 3 months of completion at \$28/SF NNN. Appraised value at stabilization: \$3.2M. Refinanced into a permanent commercial mortgage at \$2.4M, returning the investor's entire initial investment plus \$400K in cash, while retaining ownership of a property generating \$95K in annual net operating income.
Industry: Retail / Restaurant (Brooklyn, NY)
Challenge: A successful Brooklyn restaurateur found a prime corner retail space perfect for a second location, but the landlord was selling the building, not leasing the space. Purchase price was \$820K. The owner's SBA loan was approved but would take 75 days to close. The seller had another buyer ready to close in 2 weeks.
Solution: \$680K bridge loan (with \$140K buyer equity) closed in 11 business days. Structured as 12-month interest-only bridge with the SBA permanent financing expected to close within 60 days of acquisition.
Result: Property secured ahead of the competing buyer. SBA loan closed at day 52, repaying the bridge. Total bridge cost was approximately \$11,500 for 52 days of financing. The restaurant opened 4 months later and generates \$85K/month in revenue. The property has appreciated to \$1.1M based on comparable sales.
Industry: Mixed-Use Development (Austin, TX)
Challenge: A real estate investor sold a multi-family property for \$3.8M and needed to complete a 1031 exchange into a mixed-use property within the IRS 180-day deadline. The target property was \$3.1M but the investor's permanent lender required 120 days for underwriting, exceeding the exchange timeline.
Solution: \$2.4M bridge loan (with \$700K exchange equity) closed in 14 business days, well within the 1031 exchange timeline. Bridge structured as 12-month term with the permanent refinance expected at month 4-5.
Result: Exchange completed successfully, preserving approximately \$285,000 in capital gains taxes. Permanent financing closed at month 5, repaying the bridge. Total bridge cost was \$98,000, roughly one-third of the tax savings preserved. The mixed-use property now generates \$32,000/month in gross rental income.
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