Commercial Real Estate Bridge Financing
Evaluate short-term financing against a specific property plan, a complete capital budget, and a credible source of repayment.
For commercial and multifamily real estate situations requiring transitional capital while the property stabilizes, ownership changes, or a refinancing or sale is prepared. AGIMANO evaluates bridge lending opportunities through the asset’s economics and downside exposure.
When timing creates a capital gap
- A maturing loan needs a transition to a realistic refinancing or sale
- A property requires leasing, unit improvements, or other capital before stabilization
- A recapitalization or acquisition needs time to complete a defined operating plan
- A distressed asset has identifiable financing needs and an underwritable exit
What the assignment can cover.
Understand the use of proceeds
Separate debt repayment, transaction costs, capital improvements, leasing expenditures, working capital, and reserves. Assess whether the proposed financing covers the full transition.
Underwrite collateral and execution
Review property condition, tenancy, current and projected cash flow, title matters, sponsor resources, and the dependencies behind the business plan. Test the effect of delays and weaker operating results.
Evaluate repayment and structure
Consider the expected refinance or sale alongside alternative outcomes. Assess the proposed term, reserves, milestones, and reporting against the transition’s risks and the available capital.
A defined process. Clear responsibilities.
Review the opportunity
Establish the property, requested financing, current debt, use of proceeds, and the event expected to repay the financing.
Test the transition
Review the supporting information and stress-test the budget, timing, leasing assumptions, and exit. Identify funding gaps before advancing.
Define the next steps
Determine whether the opportunity merits further work and what underwriting, documentation, and approvals would be required.
Start with the property and the immediate issue.
An initial discussion establishes the situation, timing, and whether the proposed assignment fits. Supporting materials can follow through an agreed information-sharing process.
- Property summary, ownership, occupancy, and current rent roll
- Requested amount, existing debt, and intended use of proceeds
- Operating statements, capital budget, and transition schedule
- Proposed repayment source and supporting refinance or sale assumptions
What makes a credible bridge-financing exit?
The proposed refinance or sale should be supported by the property’s projected cash flow, capital needs, timing, and market assumptions. It should also be tested against delays and less favorable outcomes.
Are loan amounts, rates, or closing dates predetermined?
No. Availability and potential terms are evaluated for each opportunity. A discussion or preliminary review is not a financing commitment, approval, or assurance of a closing date.
Financing opportunities are subject to underwriting, capital availability, documentation, and applicable approvals. Terms and AGIMANO’s role are established for each transaction.
Property details drive the analysis.
Retail and shopping centers, hotels and hospitality, office buildings, and multifamily communities each carry different operating needs. The review accounts for tenancy, management, capital requirements, and the financing or legal issues affecting that asset.
Related capabilitiesPhotography illustrates property types and does not represent completed AGIMANO assignments.