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» How to Get a Commercial Bridge Loan

Posted on 2/12/2005

A commercial bridge loan is a one-to-three year term loan for the purchase or refinancing of a commercial property. "Commercial property" is defined as any property acquired and/or used for commercial or investment purposes.

The reasons for obtaining a loan vary. The borrower or the property may not meet conventional banking criteria. Conventional banks may not be able to move fast enough to provide the loan in a timeframe required by the borrower.

If you require a commercial bridge loan, gather documentation to support the loan request in advance of submitting the request. Below is a list of documents that will get you the initial approval or denial from most lenders:

  • photos of the subject property - inside, outside, and neighborhood
  • P&Ls for the property, business entity or non-profit organization that will be obtaining the loan. (show that the loan payments can be met)
  • Brief executive summary, explaining the circumstances, the basic information about the property, how much cash is required, where the balance of cash or equity is going to come from, and exit strategy for the loan.
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