$445K Commercial Bridge
- 12 Month Terms
- Up to 75% LTV
In this real estate opportunity, the client sought a commercial bridge loan to address a specific financing need related to a Los Angeles strip mall property. The client required a quick and flexible financing solution for the strip mall property, which could involve various purposes such as acquisition, renovation, or other transactional needs.
Insignia Capital, granted a $445,000 commercial bridge loan with 12-month terms. This provided the borrower with a one-year timeframe to meet their objectives and repay the loan.
The phrase “Up to 75% LTV” refers to the Loan-to-Value ratio, which is a crucial factor in determining the maximum loan amount a lender is willing to provide. In this case, Insignia Capital was willing to finance up to 75% of the appraised value of the strip mall property. For instance, if the strip mall property had an appraised value of $600,000, the lender could offer a loan of up to 75% of that value, which amounts to $450,000.
It’s important to note that commercial bridge loans are specifically tailored for commercial real estate properties like strip malls. These loans offer short-term financing to facilitate time-sensitive transactions, property acquisitions, or renovations. Due to their temporary nature and the potential risks associated with commercial properties, bridge loans often involve higher interest rates and fees compared to traditional long-term commercial loans.
The $445K commercial bridge loan with 12-month terms provided by Insignia Capital allowed the borrower to address their immediate financing needs related to the strip mall property, while they worked towards securing long-term financing or completing the necessary steps for the loan’s conditions. This type of financing can be a valuable tool for commercial property investors or businesses seeking flexibility and quick access to capital in the dynamic commercial real estate market. Please contact Insignia Capital for our latest rates and programs.