Commercial Real Estate Equity Bridge Loans
Need funds to lock a property, close an earnest money deposit, clear liens, or finalize permits before senior debt arrives. We arrange equity-backed bridge loans that rely on sponsor equity in the project and strict fund controls, not just immediate hard collateral. Cash sits in escrow, releases follow milestones, and investors receive an equity kicker or conversion right sized to risk.
What This Solves
Acquisition Gap
Cover deposits, price adjustments, and speed-to-close while senior or agency debt is documented.
Construction And Capex
Fund early works, tenant improvements, and change orders to keep schedules intact.
Recapitalization
Refinance partner buyouts or cure shortfalls before takeout from a permanent lender.
Structures We Arrange
Convertible Bridge
Short tenor loan with a right to convert into project equity if repayment from takeout does not occur by the long stop date.
Bridge With Warrants
Debt coupon plus warrants or profit participation tied to stabilization or sale.
Preferred Equity Bridge
Pref equity that behaves like a bridge with priority distributions and negotiated buyout.
Fund Controls And Investor Protections
Cashflow Controls
- Escrow and controlled disbursements tied to invoices and milestones
- Blocked or controlled accounts for rents and sales proceeds when applicable
- Use of proceeds certificates for each draw
- Monthly reporting on budgets and bank statements
Legal Safeguards
- Assignment of funded contracts and notices to counterparties
- Pledge over project company interests where permitted
- Negative pledge on the same assets to avoid a double pledge
- Conversion or step in rights if milestones are missed
Who Qualifies
Sponsor Profile
Experienced sponsors or co sponsors with a defined plan, clean KYC, and verifiable track record.
Assets
Multifamily, industrial, last mile logistics, hospitality with strong flag, office with signed pre leasing, and mixed use with visible exits.
Use Of Proceeds
Deposits, option exercises, permit fees, capex, TI and LC, interest reserves, cure amounts, and closing costs.
Indicative Term Sheet
| Terms |
| Facility: Equity linked bridge financing for commercial real estate at project or SPV level |
| Ticket Size: USD 3,000,000 to USD 50,000,000 per transaction |
| Tenor: 3 to 12 months, extensions by agreement with step pricing |
| Pricing: 10% to 14% per year pay rate, depending on risk, controls, and exit visibility |
| Equity Kicker: Warrants or conversion option equal to 1% to 5% fully diluted, sized to risk and tenor |
| Use Of Proceeds: Release from escrow only against approved invoices for deposits, permits, capex, and closing items as per budget |
| Security And Controls: Escrow, blocked accounts where applicable, assignment of funded contracts, pledge of SPV interests where permitted, negative pledge, monthly reporting |
| Exit Sources: Senior mortgage or construction debt, agency takeout, sale or recapitalization, proceeds waterfall agreed at closing |
| Long Stop: If takeout is not achieved by the long stop date, investor may convert into equity or exercise step in rights as documented |
| Fees: Financely structuring and underwriting 1.5% to 3.0% of face value, non refundable. Investor arrangement or closing fees by agreement with investor and outside our scope |
Why Sponsors Work With Us
Speed With Control
We keep money in escrow and tie releases to milestones so projects move forward without fund leakage.
Alignment
Investors share upside through warrants or conversion, which keeps pricing in check and focus on closing the exit.
Clean Execution
Term sheet, data room, diligence, and closing are managed on a secure workflow with clear responsibilities.
Request A CRE Equity Bridge Proposal
Share deal summary, uses and sources, timeline, and exit path. We will respond with a structure, pricing range, and closing steps.
Start Your Mandate
Financely acts as arranger and underwriter. Financely is not a lender and does not issue securities. All transactions depend on due diligence, KYC and AML screening, investor approval, and executed documentation. The term sheet above is indicative and non binding.