Distressed Real Estate Financing
Commercial real estate sponsors often face capital shortfalls, loan maturities, or covenant breaches
that put projects at risk. Financely raises $25M–$500M
in bridge loans, rescue capital, mezzanine debt, and preferred equity
to stabilize distressed assets and preserve sponsor ownership. We specialize in financing strategies for office, retail, hospitality, multifamily, logistics, and niche asset classes across global markets.
Outcome:
sponsors refinance or recapitalize distressed assets, cover liquidity gaps, and retain control while repositioning properties.
Bridge Loans
Short-term bridge facilities
provide liquidity to refinance maturing loans, fund capital improvements, or stabilize operating cash flow. Loan-to-value ratios typically range from 55%–70%, with flexible terms that allow sponsors to execute their turnaround plans.
Rescue Capital
Rescue capital is structured as preferred equity
or mezzanine debt, injecting fresh funds into distressed projects. Investors take priority returns while allowing existing sponsors to avoid foreclosure or fire-sale exits. Financely sources institutional rescue capital providers aligned with distressed opportunities.
Mezzanine Debt
Subordinated debt facilities ranging from $10M–$150M
provide leverage when senior lenders refuse to extend terms. Mezzanine capital is secured by equity pledges or junior liens, priced at 10%–16% annually, and often combined with upside participation.
Preferred Equity
For sponsors needing equity infusions without dilution to common shareholders, preferred equity provides priority returns and exit structures. Financely arranges joint venture partnerships and structured preferred capital for distressed repositionings and refinancings.
Example Distressed Financing Stack
| Instrument |
Typical Range |
Purpose |
| Bridge Loan |
$25M – $300M |
Refinancing, liquidity, capital improvements |
| Mezzanine Debt |
$10M – $150M |
Leverage when senior won’t extend |
| Preferred Equity |
$15M – $200M |
Equity injection, structured protections |
Distress creates both risk and opportunity. With the right financing structure, sponsors can recapitalize properties, avoid foreclosure, and stabilize income streams until permanent refinancing is available. Financely connects distressed sponsors with global credit and equity providers specialized in rescue situations.
Request a Quote for Distressed Real Estate Financing
Financely raises bridge loans, rescue capital, and equity for distressed real estate assets starting at $25M. Minimum engagement fee: $25,000.
Request a Quote
Financely is an advisory and placement firm. We are not a lender. All distressed financings are subject to underwriting, due diligence, and executed documentation. Minimum advisory engagement $25,000. Final pricing depends on asset type, jurisdiction, and sponsor profile.