Bridge Loan Unlocks Equity for Stabilized Multi-Family Asset
A Benchmarking
Buildings Case Study
Multi-Family Renovation
Following the renovation of 25 residential units and 4 commercial spaces, the developer partnered with MD Energy Advisors to refinance a $3.7MM construction loan. MDEA secured a $4.2MM senior bridge loan, enabling $500K in equity return to investors while providing time to stabilize the property ahead of permanent financing.
Opportunity
Coming off of the successful renovation of 25 residential units and 4 commercial office spaces our client was looking for assistance to refinance the construction loan with a bridge loan and cash out and return equity to his investors in the process.
Solution
MD Energy Advisors identified a regional bank to help execute the business plan and successfully secured a $4.2MM bridge loan with a local community bank to refinance the $3.7MM construction loan and cash out $500M to return to the equity investors. The secured bridge loan will allow the developer more time to stabilize the property and ultimately secure permanent financing.
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