Bridge Loan Program - Silver Hill Funding

The Bridge Loan Program

Short-Term Bridge Debt Solutions

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The Bridge Loan Program

Short-Term Bridge Debt Solutions

Loans from $1M to $5M

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Cash-Outs Available

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Rates as Low as 6.250%

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Strengthen your commercial mortgage product offering with competitive, non-bank options from a direct lender.

Permanent Financing

Secure attractive, long-term financing for strong sponsors who require the flexibility of a direct, portfolio lender.

Best for: Commercial properties with in-place cash flow which are near-misses for banks, agency lenders, life companies, or CMBS originators.

What types of deals are a strong fit for our program?

  • Cash-out refinances (especially when banks say no)
  • Borrowers requesting a 30-year fixed rate term (interest-only option available)
  • Deals with DSCR below 1.15
  • Properties with recent stabilization
  • Deals requiring alternative documentation like bank statements

Bridge Financing

Take advantage of short-term, non-recourse bridge loans designed to help borrowers execute on value-add repositioninFixed g plans for their commercial properties.

Best for: Commercial properties with some existing cash flow that require light rehab or re-tenanting before permanent financing is achievable.

Let’s Get in Touch:

Have a scenario to discuss right now? Simply want to learn more about our program? Fill out this form and one of our commercial loan experts will get in touch with you soon.

Program Highlights

Loan Amounts:

Max LTV Tier 1&2:

Purpose:

Term:

$1 MM – $5 MM

80%

Acquisition & Refinance

5/7-Year Hybrid or 10/30-Year Fixed

PROPERTY TYPES Office, Retail, Light Industrial, Warehouse, Mixed-Use, Multifamily (5+ Units), Hotel (with an approved franchise agreement), MHC, Self-Storage, and other asset classes are on a case-by-case basis.

AMORTIZATION Fixed Rate: Generally up to 30 years.

Variable Rate: Generally interest only loans.

INTEREST RATES Fixed Rate: Generally spreads from 380-465bps over corresponding UST (or equivalent benchmark)

Variable Rate: Generally spreads from 350-475bps over LIBOR (or equivalent benchmark)

BORROWER Single Purpose Entities

PROPERTY

OCCUPANCY Investor and Owner-Occupied (subject to minimum credit requirements)

FEES Fixed Rate: Generally no lender origination fee.

Variable Rate: 1% origination fee and 1% exit fee.

RECOURSE Non-recourse to Principals except for bad-boy carve-outs; further guarantees may be required on a case-by-case basis.

LOCATIONS Generally urban or suburban locations in primary, secondary, or tertiary markets

DSCR May be minimal at closing (i.e. <1.0x) but >=1.2x on an underwritten, stabilized basis

FUTURE FUNDING Generally loans are fully funded day one to include all future capital needs held in reserve

RESERVES/ESCROWS Reserves determined on a case-by-case basis for interest, operating expense, CapEx, repairs, TI/LC, etc.

Escrows required for taxes and insurance

MINIMUM INTEREST/

PREPAYMENT

Fixed Rate: Minimum 5% for 3-5 years. Declining 5%, 4%, 3%, 2%, 1%, 1%, 1%

Variable Rate: No prepayment penalty. 12+ months interest guarantee required

Rates as low as 6.250%

Cash-out Refinance, Rate/Term Refinance, Purchase

No upfront or ongoing capital expense reserves. No property condition assessment.

Full recourse. Non-recourse options available with property condition assessment, required reserves, and higher initial deposit.

Office, Retail, Light Industrial, Warehouse, Mixed-Use, Multifamily, Hotel, MHC, Self-Storage, and other asset classes on a case-by-case basis

Fixed Rate: Generally up to 30 years

Single Purpose Entities

Investor and Owner-Occupied

Generally urban or suburban locations in primary, secondary, or tertiary markets

May be minimal at closing (i.e. <1.0x) but >=1.2x on an underwritten, stabilized basis

Fixed Rate: Minimum 5% for 3-5 years. Declining 5%, 4%, 3%, 2%, 1%, 1%, 1%

Variable Rate: No prepayment penalty. 12+ months interest guarantee required

DISCUSS YOUR SCENARIO WITH A COMMERCIAL LOAN EXPERT

Juan Barcelo

877.857.2652
jbarcelo@silverhillfunding.com

“My Regional Manager, Transaction Manager, and the entire team were a pleasure to work with! Can’t wait to get the next deal closed with the team!”

George Panageotou

Program Highlights

$1 MM – $5 MM

Acquisition & Refinance

1 to 7-year primary term

Office, Retail, Light Industrial, Warehouse, Mixed-Use, Multifamily (5+ Units), Hotel (with an approved franchise agreement), MHC, Self-Storage, and other asset classes on a case-by-case basis

Generally interest-only or 30 years

Floating interest starting at LIBOR +475bps
Fixed interest starting at the greater of corresponding Swaps or Treasuries +375bps

Single Purpose Entities

Investor and Owner Occupied (subject to minimum credit requirements)

Origination fees starting at 0.5% (generally 1.00%)
Extension fees generally 0.25% per extension
Exit fees starting at 0.5% (generally 1.00%)

Non-recourse to Principals except for bad-boy carve-outs; further guarantees may be required on a case-by-case basis.

Generally urban or suburban locations in primary, secondary, or tertiary markets

May be minimal at closing (i.e. <1.0x) but >=1.2x on an underwritten, stabilized basis

Generally loans are fully funded day one to including all future capital needs held in reserve

1-3 year terms require call protection (minimum interest) for first 12-18 months
Terms > 3 years require a prepayment penalty of 36 to 60 months structured as declining or a flat 5% of remaining principal balance

Reserves determined on a case-by-case for interest, operating expense, CapEx, repairs, TI/LC, etc.
Escrows required for taxes and insurance

“My Regional Manager, Transaction Manager, and the entire team were a pleasure to work with! Can’t wait to get the next deal closed with the team!”
George Panageotou
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