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Bridge Loans for Apartment Buildings

Acquire, stabilize, and renovate apartment buildings with short-term bridge financing. Bridge loans provide the speed and flexibility to close multifamily deals quickly, then transition to permanent CMHC financing once the property is stabilized.

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1

Deal Analysis

Assess the acquisition opportunity and define your exit strategy to permanent financing.

2

Bridge Funding

Close quickly with flexible terms, interest-only payments, and minimal prepayment penalties.

3

CMHC Takeout

Transition to permanent long-term CMHC or conventional financing once the property is stabilized.

Bridge Financing

Speed to Close, Flexibility to Execute

Bridge loans are the ideal financing tool for value-add multifamily deals. Whether you're acquiring a vacant building, stabilizing occupancy, or funding renovations, bridge financing gets you to closing quickly and positions your property for permanent takeout. Common bridge terms for apartment buildings range from 12-24 months at 7-12% interest.

75-80%
Max LTV
12-24mo
Typical Term
7-12%
Interest Rates
2-4wks
Average Closing Time

Speed of Execution

Close in 2-4 weeks. Move quickly on multifamily opportunities without lengthy underwriting delays.

Value-Add Financing

Finance acquisitions and renovations simultaneously. Increase rents and occupancy to force appreciation.

Vacant Building Acquisition

Acquire vacant or significantly underoccupied buildings and stabilize them during the bridge term.

Construction Funding

Fund major renovations, unit upgrades, and common area improvements during the bridge period.

CMHC Exit Strategy

Build in the takeout to permanent CMHC financing once occupancy and rent rates meet permanent lender standards.

Flexible Underwriting

Less stringent on occupancy and DSCR. Lenders focus on the exit strategy and property upside potential.

Have a value-add multifamily deal?

Let's structure bridge financing and plan your path to permanent takeout.

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Bridge Options

Bridge Loan Solutions

Flexible bridge financing for every multifamily acquisition strategy.

Acquisition Bridge

Bridge financing for acquiring apartment buildings. Allows you to close quickly without conventional lender timelines or occupancy requirements.

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What's Included

  • Quick underwriting
  • 12-24 month terms
  • Minimal prepayment penalties

Stabilization Bridge

Finance the period while you increase occupancy, optimize rent rates, and improve operations before permanent takeout.

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What's Included

  • Interest-only payments available
  • No DSCR requirements
  • Flexible exit timeline

Renovation Bridge

Bridge financing specifically for value-add renovation projects. Covers acquisition plus construction and improvement costs.

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What's Included

  • Construction-style draws
  • Renovation-focused underwriting
  • Takeout to CMHC upon completion
Bridge Loan Eligibility

Bridge Loan Requirements for Apartment Buildings

Bridge lending focuses on your exit strategy, equity position, and the asset fundamentals.

Requirements

  • Clear and documented exit strategy to permanent CMHC or conventional financing.
  • Current property appraisal or market valuation by the bridge lender.
  • Borrower net worth of $500k+ (amount varies by deal size and leverage).
  • Minimum 20-25% equity injection (75-80% LTV maximum).
  • Comprehensive property condition assessment and market rent analysis.
  • Detailed acquisition details, business plan, and stabilization timeline.

How We Help

  • Rapid pre-approval and term sheets within 3-5 business days.
  • Strategic guidance on maximizing property upside and exit timing.
  • Coordination with permanent lenders for smooth CMHC takeout.
  • Flexible structures including interest-only, modified amortization, and construction draws.
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FAQ

Questions About Bridge Loan Solutions

Everything you need to know about bridge loan solutions.

Bridge Financing Basics

Use bridge financing when you need speed (2-4 week closing), when a property is vacant or significantly underoccupied, or when you're doing a value-add renovation. Bridge is ideal for opportunistic acquisitions where timing is critical.
Bridge loans typically cost 3-5% more in interest rate (7-12% vs 4-7% for conventional). However, the speed and flexibility often justify the premium for time-sensitive deals, and you'll refinance to permanent financing within 12-24 months.
Most bridge loans allow 1-2 extension periods (typically 3-6 months each) for a modest extension fee. Plan your timeline conservatively and maintain contact with your bridge lender.

Bridge-to-CMHC Strategies

Month 1-2: Close bridge loan. Months 2-12: Execute renovations and stabilize occupancy to 90%+. Months 10-12: Prepare permanent CMHC application with T-12 financials. Months 12-14: Close permanent takeout and repay bridge.
Most CMHC programs require 85-90% stabilized occupancy with T-12 operating history. Some lenders allow takeout at 75-80% occupancy with strong rent growth projections.
You typically refinance the bridge loan balance plus earned equity into the CMHC permanent loan. If your property appreciation and rent growth are strong, your CMHC lender may support a cash-out refinance as part of the takeout.

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