Bridge Loan & Mezzanine Lending Solutions
Whether you need short-term assistance to reach long-term goals or long-term solutions to minimize an equity raise or fund a capital improvement plan, Greystone’s first mortgage and mezzanine bridge loan solutions help you prepare and reposition properties to qualify for, or to supplement, an FHA, Fannie Mae, Freddie Mac, or CMBS loan.
- Provides crucial interim financing to help clients prepare and reposition properties to qualify for Fannie Mae, Freddie Mac, FHA or other long-term loans
- Design creative financing options that give you the short-term funding needed to move your project forward, always keeping long-term financial objectives in mind
- Additional financing options that include short-term CMBS mezzanine lending, second mortgage loans and sponsor loans
Case Studies
THE SITUATION
The transaction involved the acquisition of a portfolio of four skilled nursing facilities totaling 489 licensed beds located across Michigan. As a healthcare-focused acquisition, the portfolio required a financing solution that could accommodate operational complexity while providing near-term flexibility ahead of a longer-term capital strategy. The borrower sought acquisition financing that would support the transaction timeline while positioning the portfolio for a future transition to permanent HUD financing.
THE SOLUTION
Greystone provided a $45,400,000 bridge-to-HUD loan to support the acquisition. The interest-only bridge financing carried a 24-month term with two six-month extension options and featured a floating interest rate. To manage interest rate risk, the borrower secured an interest rate cap, providing protection against future rate volatility while maintaining flexibility during the bridge period. The structure was designed to support stabilization and prepare the portfolio for a seamless execution into HUD financing.
THE RESULTS
The bridge-to-HUD financing enabled the successful acquisition of the four-facility portfolio while providing the borrower with the time and flexibility needed to advance toward permanent financing. With interest-only payments and rate protection in place, the loan supported near-term cash flow and mitigated market risk. The transaction positioned the portfolio for long-term success and demonstrated Greystone’s ability to deliver customized financing solutions for complex healthcare acquisitions.
THE SITUATION
Meridia Roselle Park 10 is a newly developed 327-unit multifamily property in Roselle Park, New Jersey. The community offers residents modern conveniences including on-site parking, in-unit washer/dryers, and secure keyless LATCH access. Market dynamics required a flexible financing structure that would allow the sponsor to execute on their business plan through the pay off of their construction financing, while providing time to fully deliver the property and lease-up to stabilization.
THE SOLUTION
Greystone arranged an $80,000,000 bridge loan to refinance the asset. The financing featured a two-year term with a floating interest rate and full-term interest-only payments, providing the sponsor with both flexibility and efficiency in managing the property.
THE RESULTS
The bridge loan enabled the sponsor to refinance the construction debt, realize some equity return, and lease up the property. With the financing in place, the borrower is positioned to continue executing their business plan, supported by the property’s strong amenities and competitive standing in the local market.
