Commercial Real Estate Bridge Loans

A bridge loan — sometimes called interim financing — is short- to intermediate-term capital that covers the gap between an immediate need and a longer-term solution. It makes sense when you need to move faster than a conventional lender allows, such as closing a time-sensitive acquisition, paying off maturing debt before a refinance, or executing a value-add business plan before stabilizing a property. Bridge financing is not designed for long-term holds — it's a tool for sponsors who have a clear, documented path to permanent financing or a sale.

Typical bridge loans through AVANA are $5M–$30M, up to 70–75% leverage, with terms up to 3 years — structured as interest-only with annual extension options available (extension fee typically 0.25–0.50%). Rates float over 1-Month SOFR, with spreads of 4.50–7.00% depending on asset class, risk, and sponsor strength. Final pricing reflects the specific business plan, market, and borrower profile.

We focus on experienced commercial real estate sponsors with a credible exit strategy. Core criteria include: 5+ years of relevant industry experience, a 680+ FICO score for guarantors, strong CRE collateral with sufficient equity (at or below 75% LTV), and a documented exit plan — whether that's a refinance into SBA 504 or a conventional term loan, a property sale, or a lease-up to stabilization. We require full-recourse personal guaranties from principals. If your project is close to the criteria, we still encourage a pre-qualification — we work through nuances on a deal-by-deal basis.

Bridge loans through the AVANA Oaktree Private Credit Partnership typically close within 45 days of LOI acceptance. We issue a soft quote within 1 business day of receiving pre-qualification materials, and an LOI typically follows within 3–5 business days if the deal fits our program. From there, timeline is primarily driven by third-party diligence — appraisal, environmental, and property condition reports. Borrowers with organized documentation move significantly faster.

The program is designed for experienced CRE sponsors and developers who need $5M–$30M in intermediate-term financing for acquisitions, refinances, or value-add repositioning. Ideal borrowers have a clear business plan, documented path to stabilization or permanent financing, and strong sponsorship credentials. It is not designed for ground-up speculative construction, first-time sponsors, or projects without a credible exit plan. If you're unsure whether your deal fits, submit a pre-qualification — we'll give you a straight answer within 1 business day.

Not through this program. AVANA's bridge loan product is designed for acquisitions, refinances, and value-add repositioning of existing commercial properties — not ground-up construction. For new builds, major renovations, or brand conversions requiring a construction draw schedule, AVANA offers a dedicated construction loan program through the AVANA Oaktree and AVANA–IHG partnerships. See our construction loans page for details.