Bridge Loan for Mixed-Use Land Development in Boynton Beach, Florida

BridgeInvest, a direct private lending firm in South Florida, funded a $5.5MM 1st lien position bridge loan for a planned mixed-use development project secured by three parcels of infill commercial land in downtown Boynton Beach, Palm Beach County, FL. The collateral comprises a 15-acre project being redeveloped in partnership with the City of Boynton Beach and various other real estate firms to revitalize the downtown area and propel market growth. The Sponsor intends to use proceeds from this loan to complete the infrastructure development on the parcels and move forward with vertical development. Due to the development agreement between the City of Boynton Beach and The Sponsor, the project required a unique valuation analysis. BridgeInvest used its own deep South Florida market knowledge, along with multiple expert third-party consultants, to effectively value the collateral and close the transaction. The project is led by a Sponsor with not only strong development experience across Florida but also significant expertise in building public-private partnerships similar to this project. As a result of the public-private partnership, the City of Boynton Beach has been a strong advocate for the project throughout the development process, mitigating business plan execution risk in the transaction. This land development bridge loan was funded in January 2020.