Non-Recourse Bridge Loan for Multifamily Property in Stockton, California

In January 2021, BridgeCore Capital closed a $5,100,000 bridge loan secured by a 52-unit multifamily property in Stockton, California. The Borrower recently renovated the entire apartment complex and required a refinance of the previous senior and multiple junior liens which had matured and required a swift pay-off, as well as a new second trust deed loan to satisfy the outstanding debt. BridgeCore’s pay-rate bridge product provided the Borrower with a 5.50% pay rate during the entire loan term, with the remaining interest accruing to loan pay-off without compounding interest. The pay-rate structure significantly reduced loan costs and afforded the Borrower additional cash flow to invest in other value-add opportunities. BridgeCore also assisted in sourcing a new second trust deed lender to relieve the financial burden of the high-cost, subordinate debt that was previously in place. The loan term was set at 12 months and included one six-month extension option to provide the Borrower the necessary time, either to execute an exit strategy through a sale or to refinance through a conventional lender for long-term financing if a sale is not consummated.