BridgeInvest Funds $3.6 MM Loan for Dania Beach Redevelopment
1st Priority Deed of Trust
Southeast focused real estate lender BridgeInvest recently closed a first-priority mortgage secured by a prime redevelopment site located in Dania Beach, FL. Due to a pending loan maturity, the sponsor required a reliable and expedited execution. The property is zoned and approved for multifamily development of up to 350 residential units. Located one mile from the Atlantic Ocean with access to both US-1 and I-595, the site provides excellent access throughout the region. The location is attractive to potential developers based on its proximity to the beach, access to nearby employment hubs and complimentary surrounding development.
The sponsor, a group of local investors, required a two-week closing to avoid a potential maturity default on their existing loan. BridgeInvest was able to structure and fund the loan per the sponsor’s timeline.
As the sponsor negotiates with various potential purchasers, they were in need of a flexible prepayment structure. BridgeInvest’s loan allows for prepayment at any time with a short low six-month yield maintenance.
The loan was structured to an As-Is LTV of approximately 50%. However, the Borrower’s cost basis in the project was significantly lower as they had increased value by securing higher density and height variances. BridgeInvest’s loan allowed them to capitalize on the additional equity they had created.
BridgeInvest capitalizes its transactions through a discretionary private equity fund solely focused on first-mortgage lending. The lender has built a strong reputation in the Southeast US for its established ability to close transactions on a timely basis, based on terms as promised.