GLOSSARY · CAPITAL & STRUCTURING
What is a bridgingloan?
Short-term finance that covers a gap, such as buying before selling or settling before longer-term funding is in place. The exit must be clear before the loan is written.
IN PRACTICE
A bridging loan is only as good as its exit. The first question any sensible lender asks is how it gets repaid, and the answer needs to be specific: a sale, a refinance with evidence behind it, or a settlement on a known date. Short-term money with a vague exit becomes long-term money at short-term prices.
THE TUESDAY LETTER One considered note, each week. The week's article and a short market note. Read by developers, lenders and private investors.