Speed as a Strategy: How an $11 Million Commercial Refinance Closed in Days, Not Months
Progressive Capital Lending Group Closes $11 Million Bridge Refinance in San Rafael, California
Progressive Capital Lending Group recently completed an $11 million commercial bridge refinance secured by a commercial/mixed-use property in San Rafael, California.
The transaction involved a first trust deed and was structured as a 12-month bridge loan with an option to extend for up to an additional 12 months.
What made the transaction particularly notable was not simply the size of the financing. It was the combination of speed, non-recourse structure, and flexibility built into the completed transaction.
The Challenge: A Need for Speed and Flexibility
Commercial real estate refinances of this size can involve lengthy underwriting processes, extensive documentation, and multiple layers of review.
For this transaction, the borrower needed a financing solution that could move quickly while providing enough flexibility to execute the property’s broader business plan.
The challenge was finding capital that could evaluate the underlying commercial real estate opportunity efficiently and provide a structure that gave the borrower room to execute.
The Solution: $11 Million in Bridge Financing
Progressive Capital Lending Group identified a private bridge financing solution specifically suited to the transaction.
The completed financing provided:
- $11,000,000 loan amount
- First trust deed position
- 12-month term
- Option to extend up to an additional 12 months
- 7.40% fixed interest rate
- 7.90% fixed rate if extended
- No prepayment penalty
- Non-recourse structure
- Junior financing permitted with lender consent
- Lender commitment to close within five days of receiving a complete submission package
The result was a financing structure designed around the transaction’s immediate capital requirements while preserving future options for the borrower.
Five-Day Closing Commitment
The defining feature of this transaction was speed.
The lender committed to closing within five days of receiving a complete financing package.
That type of execution requires more than simply identifying a capital source. The transaction must be properly packaged, documentation must be organized, and the lender must have the ability and willingness to move decisively through its underwriting process.
For Progressive Capital Lending Group, the transaction reinforced an important principle:
Speed in commercial real estate financing starts with preparation.
A well-organized financing package can eliminate unnecessary delays and allow the lender to focus on the transaction itself.
Non-Recourse Structure
Another significant feature of the completed transaction was its non-recourse structure.
The $11 million financing did not require a personal guaranty from the borrower.
For commercial real estate sponsors, the distinction between recourse and non-recourse financing can be significant. A non-recourse structure can provide a different level of personal liability protection while allowing the financing to remain focused on the underlying real estate.
The structure was specific to this transaction and subject to the lender’s underwriting and approval process.
Flexibility Beyond the Closing
The financing was also structured to provide the borrower with flexibility after closing.
The 12-month term included an option to extend for up to another 12 months. The financing also carried no prepayment penalty, giving the borrower the ability to pursue a future refinancing or other capital strategy without a prepayment charge under the completed loan structure.
Junior financing was also permitted with lender consent.
These features created optionality around the borrower’s future plans rather than locking the transaction into a single long-term financing strategy.
The Outcome
Progressive Capital Lending Group successfully completed the $11 million bridge refinance in San Rafael, California.
The borrower received a flexible bridge financing structure that provided immediate capital while preserving options for the next stage of the property’s financing strategy.
The transaction demonstrated how the right combination of:
Capital + lender relationships + preparation + execution
can make a significant difference when timing matters.
What This Transaction Demonstrates
This transaction highlights several important considerations for commercial real estate borrowers:
1. Speed is a financing strategy.
When timing is critical, identifying a lender capable of executing quickly can be just as important as evaluating the economics of the financing.
2. Preparation matters.
A complete and properly organized financing package allows underwriting to begin immediately and reduces avoidable delays.
3. Structure matters.
The difference between recourse and non-recourse financing can materially affect a sponsor’s overall risk profile.
4. Flexibility has value.
Extension options, the absence of a prepayment penalty, and the ability to pursue additional financing with lender consent can provide valuable flexibility after closing.
5. The right capital source can make the difference.
Not every transaction fits neatly into a conventional bank financing model. Experienced commercial finance professionals can help identify capital sources capable of evaluating transactions based on their specific circumstances.
The Bottom Line
The successful completion of this $11 million commercial bridge refinance in San Rafael demonstrates what can happen when a transaction is properly structured, thoroughly prepared, and matched with an appropriate private capital source.
The financing provided the borrower with speed at closing, a non-recourse structure, and flexibility for the months ahead.
For borrowers facing a time-sensitive commercial real estate refinance, acquisition, or bridge financing requirement, the first step is understanding the transaction and determining what type of capital structure makes sense.
Progressive Capital Lending Group works with commercial real estate borrowers to identify financing strategies for complex and time-sensitive transactions.
Terms shown reflect a specific transaction and are not an offer of credit. All financing is subject to lender underwriting and approval.
