How to Use Bridge and Mezzanine Loans In a Rising Rate Environment

Developers and investors operating in today’s commercial real estate and multifamily markets must cope with tight inventories, the risk of rising interest rates and new regulations that are constraining access to traditional bank loans. Multiple bidders chasing limited supplies create additional pressures to quickly execute on transactions. Bridge and mezzanine loans can serve as useful tools for navigating this changing environment. Bridge loans have shorter terms, less stringent underwriting criteria…