Bridge financing for self-storage properties

First National’s bridge loan terms typically range from three months to three years, include floating interest rates and allow some form of early prepayment. Borrowers choose this solution until standard financing is secured or while they contemplate a property sale or a change in ownership structure or to buy time to complete an operational improvement.

First National’s bridge loans are ideal for borrowers who have yet to secure standard financing or who need the time and flexibility to plot a better future for their property assets.

Our bridge loan terms typically range from three months to three years, include floating interest rates and allow some form of early prepayment.

Borrowers choose this solution until standard financing is secured or while they contemplate a property sale, a change in ownership structure or the implementation of other business strategies.

Additionally, a bridge loan can be used opportunistically to execute an operational improvement strategy to substantially rehabilitate and stabilize a property with the ultimate goal of positioning it for standard financing.

Consistent cash flows, strong operational history and the borrower’s net worth and liquidity are key considerations for this type of financing.

Sign up for Market updates

Economic and political developments – both in Canada and globally – can impact the commercial real estate market. First National experts follow these trends closely and provide honest, real and professional perspectives into what they could mean for your portfolio.

Subscribe

Smart risk solutions in action for storage

See how we’ve applied our financing products innovatively to help storage borrowers achieve their goals with performance and value.

The loan will be utilized to repay the existing construction

$11 Million
18 Units
Vancouver, British Columbia

CMHC Insured
5 years term, 40 years amortization
LTV: 92.54%

Conventional bridge loan to finance the construction of a student residence

$41 million
107 units
Waterloo, Ontario

Conventional construction financing
6 months term, interest only
LTV: 72%

Provide financing to convert an existing industrial property

15.7 Million
46,793 sq. ft.
Toronto, Ontario

80% of cost conventional construction financing

$3.36 million
4,040 sq.ft.
Antigonish, NS

View all recent financings

Latest resources and insights

Original perspectives and personal viewpoints on developments and industry trends in commercial real estate.

Growth, Value and Risk

Bank of Canada keeps its benchmark interest rate at 5.0% (for now)

The Bank of Canada kept its policy interest rate at 5.0%, a status-quo decision widely anticipated by the market.

View all

Expert insights

First National’s Atlantic Canada team pushes for another billion-dollar year

Over the last week, we’ve shared some good news about First National’s growth trajectory including the fact that we’ve just become Canada’s first lender with a $50 billion commercial mortgage portfolio.

View all

Borrower perspectives

Borrower Perspectives: Clark McDaniel, Williams and McDaniel Property Management

We spoke to Mr. McDaniel about his perspectives on rental housing, the greatest lessons he’s learned and what he values about his relationship with First National.

View all

Capital Markets update

Market Commentary: An overview of this week’s federal budget

Jason Ellis provides an overview of this week’s federal budget, rates, the housing market and more. Read the commentary here.

View all

View other storage mortgage solutions

Standard financing

First National’s standard financing programs are favoured by borrowers who look to acquire a new property or refinance an existing building. Loan terms typically range from three to five years, have a fixed interest rate, and are closed to prepayment for the term’s duration.

Asset repositioning

First National enables owners to access a property’s equity for a short term, typically two years or less, to fund capital improvements or repairs without the need to raise capital from personal sources or less flexible, higher-cost alternatives.

Secondary financing

A First National second mortgage allows borrowers to access the equity in a property and use it to purchase another asset or renovate/repair an existing asset.

Development / Construction

A First National construction loan provides funds to cover the cost of building or rehabilitating a property with terms typically of three years or less.

Sign up for Market updates

Economic and political developments – both in Canada and globally – can impact the commercial real estate market. First National experts follow these trends closely and provide honest, real and professional perspectives into what they could mean for your portfolio.

Subscribe