Temp-to-Perm describes a bridge loan that comes with a stated conversion option upon completion of the business plan objectives. This is common for new construction projects, where the bridge loan is with a private equity debt fund or on the bank’s balance sheet. In this case, the permanent loan may be securitized in a CMBS or sold to another investor.
Temp-to-Perm
by John Wijtenburg | Aug 24, 2018