Mixed-use bridge loans in Georgia

What Georgia means for a bridge lender

Georgia uses a security deed and a non-judicial sale process with sales held on the first Tuesday of the month, one of the faster remedies in the country. Georgia’s intangible recording tax applies to long-term notes (maturity over three years), so most short bridge loans fall outside it.

A power-of-sale process outside court usually lets a lender recover the property faster than a court case. Asset-based lenders who rely on the collateral rather than the borrower’s credit are often most comfortable lending where the remedy is quick and predictable.

Mixed-use specifics

Confirm the mixed use is permitted under current zoning and that the certificate of occupancy covers both uses; some cities also regulate residential rents or require registration of rental units.

How mixed-use bridge loans are sized

Many asset-based bridge lenders lend around 65–75% of as-is value on mixed-use property that is mostly residential, and less when commercial space makes up a larger share or sits vacant. When there is a plan to renovate units or build out commercial space for a tenant, some lenders fund it on a loan-to-cost basis from a holdback. Older buildings with code issues or mostly vacant ground floors usually see lower leverage.

What lenders will ask for

• Residential rent roll and commercial rent roll
• Commercial leases, amendments and any estoppel certificates
• Trailing 12-month operating statement
• Purchase contract or current loan payoff statement
• Renovation or tenant improvement budget
• Leasing plan and broker opinion of commercial rents for vacant space

Full list and timeline on the mixed-use bridge loans page.