Bridge Lending Experiences Major Growth

LOS ANGELES—Lone Oak Fund ends its year with $378 million in bridge loans, an increase of 8.67% over the previous year. In total, the private lending fund, which specializes in short-term loans with no prepayment penalties, completed 844 bridge loans in 2013.

According to Alexa Mizrahi, a loan officer with the fund, the growth is an indication of increased confidence in the market. “Investors are aggressively acquiring and repositioning properties,” says Mizrahi. “We are experiencing a major upturn in business because our proven ability to close quickly enables borrowers to take advantage of these opportunities.” The fund typically closes loans in a week or less.