For many business owners, the path to long-term stability runs through ownership. Leasing space can help a company get started, but it often comes with uncertainty — rent increases, limited control, and the risk of relocation. For one established California-based contractor, the solution was to take control of their future by building their own headquarters. Enact Partners provided the bridge financing that made it possible.
The Background: From Renter to Builder
Our borrower, a local tradesman who had been leasing space for years, decided it was time to establish a permanent home for his company. He owned a parcel of industrial land in a growing area and had already started construction using his own funds. But as work progressed, it became clear that building an office and distribution facility from the ground up required more capital to complete.
The Challenge: Momentum Without Financing
The borrower had successfully funded early construction with personal cash reserves. The structure was well underway, and site work, utilities, and major framing had been completed. But progress slowed as capital reserves tightened, and traditional bank financing wasn’t an option due to timing and project stage. That’s when Enact Partners stepped in to provide a bridge loan tailored to the project’s needs.
The Solution: A Bridge Loan for Completion
Enact Partners structured a bridge loan to fund the remaining construction and carry the project through to completion. The financing was secured by the subject property, a 6,200-square-foot industrial building combining office and warehouse space, as well as the borrower’s equity already invested in the land and improvements.
Key features of the loan structure included:
• Loan Amount: $780,000 construction completion financing
• Collateral: First deed of trust on the subject property
• Loan-to-Value (LTV): Approximately 49%
• Purpose: Site development and vertical construction completion
• Exit Strategy: Permanent refinancing once the Certificate of Occupancy was issued
Partnership in Action
Enact’s role went beyond simply funding. During underwriting, our team identified and helped resolve title issues that could have delayed closing. We also reviewed construction budgets, permits, and inspection reports to confirm the project’s readiness for funding. This collaborative approach ensured both lender and borrower confidence in the project’s successful completion.
The Result: Long-Term Stability
The loan enabled our borrower to complete construction of a modern headquarters and warehouse facility — a major step forward for his business. With ownership secured and operations consolidated under one roof, he transitioned from leasing to owning a property that reflects the company’s growth and stability.
A Model for Other Business Owners
For business owners seeking to establish or expand their own facilities, bridge loans like this offer a practical way to move from concept to completion. Rather than waiting on slow institutional processes, borrowers can leverage their equity and experience to build momentum and long-term value. This project demonstrates how flexible private lending can unlock progress for companies ready to invest in themselves.
Interested in a loan for your business? Submit your loan request today: https://enactpartners.com/borrowers/loan-request-form/
