Walker & Dunlop and Pretium Launch Bridge Lending Venture for Multifamily Real Estate

Walker & Dunlop and Pretium announced the formation of a joint venture to provide bridge financing for affordable multifamily real estate, addressing a gap in the commercial real estate financing market.

The new platform, Walker & Dunlop Affordable Bridge Capital, will offer short-term, first-mortgage bridge loans for affordable multifamily properties during the period between acquisition or refinancing and permanent financing through government programs including Low-Income Housing Tax Credits (LIHTC), Section 8, and tax-exempt bonds.

Bridge Loan Structure and Terms

The joint venture will provide interest-only bridge financing with loan sizes ranging from $10 million to $75 million and terms of six to 36 months. The loans target assets being acquired, refinanced, or prepared for long-term government programs.

The platform addresses a structural challenge in affordable housing finance: the timing mismatch between acquisition needs and permanent financing availability. Acquiring, renovating, and preserving affordable housing requires immediate capital, while permanent financing programs like LIHTC and Section 8 take considerable time to structure and close.

Sheri Thompson, Executive Vice President and Head of Affordable Housing at Walker & Dunlop, said the joint venture combines the firm's affordable housing expertise with Pretium's capital strength and multifamily team, giving clients the ability to act quickly in competitive markets.

Partner Roles and Strategic Structure

Under the joint venture structure, Walker & Dunlop will originate, underwrite, and service loans, drawing on its established affordable housing platform and specialist team. Pretium will provide capital as part of the joint venture.

Both firms will oversee loan decisions through a Joint Credit Committee, combining Walker & Dunlop's affordable housing market knowledge with Pretium's institutional capital capabilities.

Market Context and Industry Positioning

The announcement reflects broader capital market dynamics in affordable multifamily real estate. The venture underscores a commitment by both firms to align institutional capital with community impact.

Pretium, founded in 2012, operates across residential real estate, residential credit, and corporate credit markets. Walker & Dunlop is one of the largest commercial real estate finance and advisory services firms in the United States, with comprehensive capabilities across debt financing, LIHTC equity, investment sales, and advisory services.

The platform's focus on affordable multifamily real estate positions it to serve developers and owners seeking to move quickly in competitive markets while preserving and expanding affordable housing inventory. The bridge financing structure provides flexibility during the gap between property acquisition and the closing of permanent government-backed financing programs.

Sources

Walker & Dunlop