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Industrial & Warehouse Property Loans — Purchase and Value-Add

Industrial and warehouse property loans nationwide — bridge acquisition, light rehab, and lease-up financing for flex, distribution, and manufacturing assets.

Investors searching warehouse financing, industrial property loans, and flex space loans benefit from strong logistics demand — industrial bridge often prices better than office or retail in 2026.

Jaken Finance Group finances industrial and warehouse bridge nationwide — all 50 states. Rates: 8.99%–13.5% interest-only.

Hub: commercial property loans by asset class · Compare: bridge loans

Industrial subtypes

TypeTypical useBridge fit
Warehouse / distributionLast-mile, 3PLStrong — lease-up or NNN stabilized
Flex / R&DOffice + warehouse mixModerate — tenant credit matters
ManufacturingProductionEnvironmental Phase I required
Cold storageFood, pharmaSpecialized — higher spread
Last-mile urbanE-commerce fulfillmentPremium basis — strong rents

Purchase vs. value-add underwriting

ScenarioUnderwriting basisTypical LTV
Stabilized NNNIn-place rent, credit tenant70%–75%
Vacancy lease-upPro forma rent + TI budget65%–70%
Light rehabDock, roof, HVAC scopeLTC-based
Office-to-industrial conversionBusiness plan + permits60%–65%

NNN vs. gross lease — NOI impact

Lease typeOwner opexLender preference
NNN (triple net)Minimal — tenant pays tax, ins, CAMPreferred on stabilized
Modified grossOwner pays some CAMModel carefully
Full grossOwner pays all opexHigher haircut on NOI

Worked example — vacancy lease-up, Chicagoland flex

28,000 sf flex — DuPage County exurban

LineDetail
Acquisition$1,400,000 — 40% occupied
TI budget$120,000 — demising walls, dock leveler, office build-out
Bridge68% LTC — acquisition + TI holdback
Lease-up3 new tenants over 10 months → 88% occupied
In-place NOI at refi$118K annual
ExitCommunity bank at 70% LTV, 7.25%, 25-year am
DSCR at refi1.29x

Environmental and physical diligence

ItemWhy it matters
Phase I ESAPrior industrial use — dry cleaner, auto repair
Clear heightModern logistics needs 24’–32’+
Dock count / drive-in doorsTenant requirement mismatch kills lease-up
Roof ageCapEx reserve in pro forma — $4–$8/sf replacement
ZoningIndustrial permitted — verify no residential adjacency conflict
Remaining WALTWeighted average lease term — short WALT = refi risk

2026 industrial market context

E-commerce fulfillment and reshoring continue to support last-mile and infill industrial demand. Obsolete 1980s–1990s office-flex in suburban markets offers value-add basis when repositioned to modern logistics specs — but clear-height and dock retrofit costs must appear in the bridge scope before close.

Jaken bridge terms (industrial)

ParameterRange
Rates8.99%–13.5% IO
LTV / LTC65%–75%
Term12–24 months
Close14–30 business days

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Industrial diligence checklist

  • Clear height and column spacing vs tenant requirement
  • Dock doors — count, levelers, apron condition
  • Roof age and warranty transferability
  • Environmental Phase I — prior industrial use
  • Truck court circulation and zoning for logistics
  • Single-tenant lease — remaining term, options, guarantor

Light industrial vs bulk warehouse

Light industrial / flexBulk warehouse
TenantSMB, contractorLogistics, 3PL
CapExOffice buildout, HVACDock, floor load
Lease term3–5 years5–10+ years
Bridge thesisRe-tenant, TIOften stabilized

Underwriting mistakes sponsors make

  • Underwriting office % of flex without separate TI budget
  • Ignoring roof near end of life on 10+ year NNN
  • Environmental skipped on former manufacturing

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