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In this lesson, the concept of bridge loan calculations is reviewed. A bridge loan is utilized to cover the financial gap between the need for immediate financing and the acquisition of permanent financing, which, in this case, is an equity investment. The strategy behind using a bridge loan is to enhance the return on equity by delaying the equity investment until the project's completion. The example provided includes seven construction periods and a total of $400 for the project, all to be financed by equity. The bridge loan is calculated to be 75% of the equity investment, resulting in an initial value of $400 multiplied by 75%. The lesson proceeds to model the drawdown of the bridge loan.