Throughout its thirty-plus years in business, Cambridge Realty Capital has amassed a wealth of knowledge in the field of senior living. Our advice and insight, like the ideas you will find in "Seeing Senior Housing Healthcare Loan From Lender’s Perspective Can Prove Helpful", is based on on-the-job experience plus the unique skills and talents of Cambridge’s staff and their individual specialties. This quick read from Cambridge’s archives is filled with timely advice that is as relevant today as ever and will inspire you as you weigh your capital market options.
SEEING SENIOR HOUSING HEALTHCARE LOAN FROM LENDER’S PERSPECTIVE CAN PROVE HELPFUL
When applying for a senior housing/healthcare mortgage loan, no one is expected to be a mind-reader. But the process progresses more smoothly when borrowers anticipate - and make an effort to understand - what their lender’s needs will be.
“Preparedness is an important concept,” says Cambridge Chairman Jeffrey A. Davis. “In every case, the borrower is better served when he or she is able to anticipate and promptly respond to requests from the loan officer processing their application.
”It helps to see things from the lender’s perspective,” he said.
Cambridge is one of the nation’s leading senior housing/healthcare lenders, with more than 500 closed transactions. Mr. Davis says motivated lenders want to fully understand the borrower’s objectives and what, specifically, the loan is intended to accomplish.
“Oddly enough, this isn’t always apparent,” he said.
Mr. Davis points out that lenders are always hopeful that borrowers will communicate their needs and describe their situation in a clear and concise manner, using specific examples as appropriate. But he acknowledges there may be times when less can be more.
“The expectation is that borrowers will provide meaningful exhibits, professional photos, and readable maps. And the numbers are expected to add up.
“From the lender’s perspective, the most admirable traits borrowers can exhibit are responsiveness and decisiveness. A borrower’s willingness and ability to deliver a speedy yes or no response when a decision is needed can profoundly impact the way the relationship between borrower and lender unfolds,” he said.
The Cambridge Chairman acknowledges that while these points may seem fundamental, a surprising number of deals unravel because potential borrowers fail to respect the process and what it takes to get a project funded, even in the best of times.
With more than $5.5 billion in closed senior housing capital transactions, Cambridge Realty Capital has a proven track record of getting the deal done. Whether it is conventional. an equity transaction, a bridge loan, or a HUD loan, Cambridge works closely with senior living operators to structure a customized financial package that meets their individual needs.
Of course, it’s only a great deal if it actually closes. Cambridge Realty Capital is committed to walking with its clients every step of the way, from initial inquiry to the receipt of funds. One of the things Cambridge’s clients have consistently attested to throughout its years in business is that they are never abandoned during the process. You won’t be left hanging with unanswered phone calls or unreturned emails. If it’s a concern to you, it’s a concern to Cambridge.