Since its founding in the early 1980s, Cambridge Realty Capital has built a national reputation as a premier HUD lender. Cambridge is so well-known for its expertise in HUD lending that some people don’t realize that Cambridge also arranges conventional loans, notes Cambridge Vice President Zachary Scardina. “We take a ‘solutions-oriented’ approach to all of our clients, and sometimes that means that a conventional loan is better suited to their distinct needs and specific transaction,” he stated. In fact, Cambridge has closed over $200 million in conventional loans and recommends them as the appropriate choice for certain borrowers.
Cambridge’s reputation as a HUD lender is well-earned, a legacy built by the strong partnership between the late Jeffrey Davis, Cambridge founder, and current Cambridge President Andrew Erkes. When Davis launched Cambridge, it dealt mainly with conventional loans on various commercial property types. HUD lending was added to the Cambridge toolbox in 1985 with the coming aboard of Erkes, who brought HUD expertise with him.
While borrowing through the HUD program is ideal for many situations, its underwriting requirements aren’t a fit for all transactions. “We work hard at not putting our clients into a box,” says Scardina. “When a borrower approaches Cambridge, we look at a wide variety of aspects and conditions surrounding the borrower’s situation and needs.”
What makes Cambridge different when it comes to lending, according to Scardina, is “that we are able to consider a wide variety of situations, given we arrange the conventional financing on behalf of our clients with a breadth of lending relationships. We have a dedicated process for arranging the conventional loan, targeting a specific group of lenders for each transaction to meet our client’s needs.”
Scardina pointed out that when market conditions are exceptionally challenging, a conventional loan may make more sense before going to HUD for permanent financing. “Cambridge can help clients navigate the capital markets, particularly in cases where borrowers may have difficulty procuring the capital they need via their existing relationships. These conventional loans have been used for a variety of situations including paying off maturing debt, financing acquisitions/landlord buyouts, providing cash out, and funding capital improvements & expansions.”