California Community Set to Break Ground
A seniors housing development is set to break ground in Santa Cruz County, California after Nick Stahler and Hap Knowles of The Knapp-Stahler Group at Marcus & Millichap sold the 3.35-acre site to the developer. An experienced regional owner/operator in California with more than five developments in its pipeline paid $6.75 million for the site, which is entitled for 82 units and 89 beds of seniors housing. The project is located in Soquel, a high-barrier-to-entry market in an affluent area that surely resulted in the competitive bidding atmosphere for the site. That makes for a happy seller we imagine, as well. Once the project is permitted, construction is expected to commence... Read More »
Ziegler Closes Financing for Philadelphia Operator
Ziegler arranged $39.4 million in bond financing for Simpson, a nonprofit operator based in Bala Cynwyd, a suburb of Philadelphia. Formerly known as Methodist Episcopal Home for the Aged, the borrower operates three CCRCs in the region: Simpson House in Philadelphia, Simpson Meadows in Downington and Jenner’s Pond in West Grove. In total, the portfolio includes 482 independent living, 56 personal care, 118 assisted living and 178 skilled nursing units. As a result of this financing, Simpson’s entire capital structure now comprises all public, fixed-rate bonds. Proceeds from this deal will refinance existing bonds from 2015 and fund capital expenditures, among other uses. Read More »
Greystone Arranges Financing for Atlanta Community
Greystone arranged financing for a 193-unit seniors housing complex in Atlanta owned by Harbert Seniors Housing Fund I LP. Matt Miller of Greystone’s Senior Housing Capital Markets Team handled the transaction, which did not disclose loan amounts. However, a large regional bank provided the funds, which include a three-year term. The property, managed by an experienced regional operator, includes independent living, assisted living and memory care units across two construction phases, the second of which was completed in late 2020. Read More »
Greystar Breaks Ground in Chicago Suburb
Greystar is expanding its active adult presence in Illinois with the groundbreaking of Everleigh Vernon Hills, a new amenity-filled community in a northern Chicago suburb. Everleigh will offer one- and two-bedroom units, as well as two-bedroom apartments with a den and separate cottage homes set to surround the apartment building. In total, the 317,000-square foot community will offer 175 apartments and seven standalone duplex cottages with private parking as well as 218 attached parking spaces. Outdoor amenities will include a heated swimming pool and spa, event lawn, game lawn, outdoor lounge with firepits, pool cabanas and a space for pets. Inside, there will be a great room,... Read More »
JLL Arranges Two Refinances Through Debt Funds
The team at JLL Capital Markets refinanced a couple of seniors housing properties in the Southeast, working with a debt fund in both transactions. The first, and largest, deal saw a five-year $57.5 million loan arranged for Windsor at Celebration, a 239-unit, luxury seniors housing community near Orlando in Celebration, Florida. Built in 2018 by a partnership between Square Mile Capital Management and Big Rock Partners, the community features 133 independent living, 73 assisted living and 33 memory care units in a mix of studio, one- and two-bedroom suites averaging 853 square feet. JLL’s Senior Director Joel Mendes, Senior Managing Director... Read More »
Ziegler Closes Financing for Florida CCRC Operator
Ziegler closed a $16.645 million bond series for Oak Hammock at the University of Florida, Inc. (Oak Hammock), a not-for-profit corporation formed in 1998 to own and operate a large CCRC in Gainesville, Florida. The 135-acre campus consists of 269 independent living units, 46 assisted living units, 24 memory support units and 73 skilled nursing beds. All of the skilled nursing beds are Medicare certified and currently maintain a five-star CMS rating. The proceeds of the Series 2021 bonds will be used, together with other available funds, to refinance outstanding Series 2017B Notes, finance approximately $1.876 million of capital expenditures, and fund a debt service reserve... Read More »Residents of Washington State Getting Bamboozled
In just five short weeks, the residents of Washington State will begin paying a new payroll tax to fund a “long-term care” benefit, called the WA Cares Fund. It is the first state-wide mandated LTC tax, and we have previously voiced our concerns about it. But it will be a reality for residents soon. Years ago, we went very public against the Class Act that was part of the Affordable Care Act, basically calling it a financial fraud that was never going to pay out for anyone. Even the authors of the ACA finally admitted it would not work, and eventually withdrew it. Like in Washington State, the federal program was well-intentioned (well, sort of) to try to fund some long-term care... Read More »
Walker & Dunlop Handles Advantage Living Centers Divestment
Advantage Living Centers recently divested six of its senior care facilities in southeastern Michigan, with Walker & Dunlop’s Josh Jandris and Mark Myers handling the transaction. An undisclosed, New Jersey-based regional owner/operator bought the properties, which total around 750 beds of primarily skilled nursing, with some assisted living units as well. Ranging in size from 100 to 179 beds, the properties were built more than 50 years ago. Prior to the pandemic, occupancy had been in the mid-70s and fell to the low-60s in 2020. The properties still brought in positive EBITDAR of $1.4 million on nearly $50.7 million of revenues. To fund the deal, VIUM Capital provided a... Read More »