H2C Securities Refinances Quality Life Services
H2C Securities Inc., a healthcare-focused strategic advisory and investment banking firm, served as the exclusive advisor to Quality Life Services in obtaining a bridge loan to refinance the debt associated with the company’s portfolio of 10 skilled nursing and senior living properties. Quality Life Services’ existing lenders were reducing their exposure to the long-term care sector, requiring the company to refinance its outstanding debt. Working with H2C to evaluate a range of options, the company ultimately elected to execute a bridge-to-HUD loan for the properties, allowing it to retain control and prepare to secure lower cost long-term financing via HUD in the future. Read More »
Inspired Healthcare Capital’s $41 Million Acquisition
A Class-A, well performing seniors housing community in North Haven, Connecticut, sold for $41.1 million, or around $330,000 per unit. The seller, Columbia Pacific Advisors, capitalized on an opportunistic disposition to lock in returns and return capital to investors early in its fund’s life. Built in 2019, The Landing of North Haven features more than 120 units of assisted living and memory care on an 11-acre campus. Lease-up was solid through the pandemic, as were rates and margin, highlighting the advantages of Class-A buildings in good locations during the pandemic recovery and ensuing inflation. So, as occupancy approached stabilization, there was meaningful cash flow and a... Read More »
Blueprint Handles Florence County Deal
Kyle Hallion, Amy Sitzman and Giancarlo Riso of Blueprint Healthcare Real Estate Advisors were brought on by a repeat institutional owner/operator client to sell Florence Place, a 61-unit assisted living/memory care community in Florence, South Carolina, that was built in 1999. The seller decided to divest at the start of 2023, following the implementation of in-house and street rate increases that resulted in double-digit revenue growth over the prior year. Blueprint targeted both individual regional and portfolio-specific buyers. A Southeast-based owner/operator was selected to acquire the community, raising sufficient equity to close the transaction with all cash at the originally... Read More »
CFG Arranges Senior and Mezz Debt
A portfolio of senior care facilities in the Pacific Northwest received a debt package consisting of a mezzanine and senior loan. Capital Funding Group first helped the client place senior debt which totaled $78.46 million. Then, CFG closed a $13.84 million mezzanine loan, which supported the refinancing of eleven skilled nursing facilities and one assisted living community. The total financing package amounted to $93.31 million. The facilities are located in Washington, Idaho, and Oregon, and consist of over 1,554 beds. The financing was closed on behalf of a nationally recognized borrower. Capital Funding Group Managing Director, Real Estate Finance Tim Eberhardt and Senior Associate Ava... Read More »
JLL Secures Financing for CA Community
JLL Capital Markets announced that it secured $43.24 million in financing for an 86-unit assisted living/memory care community, Varenita of Westlake, on behalf of Westlake Senior Living Center. Alanna Ellis and Ace Sudah of JLL handled this transaction, which amounts to $502,000 per unit for the debt. Varenita of Westlake is a Class-A community in Thousand Oaks, California, with 58 assisted living and 28 memory care units and amenities such as a spa, salon, movie theater and a fitness center with physical and occupational therapy. It spans 77,096 square feet with predominantly one-bedroom units as well as some studios and two-bedroom units. Read More »
60 Seconds with Swett: SNFs Get a Bad Grade
It was unfortunate, but unsurprising, to see that in a recent Gallup poll, a plurality of those surveyed gave SNFs either a D or an F grade on overall quality of care. We say unsurprising not because we agree with that for the majority of facilities, although there are certainly those guilty of providing subpar care, but because of the general negative perception the public has on SNFs. Cases of bad care will always spread in the media and by word-of-mouth faster than the many instances of good care, and only 9% of respondents gave SNFs either B (good) or A (excellent) grades in the survey. That is not good, but let’s face it, the skilled nursing business is also a thankless... Read More »
Lument Refinances SanStone Senior Care Portfolio
Lument closed several financings for SanStone Health & Rehabilitation, which operates 18 skilled nursing/rehab facilities across North Carolina. The debt was secured on three properties that SanStone had acquired in 2020, thanks to bridge financing also arranged by Lument. Those three facilities were Wilkes Health & Rehabilitation, a 97-unit, 130-bed skilled nursing facility in North Wilkesboro, Hickory Falls Health & Rehabilitation, a 70-unit, 120-bed SNF in Granite Falls, and Wilkes Assisted Living, a 102-unit assisted living community in Wilkesboro. The original acquisition debt also included funds for repairs and the opportunity to recapitalize once performance and value... Read More »
Two HUD Loans and a Bridge Financing from Berkadia
A couple of five-star skilled nursing facilities in western states refinanced through HUD with the help of Berkadia Seniors Housing & Healthcare. First, Jay Healy closed an $8.3 million loan to refinance an existing Berkadia/Live Oak Bank bridge loan secured by a 60-bed SNF in Idaho. The 80% LTV, 35-year oan retired the bridge debt used by the Idaho-based owner/operator to acquire the real estate in February 2023. Built in 2017, the facility had occupancy above 90% at the time of closing, with a Medicare census surpassing 20%. In a similar deal, Berkadia closed a $16.7 million loan to refinance another existing Berkadia/Live Oak Bank loan on a 38-bed SNF in Nevada. Its Utah-based... Read More »
HTG Sells SNF in Texas
Mark Davis of Healthcare Transactions Group handled the sale of a skilled nursing facility in Abilene, Texas. Built in 1962, the facility has 96 beds and 23,500 square feet in one story. It maintained a three-star rating with CMS, and the facility participates in Texas’s QIPP Program with Childress County Hospital, but no other operational details were disclosed. The buyer ended up being an existing owner/operator with multiple locations in Texas. The purchase price remained confidential. Read More »
Two More Not-For-Profit Affiliations Announced
There were a couple of affiliations between not-for-profits made public this month, so far. First, Garden Spot Communities and Frederick Living, both located in southeastern Pennsylvania, announced that they will be affiliating. Legal proceedings have been initiated, with the affiliation expected to be finalized at the start of 2024, subject to government approval. Upon completion of the affiliation, Frederick Living will become a Garden Spot community. Garden Spot was founded in 1990 and includes Garden Spot Village, a CCRC with 626 independent living units, 65 assisted living units, 40 memory care units and 73 skilled nursing beds. Garden Spot also includes Maple Farm, a 46-bed skilled... Read More »Schedule a demo
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