The announcements keep coming from Lancaster Pollard, with the firm announcing two transactions (and three loans) plus a new addition to its M&A group just in the last few days.
First, Mike Ashley led the way in obtaining funding for a local nonprofit to refinance and renovate its senior living facility in Higginsville, Missouri. With Life Care Services managing the facility since 1995, the nonprofit plans to increase the number of skilled nursing beds by 16 private rooms in a new wing, in addition to making other improvements to the building. Following the $5.4 million renovation, the community will feature 145 IL units, 26 AL units and 56 SNF beds. Lancaster Pollard worked with local banks, including Equity Bank, to provide a $7.1 million construction loan for the renovation/refinancing, which will then be taken out by a permanent loan from the USDA Community Facilities program with a 30-year term and blended interest rate of 4.32%.
Second, Kass Matt, the new President of Lancaster Pollard, arranged a $17 million HUD refinance for a senior care community in Garfield Heights, Ohio. The nonprofit community, which is affiliated with the Sisters of St. Joseph of the Third Order of St. Francis, features a 102-bed SNF, plus 12 Alzheimer’s beds, built in 2006, a 104-unit assisted living community built in 1988 and a long-term care facility that includes a newly renovated 10-bed inpatient hospital unit. The nonrecourse loan features a 35-year term, a 3.58% interest rate and has no financial covenants. The financing also provides for approximately $171,000 in annual debt service savings as well as nearly $75,000 for repairs and improvements.
Finally, the company announced that Kevin Laidlaw, currently a vice president with the firm, will be joining its mergers and acquisitions group, a move that is part of Lancaster Pollard’s efforts to expand its buy- and sell-side advisory services for seniors housing and care properties. Having been with the firm since 2007 and been involved in the underwriting and closing processes for over 160 transactions totaling more than $1.2 billion, Mr. Laidlaw will bring plenty of experience to the M&A group. Good luck to him.
