Greystone Centers In On New York Refinances

Working on behalf of skilled nursing operator Centers Health Care, Fred Levine of Greystone arranged over $100 million in HUD financing to refinance a couple of their New York SNFs. Located on opposite sides of the state, these facilities were each acquired a few years ago from not-for-profit owners. Built in 1974, the 475-bed facility in the Bronx was formerly owned by the Daughters of Jacob Nursing Home Company. After operating the facility since 2013 and significantly improving performance, Centers acquired it in 2016. Now that the facility is fully stabilized with a 96% occupancy rate, Greystone provided a $71.78 million loan, or $151,000 per bed, with a 35-year term, to both refinance it and fund a cosmetic renovation.

Then in Buffalo, Greystone refinanced the original bridge loan provided by Popular Bank (and arranged by Greystone) for Centers’ acquisition of a 200-bed skilled nursing facility. Years earlier, Centers had stepped in as the county-owned facility’s receiver, before purchasing it in December 2015 for nearly $9 million, including $3.8 million in liabilities. They have since turned around the operations (with 90% occupancy) and turned to Mr. Levine to receive a $28.87 million ($144,000 per bed) HUD loan to refinance the facility. There’s a value-add case study for you.

 

 

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