The Springs Living successfully recapitalized its exiting equity partner, Harrison Street Real Estate Capital, in a couple of senior living communities with the help of a bank loan secured by Aron Will, Austin Sacco and Adam Mincberg of CBRE National Senior Housing.
Originally acquired as part of larger $65 million four-property portfolio in 2012, these two properties are located within the Portland, Oregon MSA. With an average age of about 15 years, they currently feature a total of 145 independent living, 82 assisted living and 41 memory care units. The Springs (TSL) and Harrison Street had invested a significant amount of capital into the properties to make them the top competitors in their respective high barrier-to-entry markets.
Wanting to take advantage of that added value, TSL elected to buy out the remaining interest in the properties. To fund the deal, they obtained a $61 million loan from a national bank, with a floating interest rate, four-year term and 30 months of interest only.
