With bank financing arranged by HJ Sims in hand, a CCRC in West Chester, Pennsylvania is set to rebuild after a 2017 fire destroyed its main building and also killed four residents. The Barclay Friends community, affiliated with The Kendal Corporation, had moved most of its residents into its 96-bed skilled nursing facility less than a year after the fire. But the destroyed building had not only housed most of the residents, but also the dining/common areas and administrative space, so the time to replace it could not have come soon enough.
Kendal will build a two-story, 60-unit building to house both assisted living and memory care residents. Property and casualty insurance was expected to fund a portion of the replacement costs, along with an equity contribution and external debt. That’s where HJ Sims came in to secure $20.5 million of bank debt in two series from M&T Bank. Series A provided construction financing, while Series B refinanced existing debt. With the funding secured, Kendal was able to begin site work and start on its way down the road to recovery.
