Capital Funding Group Funds Portopiccolo Purchase

The Portopiccolo Group picked up another two skilled nursing facilities, following its acquisition of a North Carolina SNF earlier this summer. The most recent targets included a 130-bed pediatric and geriatric rehab facility in Dunn Loring, Virginia (Washington, D.C. MSA), and a 74-bed skilled nursing facility in Silver Spring, Maryland (also D.C. MSA). Accordius Health, an operating platform of Portopiccolo, will take over management of the facilities.

To fund the acquisition, Portopiccolo obtained several tranches of financing, arranged, agented and participated by Capital Funding Group (CFG). Tim Eberhardt originated the transaction, which includes a $30.6 million senior loan, a $3.8 million mezzanine loan and a $2.5 million accounts receivable line of credit for working capital needs. The real estate financing provided for 90% of the total transaction costs as well as a $2.7 million capex reserve for renovations expected to be made after closing. Deducting the capex reserves, that puts the purchase price at an estimated $35.2 million, or $172,500 per bed.

 

 

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