Walker & Dunlop refinanced two balance sheet loans it had provided over three years ago to two senior care facilities in Texas and Alabama. Kevin Giusti and Michael Vaughn had arranged the prior short-term loans, which came with terms up to three years, interest-only payments throughout the life of the loans and floating interest rates.
Built in 2011, the Lubbock, Texas skilled nursing facility was expanded in 2013 and now features 96 private units. In 2016, it received a $15.5 million loan, which represented a 75% loan-to-value. The Huntsville, Alabama property is a CCRC that was built in 1980, with a skilled nursing facility added in 2015. It features 312 units with independent living, assisted living, memory care and skilled nursing services. It had previously received a $20.5 million loan that was structured with earn-outs over $30 million. The terms of that loan provided addition funding to convert an existing section of the building to a 34-unit AL wing with space allocated to veterans.
Fast forward to today, and Walker & Dunlop has structured $13.1 million in HUD financing for the Lubbock SNF and $33.6 million in HUD financing for the Huntsville CCRC. Kevin Giusti led the origination team on the transaction.
