MONTICELLOAM, LLC (Monticello) is continuing its April activity with an acquisition financing closed for a skilled nursing portfolio with 460 total beds in Maryland. The buyer was an experienced owner/operator with a current portfolio of 2,459 licensed beds. They have also worked with Monticello before, receiving acquisition financings for a number of other facilities in 2019 and 2020.
The most recent transaction consisted of $66.6 million in first lien debt, with comes out to nearly $145,000 per bed, a high figure for skilled nursing facilities, even in the state of Maryland. It all depends on payor mix, occupancy and most importantly, cash flow, and these facilities must be performing well. The borrower’s operating company also received a $5 million working capital loan courtesy of Monticello. Located in southwest Maryland, the facilities were built on average more than 50 years ago.
