It’s a tough time out there for senior care owners and operators, dealing with the pressure of keeping their residents safe and healthy only to emerge from the crisis and likely deal with a census and cash crunch. Lenders will play a big role in helping the industry through the crisis, and Oxford Finance was there for one of its senior care clients, upsizing a credit facility for one of its skilled nursing owner/operator clients.
Oxford Finance closed a $19.8 million add-on term loan and revolving credit facility, bringing the whole facility to more than $75 million. The borrower has now used the entire credit facility commitment, and used the additional proceeds to finance the opportunistic acquisition of a skilled nursing facility in the eastern United States. Built in the 1970s, the facility consists of more than 100 beds and is considered to be a value-add opportunity. The transaction was Oxford’s third with the undisclosed company, and we image existing relationships like that are key to getting deals closed these days.