Berkadia’s Seniors Housing & Healthcare Group has been hard at work with HUD deals so far this summer, with over $50 million in closings in June and July. The transactions were all closed for skilled nursing clients in three states across the country. Jay Healy and Bianca Andujo first secured a $22.24 million loan to take out existing debt at a 157-bed skilled nursing facility in Worchester County, Maryland. About 25% of the facility’s census was made up of Medicare patients at the time of the financing.
The 35-year loan came out to 80% loan-to-value, which puts the facility’s value at about $177,000 per bed. That is high even by Maryland standards, which typically surpasses most other states in terms of average per-bed price and averaged $128,200 per bed in sales from the last five years according to the 25th Edition of The Senior Care Acquisition Report.
Mr. Healy and Ms. Andujo also arranged an $11.81 million HUD loan for a California-based borrower to refinance its new 144-bed SNF. Built in 2015, the facility also features 22 private units and was 89% occupied.
Next, a Florida-based borrower worked with Berkadia’s Ed Williams to obtain a $9.16 million loan through HUD for its 86-bed facility in Miami-Dade County. Representing 80% loan-to-value, the financing also carried a 35-year term and took out existing debt for the repeat Berkadia client. Compared with the state’s average price per bed of roughly $100,000 per bed (also according to The Senior Care Acquisition Report), the facility is valued 33% higher at $133,000 per bed.
Finally, on behalf of another existing client of Berkadia’s, Jay Healy refinanced a 48-bed SNF with a 25% Medicare census in Salinas, California. The $6.6 million HUD loan took out a portion of a bank loan that was associated with a larger portfolio. A Washington-based sponsor was the borrower and also received a 35-year term. The 80% loan-to-value puts this facility at over $170,000 per bed, which is considerably higher than the state’s average price of $83,200 per bed.
