Working on behalf of a repeat customer, Lancaster Pollard Mortgage Company secured a HUD loan for a 138-unit assisted living/memory care community in Chaska, Minnesota (Minneapolis MSA). Developed by Trident Development and operated by the borrower, Tealwood Senior Living, which manages over 38 skilled nursing and assisted living facilities in Minnesota and Wisconsin, the property was originally developed in 2015. It was funded in part by Tax Increment Financing from the Chaska Economic Development Authority.
The property consists of two buildings connected by both a ground-level breezeway and upper level hallways. There are 66 assisted living “light” units that are certified for assisted living, along with 58 traditional AL and 14 memory care units. Those units are split between 31 two-bedroom, 84 one-bedroom and 23 studio apartments.
To refinance the variable-rate construction debt, the Lancaster Pollard team led by Quintin Harris arranged a $25 million loan with a fixed rate below 3% for a 35-year term. Tealwood is also able to fund renovations and a replacement reserves account for the community.
