In the month of July, Meridian Capital Group’s Senior Housing and Healthcare team has closed $863.4 million in transaction volume for a combined 60 skilled nursing and assisted living properties in 13 states. That brings the year-to-date total to $3.6 billion in volume, or already surpassing the $3.2 billion in transactions closed in 2020. Well done to Ari Adlerstein, Ari Dobkin, Josh Simpson, Matt Lesnik, Jesse Rauch, David Gottlieb and Jacob Scott who negotiated the deals.
Meridian’s largest deal of the month was a $324.7 million acquisition financing provided by a commercial bank and mezzanine lender for 21 skilled nursing facilities with 2,643 total beds in New Jersey, Pennsylvania, West Virginia and Maryland. There was also $163.3 million in acquisition financing from a commercial bank arranged for 11 Florida facilities comprising 1,475 skilled nursing and 40 assisted living beds. In addition, Meridian placed more than $650 million in bridge financing with Capital Funding Group, which was revealed last month.
On the investment sales side, the team handled a couple of deals. First was the sale of three skilled nursing facilities comprising 357 beds in Florida. The $43.3 million, or $121,300 per bed, purchase price was funded with a $37.8 million loan from a commercial bank. Next, Avi Begun sold four skilled nursing facilities with 627 total beds in Indiana and Michigan for $36.9 million, or $58,850 per bed. Again, Meridian helped arrange $31.1 million of acquisition financing and a $4 million A/R line from a commercial bank to cover the purchase.
In Illinois, Meridian arranged the $28.5 million sale of a 313-bed SNF and closed a $22 million HUD loan for the deal. Finally, the team sold a 100-bed SNF in Pennsylvania for $8 million, or $80,000 per bed, and secured $6.4 million in acquisition financing plus a $1 million A/R line from, you guessed it, a commercial bank.
Meridian closed a few more acquisition loans, underscoring that the strength of the M&A market is partially due to a more liquid lending market. These deals include a $22.8 million loan and $2.5 million A/R loan for a 176-bed SNF in Virginia, $4.2 million in financing for a 64-unit assisted living community in Florida, and $1.4 million in financing (arranged by Mr. Begun) for an 82-bed SNF in Michigan, all from commercial banks. A mezzanine lender and commercial bank also teamed up to provide $9.6 million in acquisition financing and a $1.3 million A/R line for a 123-bed SNF in Washington.
There were a few refinances as well. First, a 150-bed skilled nursing facility in New York received $16.5 million in financing and a $1.5 million A/R line from a commercial bank, while another commercial bank provided $13 million to refinance three facilities in Nebraska with 574 beds. Lastly, a finance company provided a $3.5 million line of credit for two California SNFs that combine for 340 beds.
