Live Oak Bank announced its latest closings for a couple of construction projects. First, to build a high-quality, 68-unit assisted living community in Fairbanks, Alaska, the bank provided $15 million in debt for the borrower and developer, Frontier Partners, LLC, which has familiarity in the market. The debt was structured into two loans utilizing the SBA 504 program, including an interim construction loan totaling $10.2 million to be held by Live Oak and a second bridge loan prior to the 504 Debenture totaling $4.8 million.
Next, Live Oak closed a $5 million SBA 7a construction loan with a $3.4 million conventional pari-passu loan for Lotus Senior Living to convert an existing hotel into a 74-unit assisted living/memory care community. Located in Wadsworth, Illinois, the structure was originally built in 1999 as an extended-stay hotel. It has three stories and 60,066 square feet on 1.4 acres overlooking a golf course. Ashbury Healthcare, a regional operator with five properties currently under management (two of which were also hotel conversions) will operate the community.
