Jay Healy of Berkadia announced a series of financing closed on behalf of seniors housing clients in North Carolina and the West Coast. The largest was a $29 million HUD loan closed for a Scottsdale, Arizona-based owner/operator. The loan facilitated the release of a 117-unit assisted living/memory care community in Bakersfield, California, that was part of a collateral package for a bank loan secured by multiple properties. The borrower began operating the 1998-built community in May of 2019 when occupancy was 79% and subsequently purchased it from the REIT landlord in April of 2022. Occupancy at the time of the HUD closing had increased to the low 90% range.
Healy also closed two bridge loans, the first for a 60-unit/80-bed memory care community in Edmonds, Washington. An Olympia, Washington-based owner/operator developed the community in 2018 and had put a bank loan on the property. Now, they are refinancing that retiring bank debt with a $22 million bridge loan, including an 18-month, interest-only term that was underwritten to 74% loan-to-value. The bridge loan will provide the sponsor sufficient time to work through the HUD refinance process, which is expected to be completed in 2025.
Finally, Healy closed a $10.5 million bridge loan to facilitate the acquisition of a 145-bed skilled nursing facility in Roxboro, North Carolina. The 18-month, interest-only loan covered 80% of the cost, putting the value of the facility at around $13.125 million, or $90,500 per bed. The borrower, a Wilmington, North Carolina-based owner/operator, began operating the community in February 2020 under a leasehold interest with a purchase option. Berkadia anticipates closing the HUD refinance in the first half of 2025.
