VIUM Capital announced a slew of closings at the start of October, ranging from HUD refinances to acquisition loans. The largest was a $72 million bride loan that refinanced four skilled nursing facilities in Pennsylvania totaling 525 beds. Proceeds will be used to take out senior debt and senior mezzanine debt. The facility will be structured as an initial advance of $58.75 million with earnouts totaling $13.25 million. Both the sponsor and the operator are recurring clients of VIUM.
For the purchase of Eden Heights, a 30-year-old, 120-unit assisted living/memory care community in upstate New York, VIUM arranged a $7.95 million loan plus earnouts that could reach $5.7 million. The borrower, Premier Senior Living, has served as the community’s third-party operator for more than 15 years and was looking to acquire the asset once they had negotiated a below-market purchase price. Premier plans to complete capex and renovations to help improve performance.
Next, to refinance existing debt and buy out the 90% ownership interest of limited partners of a 104-bed skilled nursing facility in Oklahoma, VIUM secured a bridge loan totaling $25.315 million. There is also a $2.385 million earn-out to ensure the facility is properly levered prior to HUD takeout.
VIUM also refinanced an Illinois SNF’s existing bank debt, a shareholder note related to the facility’s prior acquisition, and reimbursed the borrower for capital expenditures with a new $19.76 million bridge loan. The loan proceeds were limited to 100% of HUD-eligible costs to allow for immediate submission to HUD and qualify for Tier 1 pricing. The HUD application for the project was submitted within four weeks of the bridge loan closing.
Finally, a 73-unit assisted living community in Illinois received a $9.03 million HUD loan to take out senior bank debt and shareholder loans. The transaction reduced the community’s capital cost. VIUM tracked the deal for a few months before starting the HUD process and underwriting to the trailing-12-month financials.
