Andrew Lanzaro of Berkadia Seniors Housing & Healthcare arranged a $24.75 million bridge financing for the acquisition of a 140 unit seniors housing community in Ocean Springs, Mississippi, on behalf of a Memphis-based repeat client. The purchase represented the buyer’s 10th community in Mississippi and was funded with 1031 exchange equity.
The bridge loan was sized to 75% of the purchase price and features a 24-month, interest-only term with one six-month extension option. Berkadia intends to refinance the community with a HUD 232/223(f) loan. The regional owner/operator buyer paid $33 million, or $235,700 per unit, for the community.
Built in phases from 2019 to 2025, the asset’s 18-unit independent living portion was completed most recently and quickly leased to 100% occupancy. The property also features 60 assisted living and 62 memory care units. There are no major competitors in the local market offering a continuum of care on one campus, so that helped the community be stabilized at the time of sale, with overall occupancy at 95%.
The seller was a Mississippi-based partnership that developed the asset. They were divesting to exit the sector, with this being their only seniors housing asset. Daniel Geraghty and Bradley Clousing of Senior Living Investment Brokerage represented the seller in its sale, securing multiple offers for the community.
