Five years after acquiring a Seattle-area senior living community, a joint venture between Capitol Seniors Housing(CSH) and a large university endowment refinanced the property. Aron Will of CBRE helped fund both the acquisition and this current transaction. He was joined by Austin Sacco and Adam Mincberg on the refinance.
Purpose-built in phases in 2000 and 2004, the community features 106 units of assisted living and memory care. Located in Mukilteo it was 90% occupied (and rising) when CSH purchased the property from a local operator in late 2015 for $29.125 million, or $215,300 per unit. CBRE secured a five-year, $20.12 million loan from a national bank to fund the deal, and CSH planned a $1 million Capex project, which included converting AL units to memory care. Milestone Retirement Communities had been the operator but was since replaced by Integral Senior Living.
To refinance the property, CBRE originated a seven-year, $19.5 million loan with a floating rate and four years of interest only. The loan was secured through CBRE’s Freddie Mac Optigo lending program.
