Just a year and half after its inception, VIUM Capital announced it closed 42 transactions totaling nearly $700 million in 2021, with nearly half of those deals closing in the fourth quarter. The deal total was fairly even between bridge and HUD loans, and we learned about several of these closings this month.
In a recapitalization effort to retire existing debt, cover closing costs and take equity out, two assisted living/memory care communities in Washington received a $14 million bridge loan from VIUM. Over in Maryland, VIUM placed another $15.15 million bridge loan for the acquisition of a skilled nursing facility. VIUM then placed a third bridge loan to a SNF in Illinois, totaling $20.46 million, for the refinance of a construction loan and initial development costs for a transitional care facility.
In Tennessee, VIUM provided a $16 million bridge loan to a skilled nursing facility to recap existing debt, fund capex needs, and provide a multi-tranche earn out for a severely under-levered project before securing long term permanent financing through HUD. And the last bridge transaction was a bridge loan + B-piece loan (A-B structure) for a SNF in Texas. The A-piece was $12.11 million and the B-piece was $952,000, ultimately combining for a $13 million acquisition loan.
Also in Texas, VIUM closed a bridge-to-HUD refinance for two SNFs, totaling $39.4 million. Compared to their prior debt structure, the client’s HUD loans generate approximately $1.5 million annually in debt service savings. An assisted living community in Illinois received an $11 million HUD loan intended to decrease its interest rate and extend term/amortization in order to secure approximately $100,000 of annual debt service savings
A SNF in Ohio received a $17.3 million HUD loan from VIUM, refinancing existing first and second FHA mortgages through the a7 program exclusively for existing HUD borrowers. Also in Ohio, an assisted living community received a $9.8 million HUD loan to refinance an existing FHA mortgage loan through the a7 program.
Two more HUD loans were announced, with the first provided to a SNF in Colorado for $6.48 million to refinance existing debt, reimburse for capex and secure a long-term, fixed low interest financing. Finally, a SNF in Louisiana received $6.97 million to secure approximately $50,000 of annual debt service savings.
