Greystone’s New Addition
David Young has joined Greystone as a Managing Director for healthcare finance. He will be focusing on originating and structuring senior loans for the company’s FHA lending platform, as well as other financing options such as bridge, Fannie Mae and Freddie Mac. Based in the New York area, Young reports to Christopher Clare, Managing Director for healthcare finance. Prior to joining Greystone, Young was a Managing Director at Locust Point Capital, where he originated and structured over $2 billion in seniors housing and skilled nursing debt and equity, including preferred and joint venture capital. Earlier in his career, he served as CFO for Radiant Senior Living. While at Radiant,... Read More »
60 Seconds with Swett: Healthcare M&A Totals
We know that seniors housing and care dealmakers pushed M&A activity to its second-highest total ever in 2023, with around 490 transactions, and counting. But what about the whole healthcare industry, which our sister publication LevinPro HC tracks? For the year, the 12 other healthcare sectors we cover, from Behavioral Health and Home Health to Hospitals and Physician Medical Groups, a total of 2,154 transactions were publicly announced, a 12% decline from the 2,443 transactions disclosed in 2022, which was a record-high. It also fell 4% short of 2021’s total, but historically, anything above 2,000 is on another level. After all, 2019 only reached around 1,400 deals. All sectors... Read More »
LTC Properties Completes Brookdale Portfolio Restructuring
Even though it took a year, the 35 assisted living communities that had been leased by LTC Properties to Brookdale Senior Living have now found homes, with some being new. The leases were set to expire at the end of 2023, and in early 2023 discussions began in earnest. It appeared that Brookdale did not want to renew at the then existing lease rate, at least not for all 35, so it looked like they were going to walk. What is often forgotten in these negotiations is how much overhead these portfolios cover, especially when concentrated in areas where the tenant already has many other properties. After looking like Brookdale was putting them in the rearview mirror, they came back to the table... Read More »
Brookdale Improves Capital Position
As with several companies still trying to regain their financial footing after the pandemic, investors were worried about Brookdale Senior Living’s looming debt maturities. Worry no more, at least for the next few years. The company recently obtained a $180 million loan under its Master Credit Facility Agreement of 2017. The Fannie Mae financing was done with Jones Lang LaSalle Multifamily, LLC. It bears interest at a fixed rate of 5.97% and matures in 2031. Cash on hand and the proceeds of the new debt were used to repay $260 million of debt due in 2024. In addition, the company amended its revolving credit agreement with Capital One, which provides for an expanded commitment of up... Read More »
Diversified Healthcare Trust Lives Another Day
One of the reasons provided for the misguided merger of Diversified Healthcare Trust with Office Properties Trust, since terminated, was that DHC needed to do it in order not to default on its debt and go Chapter 11. Afterall, they had issued a “going concern” letter early this year because they did not see any way to pay off their maturing debt in 2024. Oops. But in this case, it is a good “oops,” because they did manage to find a way to raise net proceeds of $732 million to pay off all their 2024 debt. The $941 million par value of zero coupon senior secured notes come with a rate of 11.25%, so this is quite expensive. The notes are due in two years with a one-year extension. But if the... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
