Meridian Capital Group Closes Several Financings and a Sale
The team at Meridian Capital Group has been hard at work closing a number of transactions in the last few weeks. They have clearly gained some experience on how to get deals done in this COVID-19 environment, which we recently highlighted in a Q&A with Ari Adlerstein, Ari Dobkin and Josh Simpson. For a total of 13 skilled nursing facilities in four states, the team closed $165 million in transaction volume since the end of March. The largest financing was a $39 million non-recourse loan, with a 10-year term and aggressive pricing from a commercial bank, to refinance two skilled nursing facilities and 240 total beds in Maryland. The Meridian trio also refinanced five skilled nursing... Read More »
M&T Realty Finances King County Senior Living Community
Following a recent expansion of its senior living community in King County, Washington, a family owner turned to Steve Muth of M&T Realty Capital Corporation to secure Freddie Mac financing for it. The borrower originally built the property (located in Enumclaw about 35 miles southeast of Seattle) in 1986 with just 45 units, but in February 2018, they completed an expansion and renovation that brought the total number of units to 108, with 50 independent living, 37 assisted living and 21 memory care units. This was the owner’s first Freddie Mac transaction, which consisted of a $16.8 million loan arranged through the agency’s Optigo® program to pay off the construction loan from... Read More »
MONTICELLOAM Arranges Acquisition Loan for Maryland SNF Portfolio
MONTICELLOAM, LLC (Monticello) is continuing its April activity with an acquisition financing closed for a skilled nursing portfolio with 460 total beds in Maryland. The buyer was an experienced owner/operator with a current portfolio of 2,459 licensed beds. They have also worked with Monticello before, receiving acquisition financings for a number of other facilities in 2019 and 2020. The most recent transaction consisted of $66.6 million in first lien debt, with comes out to nearly $145,000 per bed, a high figure for skilled nursing facilities, even in the state of Maryland. It all depends on payor mix, occupancy and most importantly, cash flow, and these facilities must be... Read More »
MonticelloAM Funds SNF Portfolio Acquisition
The team at MonticelloAM arranged acquisition financing for an experienced owner/operator’s purchase of six skilled nursing facilities across the state of Arkansas. Built in the 1980s and 1990s, the portfolio consists of 868 total beds. Occupancy averaged between 83% and 84% under the management of an affiliate of Capital Health Group. Private REIT CNL Healthcare Properties was the seller, hiring Newmark Knight Frank to run the sales process. The deal closed in early March. The purchase price came to $55 million, or $63,400 per bed, and was financed by $50 million in first lien debt, with a 36-month term, provided by MonticelloAM. Included in the transaction was a $2 million working... Read More »
Navigating Today’s Lending and M&A Markets: A Q&A with Meridian Capital Group
Seniors housing and care M&A has slowed down considerably, which will not surprise anyone, and an abundance of caution on the buyers’ part has had a lot to do with that. But perhaps more so has been the reaction of the lenders, many of whom have taken a wait-and-see approach before lending millions to support acquisitions, new developments and even refinances. However, deals are still getting done, with even a mini M&A boom at the end of March into early April, so a number of lenders had to have signed off on those deals fully aware of the economic and practical realities of the current crisis. So how have these lenders adapted to the current environment?... Read More »Schedule a demo
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