Build with HUD
The owner of a skilled nursing facility in Gibonsburg, Ohio is planning an addition to its 99-bed property, but also wanted to refinance its existing debt. So, they went to Cambridge Realty Capital Companies, which provided a $5.266 million HUD loan. That financing included both a six-month construction loan and a 34-1/2-year fully-amortizing permanent loan, with a blended interest rate. Read More »
An Affinity for HUD
Affinity Living Group’s latest acquisition of two senior living communities in North Carolina was met with more complications than usual. Already with a senior lender on board, Affinity had to find supplemental debt that not only satisfied their own requirements, but also those of the senior lender and of a future HUD refinance. So, HJ Sims provided a $2.475 million mezzanine loan under its “HUD Plus” program, which allows a borrower to leverage up to 92.5% of the market value of a project with HUD-approved secondary financing. Sims funded the subordinate loan by placing $2.475 million of corporate taxable bonds. The communities included a total of 176 assisted living units and 40 memory... Read More »
CBRE doubles down
CBRE pulled double duty with its last transaction, arranging and funding an acquisition of a 76-unit assisted living/memory care community in the Philadelphia area. Lisa Widmier and Matthew Whitlock handled the sale on behalf of the previous owner. This was built in 2013 at a cost of about $250,000 per unit, and a joint venture between Sage Senior Living and an institutional partner acquired it for just over $400,000 per unit. Aron Will arranged a non-recourse, five-year floating-rate loan, with 36 months of interest only, from a regional bank. Sage Senior Living will take over management. Read More »Grandbridge hits the Town…Village
It was recently announced that Grandbridge Real Estate Capital closed $125 million in financing to assist in the acquisition of four Town Village-brand independent living communities in four states. A joint venture between Chicago Pacific Founders and Grand Park Capital Management (owned by former Brookdale Senior Living executives John Rijos and Bill Doniger, respectively) was the buyer. According to some media outlets, the properties sold for $180 million, or approximately $220,000 per unit. Grandbridge provided $25 million in supplemental loans and also closed $100 million in assumption loans for existing Fannie Mae debt that Grandbridge had previously originated. Read More »
Majority rules
Merrill Gardens found a new majority partner for a small portfolio of four senior living communities on the West Coast it had either developed or acquired in the last couple of years. Previously a minority owner with an affiliate of Heitman (a real estate investment management company based in Chicago), the Seattle-based operator had developed three of the communities in the Orange County, San Francisco and Silicon Valley markets of California in 2014/15, and had acquired the fourth community in Seattle back in 2014 after already operating it for a couple of years. Featuring a combination of independent living, assisted living and memory care, the California properties were all stabilized... Read More »Schedule a demo
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