Capital Funding’s closings
Capital Funding Group closed a couple of transactions recently for SNFs up and down the East Coast. Starting in New York, the lender provided a $19.1 million bridge-to-HUD loan for a borrower to acquire a 167-bed skilled nursing facility. The loan covered over 90% of the $20.87 million, or $125,000 per bed, purchase price. Craig Casagrande originated the transaction, which was funded through a combination of senior and mezzanine debt and included a turnaround component based on projected improvements to the facility’s performance. Plus, Chip Woelper originated a $3 million working capital loan for the borrower to finance operations. In a separate transaction, Capital Funding served as sole... Read More »
Getting Ready For More Acquisitions
The Ensign Group has nearly doubled its bank line of credit to $450 million. The new facility will include a $300 million revolving line of credit as well as a $150 million term loan. In addition, there is a $150 million expansion option. It looks like the company is lining up the dry powder for some more acquisitions. Robinson Humphrey and Wells Fargo Securities arranged the financing. Read More »
Pillar and Petersen
One of the largest owners and operators of skilled nursing facilities in Illinois, Petersen Health Care, recently went to Pillar, affiliated with Guggenheim Partners, to refinance three of its properties in the state. Evan Hom, Managing Director of Pillar’s New York office, originated a $5.44 million HUD refinance for an 90-bed facility in South Elgin, $2.28 million for a 77-bed facility in Jonesboro, and $2.16 million for a 62-bed facility in Macomb. All of the properties were built from 1967 to 1970, were well occupied at the time, and received fixed-rate, 30-year loans. Read More »Three more Popular closings
Popular Community Bank, a subsidiary of Popular, Inc. (NASDAQ: BPOP), was busy this month, closing a couple of term loans along with five separate credit facilities. Ken Mitchell, who leads the National Healthcare Financing Division of Popular, closed both an $18 million loan and a $13 million loan for Grand Healthcare System to exercise purchase options on a 179-bed skilled nursing facility in Queens, New York and a 122-bed skilled nursing facility in the Hudson Valley area of New York. Grand had been operating the facilities since 2014, both of which occupancy above 95% and strong quality mixes. Plus, the Queens facility recently opened a 14-bed unit to serve stroke patients. As for the... Read More »Back to Sims
A couple of years after purchasing two Rhode Island skilled nursing facilities, Athena Health Care Systems has gone to HUD to refinance the two properties, with the help of HJ Sims. Totaling 280 beds, the skilled nursing facilities combined for an occupancy in the mid-90s. This was not the first time Sims had gotten involved with these facilities. In fact, when Athena acquired them in 2013 and 2014, Sims issued both conventional bank financing and preferred equity to fund the deal. But, the bank debt was scheduled to mature in 2020 and 2021, respectively, and Athena chose to refinance through HUD to take advantage of the current low interest rate environment. So, Sims Mortgage Funding... Read More »Schedule a demo
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