Lument Arranges Bank Loan For Watercrest Community
Lument arranged bank financing for Watercrest Senior Living’s newly built senior living community in Tarpon Springs, Florida. Steve McGee, managing director at Lument since joining the team in 2020 to head its debt syndication group, led the transaction, which took out construction debt at the property. Opened in 2018, Market Street East Lake has 64 units of memory care and joined Watercrest’s growing portfolio, which currently numbers 13 properties across the Southeast. The new bridge-to-agency loan totals $12.3 million and covers about 70% of the property’s value. That puts the community at around $275,000 per unit in value. The debt came with a floating interest rate for a five-year... Read More »
Cain Brothers Finances CCRC Repositioning Project in Wisconsin
A not-for-profit CCRC in Dousman, Wisconsin is following the will of its patients and converted a number of its skilled nursing beds to community-based residential facility-licensed beds and secured financing with the help of Cain Brothers to fund it. Three Pillars Senior Living Communities, a not-for-profit founded in 1905 and affiliated with the Masonic Grand Lodge of Wisconsin, owns and operates the campus. Occupancy was consistently above 96% across its independent living and assisted living units, but census at its 84-bed skilled nursing facility began softening in 2018 due to the lack of private rooms. Management also took notice of higher acuity residents’... Read More »
Can Skilled Nursing Be Reformed?
The American Health Care Association and Leading Age have proposed a reform agenda for skilled nursing. As usual, the problem is Medicaid. The American Health Care Association and Leading Age have proposed a policy “agenda” to address some of the problems that exist in skilled nursing facilities today, which were obviously highlighted by the impact of the pandemic. As part of the reforms, they want enhanced infection control practices, 24-hour RNs, 30-day minimum supply of PPE, better recruiting and retention of staff, improved oversight systems, and a shift to all private rooms. There is little here to disagree with, except that they expect Medicaid to pick up most of the $15... Read More »
Joint Venture Refinances Midwest Seniors Housing Portfolio
CBRE’s National Senior Housing team refinanced three seniors housing communities in the Midwest. Owned by a joint venture between CA Ventures and Partners Group, the communities were built in 2016 and 2017 in the Chicago (two locations) and Kansas City metro areas. They consist of 210 assisted living and 98 memory care units as well as numerous high-end amenities. Anthology Senior Living, CA Ventures’ wholly owned senior living operating platform, manages the Illinois communities, while Senior Lifestyle operates the Kansas location. To refinance debt they had previously placed with another debt fund, Aron Will, Austin Sacco and... Read More »
Ziegler Arranges Bond Financing For CCRC Expansion
Ziegler placed and closed a $38 million revenue bond series for Christian Retirement Homes to finance an expansion of its CCRC campus in Lincoln, Nebraska. Opened in 1968, the not-for-profit community has grown over the years to now include 121 independent living units, 53 assisted living units and 22 skilled nursing beds in four residential buildings. In 2017, Transforming Age affiliated with the not-for-profit to provide governance, management and financial support of the campus. Management decided to expand with a new four-story building that will house 50 independent living units. Plus, they wanted to convert 10 assisted living units into five penthouse independent living units.... Read More »
Walker & Dunlop Arranges HUD Financing For Wisconsin Acquisition
To support the acquisition of a 50-unit assisted living community in Green Bay, Wisconsin, Walker & Dunlop structured a HUD loan assumption for the out-of-state buyer, Senior Opportunity Funds Holding Company. We covered the deal in January when Ray Giannini of Marcus & Millichap announced he represented the seller, a husband-and-wife team who have worked diligently to maintain census and keep the community COVID-free throughout 2020. Contrary to many seniors housing communities today, this property was fully occupied, with a 100% private pay census at the time of closing. It also reported strong cash flow and was relatively new construction, having been built in phases from 2009... Read More »
Oxford Finance Secures Credit Facility For Florida SNF Acquisition
Oxford Finance closed a large senior credit facility and revolving line of credit to support the acquisition of four skilled nursing facilities in Florida. Pointe Group Care, an owner/operator of skilled nursing and assisted living facilities in Massachusetts and Florida, was the buyer and borrower. Totaling $57.2 million, the financing package will also be used to fund working capital and refinance existing debt. Neither party released any other details on the deal. This is not the first transaction closed between Oxford and Pointe Group, and existing relationships have proven key to getting deals done in this pandemic environment. Read More »
The Ups and Downs of Genesis Healthcare
Two weeks ago, we reported on the restructuring that is taking place at Genesis Healthcare, with the infusion of new capital that will eventually take this new investor to a fully diluted ownership interest in excess of 40%. That news sent the share price tumbling 47% to a low of $0.43 per share. Trading volume over two days was more than 59 million shares, or more than 53% of the total float. Then, a week later, the share price jumped by 48% mid-day to a high of $0.74 per share, ending the day at an increase of “just” 20%. Trading volume on that day? A mere 73 million shares, or about two-thirds of the float. The day before and the day after that momentous day, another 26... Read More »
Senior Care Centers Saga Continues
LTC Properties sent a notice of default to Senior Care Centers (SCC) and ABRI Health Services after they failed to pay the March rent due as well as additional charges under the master lease. LTC will make draws under SCC’s letter of credit to cover the payments, which are a minimum of $1.2 million per month. The lease covers 11 skilled nursing facilities in Texas with approximately 1,400 beds operated by SCC. Many of SCC’s properties have already been transferred to other operators, and it appears as if these 11 will be added to the total. LTC Properties expects to transition these 11 to Texas-based HMG Healthcare by the end of the second... Read More »
Newmark Handles Receiver Sale In Mississippi
After a long bankruptcy process, a senior living community in Southaven, Mississippi (Memphis area) found a new owner. Newmark represented the receiver in the transaction. Opened in 2008, the community has 76 assisted living and memory care units. Occupancy averaged 65% in 2020, and there was no positive cash flow at the time of the sale. The sale process yielded multiple offers, with a regional owner/operator emerging as the winning bidder for a price near $6 million. They expect to invest in renovations and physical plant updates, plus use its scale to support the onsite team and improve operations. Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
