CIBC Closes Acquisition Financing for Skilled Nursing Portfolio
It has been a busy last couple of weeks at CIBC. After closing two cash-out refinances for five skilled nursing facilities, totaling over $43 million in loans, the bank arranged acquisition financing for another three skilled nursing facilities. Daniela Miranda and Matthew Tyler secured the $7.5 million loan for the buyer to complete a purchase option on the portfolio. Located in Illinois, the three facilities total 280 beds and had an effective age of 25 years. They had been run by a local operator, and occupancy was historically in the 60s. The operating margin was around 10%. CIBC arranged a five-year loan on the real estate and also closed a $2.0 million revolving line of credit to... Read More »
KeyBank Secures Financing For To-Be-Built Community
KeyBank Real Estate Capital arranged construction financing for an affordable seniors housing community in Austin, Texas, which is expected to open in 2022. Being developed by Dallas-based Generation Housing Development and Hill Tide Partners, the project will comprise two four-story buildings and 174 total units, split between 102 one-bedroom and 72 two-bedroom apartments. Each unit will have a bathroom and range in size from 614 to 1,131 square feet. There will also be a community garden, swimming pool, community center, theater room, business center and fitness center. Ownership will reserve 17 units for residents earning 40% of the area median income, 148 units for those earning 60%... Read More »
Federal Oversight Coming To Assisted Living?
Congressional report on assisted living and COVID-19 looks more like a hatchet job than really trying to help. Senators Warren and Markey’s report is in, and try counting how many times the word “federal” was used, as in there are no “federal” reporting requirements, data should be regularly reported to the “federal” government, assisted living facilities should receive support through “federal” programs, and on and on. They had sent a very detailed questionnaire to the 11 largest assisted living operators, and found that 24% of the communities operated by them had at least one positive COVID-19 test, and 8% had outbreaks of at least 10 residents, with positive cases coming in at more... Read More »
Capital Funding Group Reports Impressive First Half of 2020
We’re not sure how, but Capital Funding Group announced a record-setting first half of 2020 with more than $600 million in financings closed for skilled nursing and assisted living clients. We’re sure that not only made those at Capital Funding Group happy, but also their clients, who were able to access capital during the liquidity crunch at the start of the pandemic. Getting to that impressive volume, CFG closed 27 bridge loans totaling more than $400 million, 23 HUD loans totaling about $200 million and six A/R lines of credit that reached over $30 million in combined capital. In February, CFG also launched a new off-balance sheet financing program that significantly... Read More »
Joint Venture Acquires Two Development Sites
With an eye to the future, ZOM Senior Living and Watermark Retirement Communities bought two parcels of land in southeast Florida to develop a couple of seniors housing communities. Development has certainly slowed for a variety of reasons, like state and local orders, lack of financing or an abundance of caution from investors. After all, who can be sure how much lease-up projections may change in the next several years. Some developers willing to break ground today may benefit from the lack of new supply, but it will vary from market to market. The ZOM/Watermark joint venture will first break ground later this summer on a 196-unit community in Coral Gables... Read More »
Watercrest Breaks Ground On South Carolina Senior Living Community
Watercrest Senior Living Group broke ground on another senior living community just a couple of months after starting work on a 98-unit senior living community in Macon, Georgia. This most recent project is located in Myrtle Beach, South Carolina, and also comprises 76 units of assisted living and 22 units of memory care. There will be amenities like a salon and spa, plus outdoor features like verandas, fireplaces and other social gathering spaces. Residents can also benefit from the local golf courses, medical centers and entertainment of Myrtle Beach. Just like the Georgia development, Watercrest is developing the community with equity partners Peninsula U.S. Real Estate, a private... Read More »
Cambridge Realty Capital Closes HUD Deal
The HUD pipeline is still flowing these days, and Cambridge Realty Capital Companies announced a loan closing for a 115-bed skilled nursing facility in northeast Texas in the city of Longview. Built in the 1980s but well maintained, this facility has so far been spared from COVID-19. The New York-based owner decided to refinance and, with the help of Cambridge, obtained a $3.907 million HUD loan. The interest rate came in under 3%, and the loan came with a fully amortized 29-year term. Read More »
One Small Provider Tackles The Coronavirus, And Performs
As we all know by now, the coronavirus has been impacting providers very differently. Some not-for-profits have been spared, while others have suffered greatly. The very large national providers have seen surges in positive cases and deaths in some of their buildings, while other buildings they operate have been completely spared. Was senior management doing something different in the spared buildings? Probably not, but often times it can be the local management team, and just as often with this pandemic, it can just be a matter of luck. Small providers, especially those with hands-on senior management, seem to have fared reasonably well from conversations we have had. Were they in... Read More »
Recent Senior Care M&A Deals, Week Ending July 3, 2020
Check out our recent senior care M&A deals! Long-Term Care AcquirerTargetPrice Regional owner/operatorElderHealth & Living Memory Village$11.85 million Regional owner/operatorBishop Davies Nursing Care Center$8 million Regional owner/operatorWood Memorial Nursing Home$6.365 million Regional owner/operatorLBJ Medical Center$1.2 million JEA Senior LivingGrand View Alzheimer's Special Care... Read More »
Live Oak Bank Secures Credit Facility for JEA Senior Living
Live Oak Bank is expanding its balance sheet offerings for senior care clients and recently closed a credit facility for national operator JEA Senior Living. The $25 million facility will support JEA’s senior housing acquisitions nationwide as the company continues to grow its portfolio. The structure also allows JEA to both add and remove individual assets within the financing pool, giving them flexibility to move quickly to pursue acquisitions as well as manage future refinancing plans. The first funding under the facility supported JEA’s acquisition of a 38-unit memory care community in Peoria, Illinois, from its REIT landlord. Built in 2012 and licensed for 66 beds, the community has... Read More »Schedule a demo
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