Live Oak Bank Announces Two SBA Loan Closings
SBA lender Live Oak Bank has been hard at work recently arranging coronavirus relief loans through the Paycheck Protection Program, but the bank also announced a couple of SBA loans that closed earlier this year. First, Live Oak secured acquisition financing for a partnership to buy a 37-unit assisted living community in the town of Shohola, Pennsylvania (in the northeastern part of the state near the New York border). Previously owned and operated by a local individual, the stabilized community was built in 1990 on a 16-acre site. It is the first property directly owned by the acquirer. To fund the deal and limit the equity requirement of the borrowers, Live Oak provided a $5.2 million... Read More »
Berkadia Shows Variety With Latest Four Financings
Berkadia recently closed four separate financings for a total of 10 properties, with a range of purposes from refinances to acquisition financing to a construction loan. First, Ed Williams secured a $5.5 million Fannie Mae refinance for a 51-unit assisted living/memory care community in Georgia. Built in two phases, the latter of which completed in 2008, the community was historically occupied above 90%. Its Southeast-based owner obtained 10-year term, two years of interest only and was able to take advantage of the Streamlined Early Rate Lock option to refinance its existing HUD debt and capture trapped equity in the property. With those funds, they will be able to pursue other... Read More »
Kentucky Community Receives Fannie Mae Refinance
MidCap Financial, through its correspondent relationship with Bellwether Enterprise Real Estate Capital was able to close a Fannie Mae refinance of a 167-unit senior living community in Lexington, Kentucky. The deal closed in mid-March before huge swaths of the country had been shut down but still a difficult time to get transactions across the finish line. At the end of 2018, the borrower, Atlas Senior Living, had acquired the community as part of a purchase option from DMK Development. Before that, Atlas had leased and operated the $26 million development, which was nearly stabilized at the time of the sale. Opened in August 2017, it features 114 independent living, 38 assisted living... Read More »
Welltower Is Going Transparent
First, we have to applaud Welltower for being very transparent with regard to what is happening with its customers, specifically its seniors housing operating portfolio (SHOP) customers. This is very important, not only for REIT investors, but for the entire seniors housing community to better understand how this COVID-19 pandemic is impacting business, but also the general economic deterioration. Last month, Welltower disclosed that its SHOP portfolio, which includes 612 properties with more than 73,000 units, had seen 20-basis point declines in occupancy every two weeks in March, that costs were rising and that tours and move-ins were starting to decline. This... Read More »
Some Providers Succeeding Despite COVID-19
All we hear about is how COVID-19 is spreading through skilled nursing facilities and some seniors housing communities. Bad news sells, pure and simple. We certainly know that, and there has been plenty of bad news the past few years, and weeks. Have you ever seen the headline, “65 residents at assisted living community drank and danced at a Mardi Gras party”? Really, never? It has happened. But it is not all doom and gloom out there. Last week we spoke with a mid-sized California operator of assisted living communities in the state, and so far, they have been spared much of the COVID pain. Of the approximately dozen or so assisted living communities they operate, just four... Read More »
Dwight Capital Refinances New Jersey SNF
Dwight Capital arranged a HUD refinance for a skilled nursing facility in Union City, New Jersey (New York City MSA). Built in 2008 right at the New Jersey end of the Lincoln Tunnel, the 127-bed facility provides a variety of services including on-site diagnostic x-rays, occupational therapy, physical therapy, speech/language pathology and podiatry services, among others. Its owner obtained a $12.4 million HUD loan with a 35-year term and amortization. The lower fixed interest rate also provided the borrower with substantial annual debt service savings. Adam Offman of Dwight Capital originated the transaction. Read More »
Recent Senior Care M&A Deals, Week Ending April 17, 2020
Check out our recent senior care M&A transactions! Long-Term Care AcquirerTargetPrice Local partnershipTwin Cedars Senior Living$5.91 million Not disclosed6 senior living communitiesN/A Waypoint ResidentialSummer Vista & The Crossings at River View$48.85... Read More »
Ziegler Closes SNF Portfolio Sale
Don Husi, Dan Revie and Tedd Van Gorden of Ziegler represented a not-for-profit owner of three skilled nursing facilities in Delaware in a sale that closed earlier this month. The sales price was $67.0 million, or just over $141,600 per bed/unit. That represents one of the highest prices in the state. The seller was Emerald Shelter Group, a Nashville, Tennessee-based owner of seniors housing, healthcare properties and affordable housing assets in the Midwest and Southeast. Two of the nursing facilities are located in northern Delaware, in Newark and Wilmington, while the third property is located further south in Lewes. The portfolio includes 430 skilled... Read More »
PGIM Closes HUD Refinance for Maryland SNF Portfolio
PGIM Real Estate successfully closed a scattered site refinance through HUD of a portfolio of assisted living communities in Maryland. Operated by Rose Hill Management, the three communities total 64 units, with one property in Annapolis featuring two 16-unit buildings (plus memory care services) and the communities in Pasadena and Odenton each featuring just one 16-unit building. Occupancy was around 90% across the 1990s-vintage portfolio. To consolidate the debt across the three sites, Chris Fenton of PGIM led the way on securing a single $5.5 million HUD loan with a 35-year term. Read More »
People’s United Bank Hard at Work
The team at People’s United Bank has been very busy in the last month closing acquisition financings, arranging credit lines for hospital clients and processing PPP loans for its customers. In addition to adjusting to new working environments, this meant a lot of late nights and weekend work for the People’s teams. First, the Healthcare Finance team closed two small loans to support Pinnacle Group’s acquisition of two skilled nursing facilities in Maine, with Claudia Gordon serving as relationship manager on the transaction. The acquisition included a 64-bed facility in North Berwick and an 86-bed facility in Sanford, joining Pinnacle’s 114-bed senior care facility in Canton, Maine... Read More »Schedule a demo
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