KeyBank Tops HUD Rankings
There’s a new king of the HUD 232 Lean program. KeyBank Real Estate Capital unseated long-time leader Lancaster Pollard (which had topped the list since 2010 in terms of dollar volume) after closing $812.7 million in loans in FY2018, a record for single-year volume in the program and up 144% from the firm’s FY2017 volume. In that time, KeyBank also closed the largest single-asset HUD loan in history when it secured a $127 million loan for a 499-bed skilled nursing facility in New York City. Lancaster Pollard still reported an impressive $610.4 million in loan closings (good enough for second place), while Capital Funding took third place with $466.0 million. Not resting on those impressive... Read More »
Cushman & Wakefield Recapitalizes New England Seniors Housing Portfolio
Cushman & Wakefield served as the exclusive advisor to a joint venture between LCB Senior Living and Harrison Street Real Estate Capital in their recapitalization of four New England seniors housing communities. LCB had already been operating three of the properties in Massachusetts (Ipswich) and Connecticut (South Windsor and Avon) since their construction in 2014 and 2015. But the fourth property (in Lincoln, Rhode Island) was built in 2009 and acquired by LCB and Prudential Real Estate Investors in 2013 for $11 million, or $183,300 per unit. The communities market to independent living residents and allow for transitions to higher care levels including assisted living and memory... Read More »
Greystone Closes Two Bridge Financings For SNF Clients
Fred Levine of Greystone announced his latest two bridge financings that closed in Ohio and Pennsylvania, for three total skilled nursing facilities. Two of those facilities are located in Youngstown, Ohio and have undergone significant renovations in recent years. They offer subacute care, skilled nursing, pulmonary care, wound care, orthopedic rehab and outpatient therapy programs, among others. In addition, one facility has a dialysis unit, while the other offers diabetic management and a Parkinson’s program for both residents and non-residents. They received $15 million in bridge financing. Then, in the Squirrel Hill neighborhood of Pittsburgh, Pennsylvania, Mr. Levine arranged a $19.5... Read More »
Recent Senior Care M&A Deals, Week Ending October 12, 2018
Check out our recent senior care M&A deals! Long-Term Care AcquirerTargetPrice Regional operator2 assisted living communities$26 million Joint ventureEntrust of ConcordN/A Harrison Street Real Estate Capital/LCB Senior Living4 seniors housing propertiesN/A American House Senior Living CommunitiesVista Springs of... Read More »
High-Quality SNF Refinances With Capital One
Joshua Rosen of Capital One followed up on his HUD refinance of a supportive living facility in Chicagoland last week with another permanent financing in the Old Northwest, this time for a 124-bed skilled nursing facility in Romeo, Michigan (Detroit MSA). Built in 2014, this facility is not your traditional SNF. It features a high proportion of private suites (although all rooms come with a full bathroom), large, modern therapy spaces catering to Medicare and Managed Care residents, plenty of common areas and a bistro. It was developed by a repeat Capital One client. To refinance existing bank debt as well as partnership debt, Capital One provided a $17.1 million HUD loan, with a 35-year... Read More »
Capitalizing On Location In Concord, California
The joint venture between Agemark Senior Living and Trellis Real Estate Group just executed on their third investment together, acquiring a 101-unit senior living community in Concord, California (San Francisco MSA). No purchase price was disclosed, but Aron Will of CBRE arranged an $11.2 million floating-rate loan, with a five-year term and 36 months of interest only, from a national bank to finance the deal. Originally built in 1970, the community is situated on 2.7 acres of irreplaceable land in the Bay Area. Plus, it is located within three miles of two large medical centers totaling 799 licensed beds and within five miles of both downtown Concord and downtown Walnut Creek, along with... Read More »
KeyBank Closes Large HUD Financing
Nine-figure HUD financings don’t come across our desk too often, but KeyBank Real Estate Capital just provided $105 million to refinance a 10-property portfolio on behalf of Trilogy Property Holdings. Located in Ohio, Kentucky, Indiana and Michigan, the portfolio totals 1,078 skilled nursing and assisted living beds that were built between 2000 and 2014. John Randolph, Laura Conway and Jonathan Slusher led the way on the transaction, which was used to pay down portions of two separate KeyBank-led syndicated credit facilities. The first facility is a term loan that funded the acquisition of nine healthcare facilities, while the second is a senior-secured revolving credit facility secured by... Read More »
Ohio Owner Heads Into Retirement With Sale
The Buffalo, New York-based owner of two assisted living communities in Ohio decided it was time to retire and hired Eli Kutner and Avi Begun of Harborview Capital Partners to negotiate a successful exit. Located down Lake Erie in the Cleveland area, the communities total 250 units and 264 beds, including some memory care units. A regional operator looking to grow their portfolio paid $26 million, or $104,000 per unit, for the pair. Read More »
Seniors Housing Occupancy Woes
Recent third quarter data was not promising, but are we looking at the wrong numbers? When NIC released its occupancy stats last week, people were hoping for good news. Hope, however, is not a business plan. The third quarter has historically been a “make-up” quarter, making up for the usual dismal first quarter and the now not-so-good second quarter. It didn’t happen this year, and as we head into the flu season, that is very troubling. What may be more troubling is that in the top 31 MSAs, assisted living unit growth is still at its highest levels since before 2006. And while moderating, assisted living construction as a percent of inventory is still higher than it has been in 13 years.... Read More »
Evans Senior Investments Closes High-Priced SNF Sale
Skilled nursing facility prices may have tempered from their peak in 2016 (we hosted a webinar on the very subject last month), but Evans Senior Investments bucked that trend by selling a pair of New Jersey skilled nursing facilities for $31.5 million, or nearly $190,000 per bed. The facilities’ locations probably had the most impact on that high price, as they were located just 16 miles apart in Ridgewood and Montclair, just outside of New York City. Other factors would normally suggest a lower price, however. Both were originally built in the 1960s but have received updates in the last five years. Occupancy averaged in the mid-80s, with one facility reporting a 50% quality mix while the... Read More »Schedule a demo
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