LPCs/CCRCs Do It Again
According to a new report from investment banking firm Ziegler, based on information provided by NIC, the LPC/CCRC market is on the rebound. Not that it had too far to rebound from, however. Not-for-profit and entrance-fee LPCs/CCRCs (we will refer to them all as CCRCs) had average occupancy between 90% and 92% in the 99 primary and secondary markets for the 10 years prior to the pandemic. Rental CCRCs were not too far behind but started to diverge (trend lower) between 2014 and 2015, according to the data. With the onset of the pandemic, all forms of CCRCs, whether not-for-profit, for-profit, rental or entrance fee, saw similar drops in census that were seen across the industry and all... Read More »
Two Communities Sell By Ziegler Team
Ziegler’s Dan Revie and Tedd Van Gorden arranged a couple of recent seniors housing sales. First, the Reserve at Arlington Heights, a 42-unit memory care community located in Arlington Heights, Illinois, sold to Inspired Healthcare Capital (IHC). IHC is a Scottsdale, Arizona-based private real estate investment firm that focuses on the healthcare sector, which also purchased eight assisted living communities across Oregon and Washington in 2020. Built in 2014 by The LaSalle Group as an “Autumn Leaves” community, this campus has over 30,000 square feet and sold for $12.6 million, or $300,000 per unit. It was performing very well at the time of sale, with occupancy near 100%. The... Read More »
Ziegler and M&T Realty Refinance Nebraska Community
Ziegler partnered with M&T Realty Capital Corporation as financial advisor in a $8.5 million Fannie Mae refinancing. On behalf of Essex Communities, the team refinanced the existing debt on Carriage Glen, a 55+ age-restricted independent living community in Lincoln, Nebraska. The 10-year, fixed-rate loan was structured at 75% loan-to-value with four years of interest-only payments, followed by 30 years of amortization. The loan also carried a declining prepayment schedule, which will provide the borrower with additional flexibility in future years. In addition to refinancing the existing debt, the loan also provided funding for Essex to recover capital expenditures and to pay off the... Read More »
Ziegler Provides Financing for Ohio Not-For-Profit
Ziegler announced it has priced Series 2022 bonds on behalf of Ohio Living, a not-for-profit owner/operator of twelve seniors housing communities in Ohio. Nine of the properties are full-service life plan communities offering independent and assisted living units, along with skilled nursing beds. Proceeds from the bonds will be used to refund Series 2013A bonds and pay costs of issuance associated with the financing. The bonds will realize net present value savings on the Series 2013A refunding in excess of $15 million, or greater than 30%. The Series 2022 Bonds consists of tax-exempt fixed interest rate serial bonds and a final term bond. They have a 19-year maturity that “wraps” around... Read More »Schedule a demo
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