LONG GROVE, Ill. — Capital One has provided a $21.5 million fixed-rate HUD 232/223(f) loan to refinance Avantara Long Grove, a 195-bed senior nursing facility in Long Grove, 35 miles northwest of Chicago.
The borrower is Cascade Capital Group, a healthcare-focused real estate investment and management company based in nearby Skokie. Cascade purchased the facility in 2016 and, thanks to HUD’s loosening of the two-year debt seasoning requirement, was able to refinance early.
Avantara Long Grove was constructed in 1995 with additions in 2006 and 2007. Cascade Capital Group then infused over $3 million in capital improvements, which included improvements to the rehabilitation wing, therapy gym, front lobby, offices and conference room.
The initial loan was used to upgrade the property and convert it into a shorter-stay, transitional care model. The refinancing offers low-interest, long-term financing, according to the borrower.
Capital One’s Joshua Rosen originated the transaction. The nonrecourse loan features a 35-year term.