PHILADELPHIA — ORIX Real Estate Capital (OREC) has appointed Aaron Becker as head of production for seniors housing and healthcare. Based in the firm’s Philadelphia office, Becker will lead seniors housing and healthcare originations for OREC, which is based in Columbus, Ohio. The new entity will combine the forces of Lancaster Pollard, RED Capital Group and Hunt Real Estate Capital. ORIX Corp. USA acquired the three entities over recent years. Prior to being named head of production, Becker was regional manager in the Northeast for Lancaster Pollard, and served as …
Finance
KANSAS — Monticello has provided $15.5 million in first lien debt financing for a portfolio of skilled nursing facilities in Kansas. The properties total 282 beds, and the transaction includes two acquisitions and two refinancings. The borrower is an owner-operator with a total portfolio of 945 licensed beds.
HJ Sims Hires Two Seniors Housing Experts, Expanding Investment Banking Team to West Coast, Midwest
by Jeff Shaw
FAIRFIELD, Conn. — HJ Sims has added two senior bankers as the firm opens new offices in the Midwest and on the West Coast. Lynn Daly joins Sims as executive vice president in its new Chicago location. She has over 30 years of experience working with nonprofit organizations in financing. Daly was acting head of senior living investment banking at BB&T Capital Markets, where she managed BB&T’s senior living relationships in the Midwest, facilitating financings of $1.3+ billion. Prior to BB&T Capital Markets, Daly spearheaded the Catholic Initiative within senior …
NEW YORK CITY — Harborview Capital Partners, a commercial real estate finance, equity and advisory firm, has arranged loans totaling $12.9 million for two seniors housing communities in Queens. In the first transaction, Harborview arranged a $6.9 million loan to refinance a 200-bed facility. A regional bank provided the financing, which features a 25-year amortization and 10-year term. Matt Hedvat and David Nussbaum originated the transaction. Harborview also arranged a $6 million loan to refinance a 262-bed assisted living facility. A regional bank provided the non-recourse loan. Eli Kutner originated …
MARYLAND — Harborview Capital Partners, a commercial real estate finance, equity and advisory firm, has arranged an $81 million loan for a New Jersey-based seniors housing owner. A national lending partner provided the funds, which will refinance a portfolio of four skilled nursing facilities and one assisted-living facility in the state of Maryland. The borrower recently acquired the assets. The financing features a LIBOR-based fixed rate, four-year term, and a credit facility that allowed for a limited-recourse cash out over $20 million. Ephraim Kutner, Jonathan Kutner and Eli Kutner originated …
The U.S. Department of Housing and Urban Development (HUD) is offering borrowers in the seniors housing space some assistance in response to the financial challenges caused by the COVID-19 virus that has claimed the lives of over 58,000 Americans so far. More specifically, borrowers in the HUD/FHA Section 232 mortgage insurance program can take advantage of a series of four benefits designed to address their obligations to HUD and to take care of their residents. The provisions allow eligible borrowers to: suspend monthly deposits to be placed for replacement reserve …
Harborview, Meridian Arrange $93.7M in Financing for 19-Property Skilled Nursing Portfolio in the West
by Jeff Shaw
NEW YORK CITY — Harborview Capital Partners and Meridian Capital Group’s Senior Housing and Healthcare team have arranged $93.7 million in financing to a West Coast-based operator. The financing funded the acquisition of the real estate and operations of six nursing facilities and the leasehold rights of 13 additional facilities in California, Washington and Nevada. The $93.7 million loan consists of $65.7 million of senior financing and an additional $28 million revolver provided by a commercial bank. The portfolio consists of 14 nursing facilities in California, four in Washington, and …
Cushman & Wakefield Arranges Construction Financing for HarborChase of South Portland in Maine
by Jeff Shaw
SOUTH PORTLAND, Maine — Cushman & Wakefield Senior Housing Capital Markets has arranged the equity and financing for construction of HarborChase of South Portland. Confluent Senior Living, a subsidiary of Denver-based real estate investment firm Confluent Development, will develop and own the property. Harbor Retirement Associates is the co-developer for the project and will operate the community upon completion. The property will feature 123 units of assisted living and memory care. Construction is slated for completion in summer 2021. M&T Bank provided an undisclosed amount of construction financing. A private …
COVID-19 outbreak slows transactions, forces companies to take defensive posture. By Matt Valley The stabilization of the U.S. economy and its pace of recovery is inextricably linked to the speed at which the spread of the COVID-19 pandemic can be contained, say seniors housing experts. Until the health crisis is under control, they expect transaction activity to slow considerably or possibly even grind to a halt. As of April 8, the respiratory illness had claimed the lives of 13,000 Americans, a clear majority of whom were senior citizens. Sadly, that running …
Even in the face of low occupancy, overbuilding, labor issues and a global pandemic, lenders have faith in seniors housing as an asset class. By Jeff Shaw There’s no doubt that seniors housing faces challenges that other sectors do not. An operations-intensive business, seniors housing managers must recruit and retain good staff while fighting off a glut of new competition. Meanwhile the global COVID-19 pandemic has a much higher mortality rate among seniors versus younger sufferers, adding a new layer of difficulty and fear. A recent survey by SeniorList shows …