BALTIMORE — Capital Funding Group (CFG) has provided a $207.1 million bridge-to-HUD loan to 980Investments to support the partnership buyout of a portfolio of skilled nursing facilities in Florida. Together, the facilities total 1,423 beds across 13 properties. Additionally, Capital Finance LLC, a subsidiary of CFG Bank, provided $15 million in accounts receivable financing to support the working capital needs of the facilities. Andrew Jones and Ava Julio of Baltimore-headquartered CFG originated the bridge-to-HUD loan, and Jeffrey Stein of Capital Finance originated the accounts receivable working capital line of credit.
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With Seniors Housing Positioned for Growth, Financing Activity Begins to Stir
Slowly but surely, the performance of seniors housing assets is improving. While rent growth in 2022 in the sector represented a period of catch-up after the pandemic stymied the ability of operators to raise lease rates, continuing rent increases in 2023 began contributing to more meaningful net operating income recovery, according to Walker & Dunlop’s recently released Seniors Housing Outlook report. Now, seniors housing owners are positioned for a sustained period of significant revenue expansion amid improving occupancy and a shortfall of new inventory, reports the Bethesda, Maryland-based commercial real …
COLUMBUS, Ohio — KeyBank Community Development Lending and Investment (CDLI) has arranged a total of $93 million in construction financing for a new affordable seniors housing community in Columbus. Dubbed The Caravel, the community will feature 234 units for residents age 55 and older who earn at or below 50, 60 and 70 percent of the area median income (AMI). Of the garden-style apartments, 25 will be fully accessible, and all units will be adaptable for residents with ADA needs. KeyBank provided a $43.3 million construction loan and $23.8 million in …
EAGLES PASS, Texas — Berkadia has secured a $13 million bridge-to-HUD loan for the financing of a 104-bed skilled nursing facility located in Eagles Pass on the Mexican border. The name of the lender was not disclosed. The undisclosed borrower has operated the property since 2019 and will use the 18-month, interest-only financing to cover the cost to purchase the leased fee interest. Jay Healy of Berkadia Seniors Housing & Healthcare arranged the loan for a Fort Worth, Texas-based owner and operator of nursing homes. Berkadia also plans to secure the …
NEW YORK CITY — Multifamily and seniors housing bridge lending platform MONTICELLOAM LLC (MonticelloAM) has provided $87 million in bridge and working capital financing for a portfolio of skilled nursing facilities located in Florida. Proceeds from the loan, which features a 24-month term and two six-month extensions, were used to refinance existing debt on the properties. The portfolio comprises 450 skilled nursing beds across four properties. A $7 million working capital revolver will fund day-to-day operational expenses for the facilities. The borrower was not disclosed.
ATLANTA — Newmark has arranged the $140 million recapitalization of Corso Atlanta, a seniors housing community in Atlanta. Located at 3200 Howell Mill Road, the property features 203 units. Sarah Anderson, Chad Lavender, Ryan Maconachy, Mills Poynor and Ben McElroy secured a 10-year Freddie Mac senior loan and a preferred equity investment from the Kayne Anderson Real Estate Debt platform on behalf of the owner, Galerie Living. The Freddie Mac loan features five years of interest-only payments. Amenities at Corso Atlanta include a bistro and creperie, heated pool, fitness center, salon, …
PHILADELPHIA — Berkadia has secured a $13.6 million Low-Income Housing Tax Credit (LIHTC) equity investment for the development of Clearfield Apartments, a 48-unit affordable seniors housing community in Philadelphia’s Allegheny West neighborhood. Chris McGraw, senior vice president based in Berkadia’s Charlotte, N.C. office, secured the equity investment on behalf of the sponsor, NewCourtland. When completed, Clearfield Apartments will consist of 48 one-bedroom units in one four-story, elevator-serviced building serving seniors age 62 and above. All 48 units will operate under a project-based rental subsidy through the Faircloth-to-Rental Assistance Demonstration (RAD) program. …
BOSTON — Older adults aspire to be “ageless wonders” and prioritize food and nutrition as the No. 1 factor affecting their health and well-being, according to a newly released survey. The majority of today’s baby boomer population (69 percent) plan to age in place, the “Great Expectations” survey conducted by Age of Majority for Restaura found. A key factor in their desire to stay in their homes could be the significant gap the survey uncovered between how and what they like to eat and the perceived ability of senior living communities …
MONTVALE, N.J. — Mesa West Capital has provided a joint venture entity with a $57 million loan to refinance Thrive at Montvale, a 203-unit seniors housing community in Montvale, an affluent New York City suburb located 30 miles north of the city. The joint venture is comprised of AEW Capital Management, Thrive Senior Living and Pike Construction. The five-year, floating-rate loan is secured by the 11.5-acre community built in 2022 by Thrive, an Atlanta-based senior living development and investment firm, and Pike, a New Jersey-based developer and general contractor. Thrive at Montvale is …
By Charlie Shoop In recent years, our economy has weathered rising interest rates and labor shortages, proving to be tough challenges for the seniors housing sector. Despite these hurdles, two-thirds of seniors housing owners, operators and other professionals responded optimistically to a survey about the current direction of the industry. KeyBank Real Estate Capital surveyed a group of seniors housing owners, operators, investors, investment bankers, lenders and brokers in late 2023 to understand their perspectives on the current state of their businesses and the industry at large. Respondents were most …