LTC Provides $36M Refinancing for Four Communities in North Carolina

by Jeff Shaw

WESTLAKE VILLAGE, Calif. — LTC Properties Inc. (NYSE: LTC), a Westlake Village-based REIT that primarily invests in seniors housing and health care properties, has made a $36 million investment for the refinancing of debt on four assisted living communities and a land parcel.

The four assisted living communities located in North Carolina have a combined total of 217 units and are operated by an existing LTC partner. The communities are newly constructed with an average age of under four years.

The land parcel includes approximately 7.6 acres adjacent to one of the assisted living communities and is being held for the future development of a senior housing community.

The transaction includes two separate senior mortgage loan originations: a $35.1 million loan secured by the assisted living communities, and a $826,000 loan secured by a parcel of land. The loans are cross-defaulted, have a four-year term, an interest rate of 7.25 percent and an IRR of 8 percent.

“This new investment builds on our relationship with a strong and innovative regional operator,” says Wendy Simpson, LTC’s chairman and CEO. “Year-to-date, LTC has used its flexibility and creativity to invest more than $110 million, with a current focus on newer construction.”

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