Reserve at Lacey Reserve atLacey is a property serving those 55 or older who earn 60% of thearea median income.

LACEY, WA—Positive demographics and higher cap rates comparedwith other investment options have brought more attention to thesenior housing property segment during the past few years.Today's seniors housing market is characterized by a wealth ofavailable capital but a limited number of quality operators whohave the capacity to expand services, according to a report byMarcus & Millichap.

One property has bucked that trend, and a recent combinedconstruction and permanent loan will make 241 units of qualityaffordable housing accessible to seniors aged 55 or older. KeyBankCommunity Development Lending and Investment provided $70 millionin combined construction and permanent loan financing to AVSCommunities for the Reserve at Lacey, an affordable senior housingproperty serving those 55 or older who earn 60% of the area medianincome. KeyBank paired a $40 million construction loan with a $30million private placement-forward commitment permanent loan.Victoria Quinn of KeyBank's CDLI team organized the financing.

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Lisa Brown

Lisa Brown is an editor for the south and west regions of She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.