LUBBOCK, TX—Reflecting the continued focus on healthcare amid the aging population, Walker & Dunlop Inc. recently provided $46.87 million in financing for specialized healthcare facilities in the south. The loans serviced skilled nursing facility Crown Point Health Suites, continuing care retirement community Regency Retirement Village of Huntsville and assisted living facility Regency Riverwood Senior Living. The properties are located in Texas, Alabama and Georgia, respectively.
Walker & Dunlop's Kevin Giusti and Michael Vaughn led the origination team, which has extensive experience with senior housing and skilled nursing facilities throughout the country.
“We are pleased to structure financing solutions catered to each client, property and objective in the senior housing and skilled nursing asset class, and couldn't have done so without our proprietary on-balance sheet lending program,” Giusti commented. “These types of facilities are particularly important to local economies, the senior citizen population and families living in these communities. We are happy to help contribute to the success of these projects and the residents they serve, and we look forward to continuing these relationships with our clients as they grow.”
Both Regency Retirement Village of Huntsville and Regency Riverwood Senior Living were structured as one- to three-year terms, floating rate and interest only. The properties were positioned for HUD take-out financing, and resulted in the payoff of three loans and the consolidation of financing into two loans, one for each property, with the third owned outright after the Walker & Dunlop refinance.
Located in Lubbock, Crown Point Health Suites is a class-A facility built in 2011, with additions made in 2013. The facility is described as providing skilled nursing services in a resort-like environment, GlobeSt.com learns. Crown Point Health Partners is a local, family owned and operated company, going back four generations. The operating plan blends both experience and best practices. The skilled nursing facility received a five-star rating by the Centers for Medicare and Medicaid Services, and features multiple dining venues and common areas. The property has achieved an average of 89% occupancy from January 2015 to mid-year 2016, and features 108 private units. The $15.5 million loan represents 74.8% of value and provided the owners with cash for capital improvements and an expansion facility.
Regency Retirement Village of Huntsville, AL is a community built in 1980, with the addition of a skilled nursing facility built in 2015. The 280-bed/254-unit property specializes in skilled nursing, independent and assisted living, as well as memory care. The $20.5 million refinance/cash-out loan was structured with performance earn-outs of more than $30 million. The terms of the bridge loan will allow the borrower additional funding to convert an existing wing to a 36-bed/34-unit assisted living wing with space allocated to veterans.
Regency Riverwood Senior Living is an assisted living and memory care facility built in 1985, with additions and renovations made in 2012. The 80-bed facility includes 34 memory care units, and an additional wing of 24 units is scheduled to be built through the HUD 241(a) program after take out of the bridge loan. The Rome, GA property is located downtown, less than one and a half miles from two major hospitals.
The loans were made through Walker & Dunlop's proprietary bridge lending program, which provides on-balance sheet, short-term loans (up to three years) to borrowers seeking to acquire and/or reposition properties that do not currently qualify for permanent financing through Fannie Mae, Freddie Mac or HUD/Federal Housing Administration loans. Originations include skilled nursing, assisted living, independent living, memory care, continuing care retirement communities, multifamily, student housing and manufactured housing. The company has placed permanent financing on more than 80% of its bridge loans that have repaid to date.
LUBBOCK, TX—Reflecting the continued focus on healthcare amid the aging population, Walker & Dunlop Inc. recently provided $46.87 million in financing for specialized healthcare facilities in the south. The loans serviced skilled nursing facility Crown Point Health Suites, continuing care retirement community Regency Retirement Village of Huntsville and assisted living facility Regency Riverwood Senior Living. The properties are located in Texas, Alabama and Georgia, respectively.
Walker & Dunlop's Kevin Giusti and Michael Vaughn led the origination team, which has extensive experience with senior housing and skilled nursing facilities throughout the country.
“We are pleased to structure financing solutions catered to each client, property and objective in the senior housing and skilled nursing asset class, and couldn't have done so without our proprietary on-balance sheet lending program,” Giusti commented. “These types of facilities are particularly important to local economies, the senior citizen population and families living in these communities. We are happy to help contribute to the success of these projects and the residents they serve, and we look forward to continuing these relationships with our clients as they grow.”
Both Regency Retirement Village of Huntsville and Regency Riverwood Senior Living were structured as one- to three-year terms, floating rate and interest only. The properties were positioned for HUD take-out financing, and resulted in the payoff of three loans and the consolidation of financing into two loans, one for each property, with the third owned outright after the Walker & Dunlop refinance.
Located in Lubbock, Crown Point Health Suites is a class-A facility built in 2011, with additions made in 2013. The facility is described as providing skilled nursing services in a resort-like environment, GlobeSt.com learns. Crown Point Health Partners is a local, family owned and operated company, going back four generations. The operating plan blends both experience and best practices. The skilled nursing facility received a five-star rating by the Centers for Medicare and Medicaid Services, and features multiple dining venues and common areas. The property has achieved an average of 89% occupancy from January 2015 to mid-year 2016, and features 108 private units. The $15.5 million loan represents 74.8% of value and provided the owners with cash for capital improvements and an expansion facility.
Regency Retirement Village of Huntsville, AL is a community built in 1980, with the addition of a skilled nursing facility built in 2015. The 280-bed/254-unit property specializes in skilled nursing, independent and assisted living, as well as memory care. The $20.5 million refinance/cash-out loan was structured with performance earn-outs of more than $30 million. The terms of the bridge loan will allow the borrower additional funding to convert an existing wing to a 36-bed/34-unit assisted living wing with space allocated to veterans.
Regency Riverwood Senior Living is an assisted living and memory care facility built in 1985, with additions and renovations made in 2012. The 80-bed facility includes 34 memory care units, and an additional wing of 24 units is scheduled to be built through the HUD 241(a) program after take out of the bridge loan. The Rome, GA property is located downtown, less than one and a half miles from two major hospitals.
The loans were made through Walker & Dunlop's proprietary bridge lending program, which provides on-balance sheet, short-term loans (up to three years) to borrowers seeking to acquire and/or reposition properties that do not currently qualify for permanent financing through
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