Berkadia Seniors Housing & Healthcare Secures $49M in HUD Refinancings
New York, NY – April 8, 2024 – Berkadia Seniors Housing & Healthcare recently announced the closing of $49.4 million in 232/223f HUD refinancings across five transactions in four states. The loans carried an average LTV of 75 percent and an average term of 33 years. Four of the loans refinanced bridge loans made from Berkadia’s proprietary balance sheet.
Managing Directors Steven Muth and Rafael Nobo originated a $15.95 million 232/223f HUD loan secured by a 73-unit community in Northern Virginia for a Mid-Atlantic based owner/operator. The primary assisted living and memory care, which also contained a small number of independent living units, was 94 percent occupied at the time of closing. The 35-year fixed rate loan represented 77 percent LTV and retired a Berkadia bridge loan.
Managing Director Ed Williams secured a $11.46 million 232/223f HUD loan on a 120-bed skilled nursing facility in the Tampa, Florida MSA for a repeat Florida based sponsor. The four-star, 1990 vintage facility had occupancy of 89 percent, Medicare mix of 18.5 percent, and was valued at $145,000 per bed. The loan retired existing Berkadia bridge debt used to acquire the community as part of a larger portfolio.
At the end of February, Managing Director Jay Healy closed a 232/223f HUD financing across two assisted living and memory care communities in Idaho for a California based repeat client of Berkadia’s. The HUD loans retired a single Berkadia bridge loan originated in mid-2023 to fund the acquisition of the two stabilized projects. The communities had a combined occupancy of 95 percent and Medicaid payor mix of 78 percent. The high Medicaid mix enabled the borrower to benefit from Idaho’s recent Medicaid rate increase to refinance partnership debt in addition to the senior debt. The HUD loans had terms of 30 years.
Managing Directors Jay Healy and Steven Muth provided a $8.3 million 232/223f HUD loan for a 55-unit memory care community in Oregon for a California based sponsor. The HUD loan, which retired an existing Berkadia bridge loan, represented 79 percent LTV and carried a term of 35 years.
Berkadia’s Seniors Housing & Healthcare group leads the industry in innovative and comprehensive solutions for even the most complex independent living, assisted living, memory care and skilled nursing projects across the country. In addition to deep market knowledge, the group offers a full set of advisory, underwriting, loan origination services and products including FHA, Fannie Mae, Freddie Mac, Life Company, Proprietary Bridge Lending and Capital Markets Advisory Services.