Tucker, Michael--Mar. 4 , 2014
Love Funding, Washington, D.C., closed three loans totaling $16.7 million for senior care facilities in Utah, Maryland and New Jersey.
Love Funding Senior Director Laura Saull-Smith obtained the loans through HUD’s loan insurance programs for healthcare facilities.
Saull-Smith said a $6.65 million loan refinancing for Richfield Care Center, a 69-bed skilled nursing facility in Richfield, Utah, allowed the borrower to consolidate the original 2003-vintage HUD 232/223(f) loan and a subsequent Section 241(a) loan used to build an addition in 2009. She added that the new 232/223(a)(7) program enabled Love Funding to extend the loan term and lock in a lower fixed interest rate, “helping the borrower save more than $90,000 per year in debt-service costs and cover their outstanding prepayment penalty and needed repairs.”
A $6.36 million loan refinancing for The Hermitage at St. John’s Creek and Solomons Nursing Center, a skilled nursing and assisted living facility in Solomons, Maryland, also enabled the borrower to obtain a term extension, Saull-Smith said. The borrower plans to finance an addition that will add 23 assisted living beds and 12 skilled nursing beds to the facility’s existing 39 assisted living beds and 87 skilled nursing beds.
Love Funding also arranged a $3.68 million loan modification for Gates Manor Nursing Facility, a 64-bed skilled nursing facility in Montclair, N.J. The modification will reduce annual debt-service cost by $35,000 by reducing the current interest rate to market, Saull-Smith said.
Source: MBA NewsLink