DEAL SPOTLIGHT
Bridge + Acquisition of Texas ALF
Bridge-to-HUD

Love Funding closed a $2.6 million FHA loan to take out bridge financing used to fund the acquisition of an assisted living and memory care facility in Tomball, Texas. Love Funding Senior Director Leonard A. Lucas of the Boston office obtained the bridge loan from Love Funding’s parent company, Midland States Bank, in January. The new loan, secured through the U.S. Department of Housing and Urban Development’s Section 232/223(f) program, will pay down the bridge loan and provide low-rate, non-recourse financing for a 35-year term.

The bridge loan made it possible for the buyer to move forward with the transaction on the seller’s timeframe. Love Funding’s affiliation with Midland helped keep the financing costs down, despite the very short-term nature of the bridge loan.

“It would have been very difficult for the borrower to obtain a 60-day loan from another party at something less than a premium,” Lucas said. “This was a unique transaction made possible by our parent company, Midland States Bank.”

BRIDGE LOAN PLATFORM

Love Funding introduced the bridge loan platform in 2015 as a means for providing interim funding support for acquisition and refinancing applications on HUD multifamily and healthcare loans. The platform was later expanded to include tax credit equity bridge loans, and construction/mini-perm financing for multifamily and healthcare development.

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DEAL OVERVIEW

LOCATION
Tomball, TX
LOAN DETAILS
Bridge Loan 60-Day Term 232/223(f) Program 35-Year Term
PROPERTY
ALF/MC
DATE CLOSED
March 2017
Leonard Lucas
Senior Director | Boston, MA
857.257.6039
llucas@lovefunding.com

About Love Funding

Love Funding is a leading HUD lender with over 30 years of experience. We provide financing for market-rate multifamily and affordable housing, healthcare and seniors housing facilities and hospitals nationwide.
About love funding