Craig S. Jones: Seniors housing finance will have a decidedly vanilla flavor in the future. NREI : How has underwriting changed in seniors housing? Jones: It seemed like everyone was pushing the box regarding loan-to-value and debt service coverage and insurance......Read more of Craig S. Jones' interview
Geriatrician William H. Thomas, M.D., is one of the nation’s better-known proponents of change in the seniors housing industry. As president of the nonprofit Eden Alternative, whose goal is to improve seniors housing by re-connecting residences with a sense of community, and as a professor at the University of Maryland’s Erickson School, Thomas is outspoken in saying seniors housing all too often fails its residents. The current model, he says, doesn’t address the deeper needs of its residents, especially for community.
As director of external relations of the Erickson School at the University of Maryland, Baltimore County, Kevin Heffner not only is instrumental in fundraising, but also a driving force in spreading the word about what the school has to offer. Heffner’s efforts are helping to position the Erickson School as a prime source for the latest information about aging and the elderly.
Since its founding in 1991, the nonprofit National Investment Center for the Seniors Housing & Care Industry (NIC) has become a fount of market data to decision-makers in the senior housing industry. NIC provides historical trends data on the industry both through its Key Financial Indicators, which report nationwide statistics, and its Market Area Profiles (NIC MAP) Data and Analysis Service that tracks properties in major metropolitan areas.
Student housing has joined the grown-up world of money making, but will the current influx of investors succeed in this tough new market? Since 2001, investment volume in student housing has grown from virtually zilch to more than $2 billion in both 2005 and 2006
Another M&A contest in commercial real estate has drawn to a conclusion, this time with the late-coming suitor besting an original offer to take the prize. In March, Oak Brook, Ill.-based Inland Capital Markets Group Inc. made an offer for Winston Hotels Inc. at $15 cash per share, or about $850 million including transactions costs, and now Winston’s board of directors has accepted the offer early this week.
David Loeb, a senior research analyst and managing director of Robert W. Baird & Co. based in Milwaukee, has been tracking real estate-related companies for more than 20 years, with a special emphasis on the lodging and office sectors.
The Federal Housing Administration provides mortgage insurance to a variety of multifamily developments, and that includes seniors housing. Such FHA-backed loans under the Section 221(d)(4) program facilitate assisted living facilities, Alzheimer/dementia care facilities and skilled nursing facilities deals. To this point, the for-profit segment of the seniors housing industry specializing in market-rate properties has shown only a tepid interest in the FHA program.
There has been $30.3 billion in new CMBS issuance to date in 2013, according to Commercial Mortgage Alert. That puts the industry on pace to smash last year’s volume of $48.4 billion and will make 2013 the busiest year for CMBS issuance since 2007. Where do you think total CMBS issuance volume will end up in 2013?