Construction funds ready for N.Y. skilled nursing facility New York-based American Property Financing (APF) has provided a $35.4 million Federal Housing Administration (FHA) 232 construction loan for Fulton Commons Care Center, a 280-bed skilled nursing facility under way in East Meadows, N.Y. Lynbrook, N.Y.-based Engel Berman Seniors Housing is the developer of the 167,000 sq. ft. community. Construction began in December 1999, and occupancy is slated for August 2001.
Meanwhile, construction of Riverdale Terrace, a 59-unit assisted living facility located in the Bronx, is scheduled for completion in June. The project was funded through the New York City Industrial Development Agency's (IDA) issuance of $12.3 million in tax-exempt, non-credit enhanced bonds. APF represented New York-based Riverdale Terrace Housing Development Fund Co. Inc., the borrower of the 6.75%, 30-year bonds.
Epoch begins new year with $80M purchase Waltham, Mass.-based Epoch Senior Living Inc. has purchased eight assisted living facilities from Albuquerque, N.M.-based Sun Healthcare Group for $85 million. The communities, located in seven states, contain a total of 820 units. With the purchase, Epoch now owns or is developing 25 skilled nursing and assisted living communities in 11 states.
The facilities involved in the sale include: the 112-unit Epoch of Tanglewood in Houston; the 108-unit Epoch of Las Vegas in Las Vegas; the 126-unit Epoch of Minnetonka in Minnetonka, Minn.; the 101-unit Epoch of Overland Park in Overland Park, Kan.; the 96-unit Epoch of Roswell in Roswell, Ga.; the 96-unit Epoch of Sun City West in Sun City West, Ariz.; the 92-unit Epoch of Ventura Canyon in Tucson, Ariz.; and the 95-unit Epoch of Denver.
PW Funding refinances Seattle retirement complex Mineola, N.Y.-based PW Funding Inc. has provided $8.7 million in mortgage financing for Viewpointe on Queen Anne Retirement Community, a 124-unit congregate care facility in Seattle. The transaction, funded by Fannie Mae's DUS program, was a refinancing of the existing mortgage on the property. The 10-year loan carries an 8.51% interest rate amortized over 25 years. The community was 92% occupied at the closing of the refinancing.
Queen Anne Retirement Community was built in 1987 and features studio, one- and two-bedroom apartment units. Amenities include a greenhouse area, a library, a beauty salon, a barber shop, a large patio area, a fitness center and a private dining room.
Cambridge provides $5.8 million bridge loan Chicago-based Cambridge Realty Capital Cos. has provided a $5.8 million bridge loan to Royalcrest Living of Hamilton, Ontario, Canada, for the purchase of the Holiday Estates skilled nursing home and the Holiday Resorts independent living facility. Both Holiday Estates and Holiday Resorts are located in Emporia, Kan., and contain 120 beds and 48 units, respectively. The seller of both communities is Emporia, Kan.-based Paul-Mar Inc.
The loan, which has a loan-to-value ratio between 60% and 75%, and a $1.2 million secondary note from Paul-Mar provided the necessary capital for the purchase. The loan and note will likely be replaced U.S. Department of Housing and Urban Development (HUD) 232/223(f) and HUD 221(d)4 permanent mortgage loans, according to Cambridge. Interest rates for the 60-month loans will float over the United States prime rate.
Cambridge has also provided a $5.1 million HUD 232/223 (f) loan to refinance Arbors of Itasca, a 142-bed nursing home facility in Itasca, Ill. The interest rate for the 35-year term mortgage is 8.25%. The loan closed at the end of January.
ASHA seniors housing survey offers industry statistics Washington, D.C.-based American Seniors Housing Association (ASHA), New York-based Pricewaterhouse-Coopers and Annapolis, Md.-based National Investment Center for the Seniors Housing & Care Industries (NIC) have released, "The State of Seniors Housing 1999," a comprehensive statistical survey of 248 seniors housing properties. Among the study's notable findings: Nearly 94% of congregate care facilities and 98.5% of assisted living communities use rent as their primary payment plan. Meanwhile, only 43% of continuing care retirement communities (CCRCs) offer rental payments as the primary payment plan, while 47% use entrance fees as the primary plan.
The study is a compilation of the operating statistics provided by the responding seniors housing properties. There is no editorial assessment of the health of the industry or its future. The survey also shows that more than 79% of the properties responding to the survey are owned by for-profit organizations. Also, 98% of the assisted living communities said they were licensed to operate in the state in which they are located.
In other research news, NIC has released a report that estimates the number of seniors housing properties in the United States, as of last September, at 57,857. According to the survey, 46,131 of those were "supportive" properties, which the study defines as congregate care, assisted living, skilled nursing and CCRCs. There were 11,726 seniors apartment properties that did not provide supportive services, the survey notes.
Newton has a friend in Itochu International Inc. Madison Heights, Mich.-based Itochu International Inc., the United States subsidiary of Japan-based Itochu Corp., has made a $10 million private equity investment in Needham, Mass.-based Newton Senior Living (NSL). Itochu, which provided project financing for two of NSL's 1998 assisted living developments, also has an option for a second investment of $10 million, which could be made in third-quarter 2000.
The money will provide equity for NSL's development plans and will also provide operating capital. Boston-based Peacock Associates LLC oversaw the deal.
HSA, Summerville buy four assisted living properties A joint venture between Chicago-based HSA Commercial's Senior Living Division and Alexandria, Va.-based Summerville Healthcare Group Inc. has purchased four assisted living properties, one of which is currently open. The properties, which have a combined value of $42 million, are located in Florida, Ohio and Virginia. Toledo, Ohio-based Health Care REIT Inc. was the seller. Summerville will be the operator of all four facilities.
The facilities involved in the sale include: the 55,528 sq. ft., 85-unit Summerville at Lake Mary in Lake Mary, Fla., which is currently under construction; the 56,271 sq. ft., 85-unit Summerville at Hunter's Creek in Hunter's Creek, Fla., which is scheduled to open in April; the 50,352 sq. ft., 69-unit Summerville at Singing Woods in Dayton, Ohio, which is newly opened and fully occupied; and the 58,757 sq. ft., 82-unit Summerville at Mt. Vernon in Mt. Vernon, Va., which is scheduled to open in April.
HSA Commercial will be the developer of the Lake Mary facility. The joint venture is expected to pursue other projects.