Greystone on Wednesday announced the origination of $100.75 million in loans, insured by the Department of Housing and Urban Development (HUD), to refinance two skilled nursing facilities in the state of New York.
The loans were originated for Centers Health Care by Fred Levine, managing director in Greystone’s Monsey, N.Y. office. Centers has roughly 50 facilities in five states; earlier this year, the New York City-based operator added three SNFs in Missouri in its first move to the Midwest.
For the New York facilities, lending and advisory firm Greystone provided a $71.78 million HUD-insured loan for the Triboro Center for Rehabilitation and Nursing in the Bronx, which has 405 skilled nursing beds and 70 assisted living beds. For the 200-bed Buffalo Center for Rehabilitation and Nursing in Buffalo, N.Y., Greystone arranged a $28.97 million HUD-insured loan.
Centers is planning to invest in energy-saving upgrades and facade work at the Triboro facility, in addition to refurbishing rooms and common areas and improving the rehab facilities at both properties, according to Levine.
The facilities also are reflective of a broader trend in the SNF space: non-profit providers exiting the industry amid consolidation and pressures in the field.
“Both facilities were purchased in the last few years from not-for-profits who were in the red,” Levine told SNN via a spokesperson. “For-profit owners are purchasing them, investing heavily in the physical plants, improving resident care and profitability. In both cases, the for-profit owners saved the facilities from possibly closing, preserved jobs, and healthcare services for the community.”
Written by Maggie Flynn