White Oak Picks Up $700M Portfolio of Skilled Nursing, Senior Housing Loans from Capital One

White Oak Healthcare Finance on Wednesday made another major splash in the long-term care world, announcing the acquisition of a $700 million portfolio of 12 loans associated with skilled nursing and senior housing properties.

The investment company — a subsidiary of the San Francisco-based alternative asset management firm White Oak Global Advisors — bought the loans from Capital One Healthcare and its affiliated banks, with the full financial terms of the deal not disclosed.

“This transaction further validates our commitment to the sector and establishes us as an industry leader,” White Oak managing director and partner Isaac Soleimani said in a statement announcing the deal. “Our team has significant experience in health care real estate and, with this transaction, we continue our rapid growth as we become one of the largest lenders in the space.”

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White Oak has made several big-dollar plays in the skilled nursing and senior housing world this year. Back in August, the firm was the sole lender on a $34.8 million senior credit facility for Vita Healthcare Group, which used the funds to acquire a pair of SNFs in Maryland; the following month, White Oak bankrolled the $33.2 million refinancing of four Texas skilled nursing facilities owned by Granite Investment Group.

Finally, in November, White Oak arranged a $190 million senior credit facility for BM Eagle Holdings, the subsidiary of Blue Mountain Capital Management that purchased Kindred Healthcare’s entire portfolio of 89 skilled nursing properties in 2017. BM Eagle used that White Oak cash on 17 of the former Kindred buildings in its portfolio.

Capital One, meanwhile, classified the most recent deal as a mutually beneficial transaction that helped the McLean, Va.-based financial company shake up its current portfolio.

“This transaction enabled them to continue their aggressive growth strategy,” Capital One Healthcare senior managing director Jim Seymour said in his company’s statement on the deal. “For Capital One, it presented a great opportunity for us to change the nature of some of our skilled nursing exposure and to continue our commitment to the sector. We look forward to working with White Oak again in the future.”

Executives from White Oak were not available to speak with Skilled Nursing News as of press time.

Written by Alex Spanko

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