Berkadia Secures $21.7M Financing For Two-SNF Deal; Wisconsin Building Changes Hands

Berkadia closed a $21.7 million bridge-to-HUD loan for the acquisition of two skilled nursing facilities, one of which was located in Idaho. The interest-only loan carries a floating rate with an initial term of 18 months.

The facilities, which opened between 2016 and 2017, have an almost 100% Medicare-eligible population and an average occupancy of 97% based on 76 licensed beds. Applications for Department of Housing and Urban Development (HUD) loans are expected to be submitted at the three-year anniversaries of the buildings’ certificates of occupancy, according to Berkadia — a commercial lending subsidiary of Berkshire Hathaway and Jefferies Financial Group.

The financing, which represents a loan amount of $285,526 per bed, was arranged by Jay Healy, a managing director at Berkadia’s Seniors Housing & Healthcare group.

Pennsylvania SNF Bought by LECOM Senior Living

LECOM Senior Living acquired the operations of the Village at Luther Square in Erie, Penn., GoErie.com reported.

The 110-bed SNF is the third nursing facility for LECOM Senior Living, on top of the LECOM Senior Living Center and the LECOM Health Nursing and Rehabilitation Center; the Millcreek Township, Penn.-based company also owns and operates three other senior living communities.

LECOM plans to keep the licensed beds at the leased facility for a significant period of time, James Lin, LECOM Health’s vice president of senior services and adult living, told the publication.

“With our capability to provide high-acuity care, we expect to see more post-acute care patients here for rehabilitation,” Lin told GoErie.com. “Right now, it’s about 8% to 10%. It’s reasonable to be in the 20% range.”

Two Wisconsin Facilities Change Hands

The former Premier Rehabilitation and Skilled Nursing and Pioneer Assisted Living were purchased by Autumn Lake Healthcare at Beloit and the Suites at Beloit, the Beloit Daily News reported.

The facilities are being operated under the Autumn Lake Healthcare umbrella, the publication noted.

Autumn Lake Healthcare maintains a network of independent SNFs and rehab centers in Connecticut, New Jersey, Maryland, and Wisconsin, according to its website.