Avalon’s Five-SNF Pickup for $33M; Dwight’s $116M Fourth Quarter

MidCap Financial provided a $33 million mortgage for a lease-purchase option on five skilled nursing facilities in Oregon for Avalon Healthcare Group.

The Salt Lake City-based Avalon operates post-acute facilities in Hawaii, Oregon, Washington, and Utah.

MidCap’s Department of Housing and Urban Development (HUD) lending team will work with Avalon to begin the bridge-to-HUD refinance process, in addition to providing capital for its purchase option.

Dwight Logs $116.2M in Deals in Q4

The New York City-based Dwight Capital ended the fourth quarter with $116.2 million in senior housing and care closings, including the following skilled nursing transactions:

• A $16.5 million bridge loan for South Pointe Rehabilitation and Care Center, a 375-bed SNF in Oklahoma City that features short and long-term rehab, a memory unit, and a renovated dialysis unit. Adam Sasouness, managing principal, originated the loan along with managing director Adam Offman.
• A $16.4 million bridge loan for Cortland Place, a 167-bed assisted living, memory care (MC), and skilled nursing facility located in Greenville, R.I., originated by Offman.
• An $8.16 million bridge loan for Overlook Nursing and Rehabilitation Center, a 100-bed SNF in Pascoag, R.I., also facilitated by Offman.

In addition, Dwight landed $50.8 million in HUD financing for Silver Healthcare Center, a 246-bed SNF in Cherry Hill, N.J.; a $5.3 million bridge loan for Sheridan Manor Nursing Home in Tonawanda, N.Y.; $4 million in bridge financing for The Palace Health Care and Rehabilitation Center in Red Boiling Springs, Tenn.; and a $2.7 million bridge loan for the Trinity Nursing and Rehabilitation Center in Merriam, Kan.

KeyBank’s $41M HUD Loan

KeyBank Real Estate Capital (KBREC) procured $41 million for a private-equity investor in three nursing homes in New Jersey and Pennsylvania. The fixed, HUD-backed loans will help refinance bank debt on the following three facilities:

• $9.3 million for the 154-bed Cranbury Center in Monroe Township, N.J
• $12.7 million for the 116-bed North Cape Center in Cape May, N.J
• $19 million for the 130-bed Sanatoga Center in Pottstown, Pa.

The facilities, built in the 1990s, are part of an acquisition financing that KeyBank initially funded for the investor, and closed using HUD’s 232(f) program.

Henry Alonso of KeyBank’s Institutional Healthcare Real Estate team executed the provisional purchase, with John Randolph of KBREC’s Commercial Mortgage Group structuring the permanent HUD financing.