$56.8M Deal For Ziegler; Capital Funding Group Sets Deals Record With $2B

Chicago-based specialty investment bank Ziegler announced in July it closed on $56,850,000 Series 2021 Bonds for a continuing care retirement community for not-for-profit corporation, Westminster.

Located in Austin, Texas, the CCRC is comprised of 324 independent living units, 22 assisted living units and 85 skilled nursing beds, 30 of which are used for memory care.

The bonds will be used to fund a portion of the costs of construction and renovation to existing buildings, fund a portion of the interest on the bonds pay certain fees and expenses, and more.

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Construction will include a new five-story building with three stories of underground parking. Renovations of an existing building will be completed to enhance common areas and repurpose 30 skilled nursing memory care units to skilled nursing short-term rehab, among other changes, Ziegler reports.

The bonds were priced with a weighted average yield to maturity of 3.02% and reportedly received exceptional demand from investors. Due to historically low fixed interest rates, Westminster eliminated the bank renewal risk associated with the Series 2020A Notes and instead secured a fixed cost of borrowing.

Capital Funding Group Sets Company Record With $2B in First Half of 2021

The Capital Funding Group announced a record-setting milestone in the month of June with more than $2 billion in deals in the first half of the year.

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Included among the deals were 34 bridge loans and 50 loans insured by the Department of Housing and Urban Development (HUD) for the company’s long-term care and assisted living clients nationwide.

Nearly $1 billion of the $2 billion was financed in June alone, making it the biggest month CFG has ever reported.

Among the deals completed included a $55.5 million loan that CFG provided to fund the acquisition of three facilities in Illinois, with a combined 609 beds, a $33 million bridge loan for a 266-bed facility in Florida and a $22.9 million bridge loan for two facilities in Kentucky and Tennessee with 342 beds combined.

The long-term care operator reportedly paid $24.6 million for the facility and renamed it the Uptown Care and Rehab Center.

Blueprint Helps Sell 120-bed SNF in Virginia

Blueprint Healthcare Real Estate Advisors announced its involvement in the sale of a 120-bed skilled nursing facility in rural southwest Virginia.

Carrington Place at Rural Retreat was constructed in 2015. Carrington Place at Rural Retreat achieved a stabilized census shortly after opening.

The pandemic, however, caused “severe census and performance fluctuations” throughout the transaction, though the seller reached stable census levels leading up to closing, according to a press release from Blueprint.

Ownership decided to exit and took advantage of Virginia’s hot acquisition market.

Blueprint executed a highly targeted process and received several competitive offers.

The buyer was an owner-operator based in the Northeast who was eager to enter the Mid-Atlantic, specifically Virginia.

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