After years providing financing options to senior living clients nationwide, Columbus, Ohio-based finance company Lancaster Pollard is making a major push to build its product base and balance sheet loan offerings.
Its balance sheet products will now include construction and term financing, mezzanine and preferred equity products.
The company is targeting expansion of financing options through its recently launched Lancaster Pollard Finance Company, and the hire of Contemporary Healthcare Capital Founder Doug Korey, who will run the division.
Korey, who also serves on the board of the National Investment Center for Seniors Housing and Care (NIC), has already begun work leading the new division by offering the full capital stack to clients.
“In bringing Doug on board, we are looking to [continue] bridge-to-agency financing, but also to add traditional term financing,” Brian Pollard, senior managing director, tells SHN.
The opportunities for borrowers include three- to seven-year term financing for new construction, acquisitions and value-add opportunities such as expansion, operations investment and renovations.
“We’ll also be going further up the capital stack,” Pollard says. “We’ve been focused on first mortgage senior debt, and Doug will be adding mezzanine and preferred equity capital to our product suite to complete the stack.”
Lancaster Pollard is looking forward to offering new products to existing clients, as well as new clients that are growing their senior living portfolios and operations. The expansion will complete the product suite available to those seeking financing, the company says.
“Lancaster Pollard has an incredible reputation in the agency market and has been doing some bridge financing to get stabilized assets to the agencies,” Korey says. “We have captured [some] percentage of the lifecycle [to date], and the addition of the finance company model will complete that cycle. This marries the strengths of this capital stack structure with what has been historically an incredible reputation with take-out financing.”
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Written by Elizabeth Ecker