Transactions & Financings: Ziegler’s $123M Deal Volume; HJ Sims’ $135M Expansion Financing

Ziegler completes 3 financing packages totaling $123M

Ziegler completed the following financing transactions totaling $122.9 million:

  • Ziegler closed on $47.9 million in Series 2020AB bonds for Heritage Community of Kalamazoo, a life plan community in Kalamazoo, Michigan. Proceeds from the bonds are earmarked for an 60-unit expansion of the campus’ independent living segment, to be known as Revel Creek.
  • A $47.15 million Series 2020 bond package for UMRC Obligated Group – Porter Hills Presbyterian Village. Proceeds will be used to refinance existing debt obligations.
  • The closing of $27.9 million Series 2020B bonds held by Ohio Living Communities. Proceeds will fund the construction of Heritage Pointe, an 11-story, 56-unit independent living extension on the company’s Westminster-Thurber campus in Columbus, Ohio.

CBRE arranges 2 financing packages totaling $33M

CBRE’s National Senior Housing division announced the following financing packages, totaling $33.1 million:

  • A 10-year, $20.8 million acquisition loan on behalf of CPF Living Communities for the purchase of Heritage Oaks Assisted Living & Memory Care, a 118-unit community in Sarasota, Florida. Executive Vice President Lisa Widmier represented the seller. Vice Chairman Aron Will, First Vice President Austin Sacco and Vice President Tim Root arranged the financing. Grace Management, CPF’s wholly owned management affiliate, will operate the property.
  • A seven-year, $12.3 million cash-out refinancing package for a joint venture of Venue Capital and inspirit Senior Living for The Rutherford Assisted Living & The Rutherford Memory Care, a 94-unit community in Murfreesboro, Tennessee. Will, Sacco and Vice President Adam Mincberg arranged the financing.

Both deals were sourced through CBRE’s Freddie Mac Optigo lending program.


Fitch Affirms 1 bond rating, downgrades another

Fitch ratings affirmed “BBB” revenue bond rating on various series of bonds issued by the Massachusetts Development Finance Agency, the Massachusetts Health & Educational Facilities Authority, and the New Hampshire Health & Education Facilities Authority on behalf of the obligated group of Covenant Health. Fitch also affirmed Covenant Health’s “BBB” issuer default rating. Key drivers include a stable payer mix of Medicaid and self-pay revenue, coupled with service area demographics that are stable for its market position.

Fitch downgraded the rating on $82.9 million in Series 2020A and 2020B bonds to be issued by the Town of Brookhaven Local Development Corporation on behalf of Jefferson’s Ferry, a life plan community in South Setauket, New York, to “BBB.”. The rating outlook is stable. The downgrade reflects project execution risks associated with Jefferson’s Ferry’s upcoming repositioning and expansion project which will add 60 independent living units, 20 memory care units and a new assisted living wing. To date, the operator has pre-sold 52% of its new independent living units, well below the 70% threshold Fitch typically sees, which increases the risk of the expansion.

Sienna Senior Living completes $175M debt offering

Sienna Senior Living (TSK: SIA) closed its previously announced offering of $175 million in Series B unsecured debt. BMO Capital Markets led the offering, with TD Securities as joint lead bookrunner and CIBC Capital Markets as additional joint lead. The debentures carry a annual interest rate of 3.45% and will mature on February 27, 2026.


Blueprint completes Texas portfolio sale

Blueprint Healthcare Real Estate Advisors Senior Director Amy Sitzman and Senior Associate Giancarlo Riso facilitated the sale of three assisted living communities in east Texas, totaling 132 units. Two of the communities were vacant at the time of closing; the other was 90% occupied.

The buyer is Dallas-based WindRiver Companies.

Livingston Street Capital purchases Oregon independent living community

JLL Capital Markets Managing Directors Cody Tremper and Mike Garbers and Associate Dean Ferris represented Focus Healthcare Partners in the sale of King City Senior Village, a 114-unit independent living community in King City Oregon offering duplex cottages and apartments. The buyer is Livingston Street Capital.

HJ Sims underwrites $135M financing for Florida CCRC expansion

HJ Sims is underwriting a $135 million financing package for the expansion of Toby & Leon Cooperman Sinai Residences, a retirement community in Boca Raton, Florida. This is part of a previously announced $160 million bond package on behalf of LCS Development.

The expansion will add 111 independent living residences and additional communal areas to the campus, and construction began on September 8.

An HJ Sims team led by Senior Vice President Melissa Messina facilitated the package for LCS and the owner, the Jewish Federation of South Palm Beach County.

Lancaster Pollard arranges $11.5M refinancing for Pennsylvania package

Lancaster Pollard arranged an $11.5 million refinancing package for Providence Place Senior Living. Proceeds will be used to refinance existing debt, and the loan was secured through Fannie Mae’s Seniors Housing program.

Vice President Miles Kingston and Managing Directors Doug Harper and Casey Moore led the transaction for Lancaster Pollard.

Marcus Investments acquires Wisconsin community

Marcus Investments acquired Ovation Sarah Chudnow, a senior housing community on 19 acres offering independent living, assisted living and memory care in Mequon, Wisconsin, GMToday reported.

The community has been rebranded as Terova Senior Living of Mequon.

KeyBank secures $5M financing for New Jersey affordable senior community

KeyBank Community Development Lending and Investment secured a $5 million financing package for Radiant Property Management, which will be used to acquire Rosa Parks Apartments, a 50-unit affordable housing community in Paterson, New Jersey for seniors 62 and over.

The five-story building includes 10 studio units; 34 one-bedroom, one-bathroom units; five two-bedroom, one-bathroom units; and one employee unit on a rent-free basis. The property benefits from a project-based, Section 8 Housing Assistance Payments (HAP) Contract covering 49 of the 50 units. Radiant Property Management will manage the property.

keyBank Senior Vice President Eric Steinberg structured the financing.

ESI completes $5M sale of Ohio community

Evans Senior Investments the seller, a local independent owner, in the $4.8 million sale of Rockport Senior Living, a 117-unit assisted living and memory care facility in Rocky River, Ohio. The buyer will install Embassy Healthcare to manage the facility.

Life Enriching Communities, Lutheran Home of Concord Reserve complete affiliation

Life Enriching Communities completed an affiliation with Lutheran Home at Concord Reserve, effective September 1. Lutheran Home provides assisted living, memory care and nursing care services, and recently added 80 independent living apartments.

The community will be marketed as Concord Reserve.

D2 Architecture Joins HKS

Dallas-based senior living architecture and design firm D2 Architecture is joining global architecture and design firm HKS, to launch its senior housing practice. D2’s leadership team of David Dillard, Grant Warner, Siobhan Farvardin Winfrey and Keith Wilson are now with D2. The remaining D2 staff will join HKS in the coming months, as projects in progress are completed.