Property Types Seniors Housing
Freddie Mac Buys $140M in Seniors Housing Mortgages
June 20, 2008
By: Thomas Peretti, Contributing Correspondent

Freddie Mac has announced the purchase of a $140 million pool of mortgages from Capmark Finance Inc.

Prudential Real Estate Investors also invested in the deal with Freddie Mac. The mortgages are secured by seven senior housing properties, which include 880 rooms in two assisted living facilities and five independent living centers located in Maryland, Massachusetts, Rhode Island, and Virginia. The purchase has allowed the Shelter Group, a Baltimore property management firm, to refinance and recapitalize these properties.

The properties involved in the deal have all been built within the last thirty years. Details of the transaction include a ten year plus one year fixed interest with seven years of partial interest. David Carliner, executive vice president of the Shelter Group rated the terms of the deal as “super competitive.”

Freddie Mac was motivated by the reliability and strength of the seniors housing market. "The seniors housing market is growing by leaps and bounds. We are proud to be a stable, reliable source of funding for it," the corporation’s vice president of Production and Sales Mitchell Kiffe stated in a release. Carliner, who indicated that Capmark was a strong advocate for the deal, added in the release, “Freddie Mac stood by us despite the fact that the financial markets saw more turbulence from the inception of the transaction until its closing than the industry had experienced in a very long time.”

The government-sponsored enterprise Freddie Mac has provided more than $194 billion in financing for approximately 55,000 multifamily housing properties since the inception of its Freddie Mac Program Plus network for loan originators. Freddie Mac recently provided $31 million for the refinancing ofLincoln at Ovaltine Court in Villa Park, a suburb of Chicago.

 
Recent Seniors Housing Headlines
Healthcare REIT Snaps Up Wellness Centers in $100M Sale-Leaseback Deal
Aug. 28, 2008
Four wellness centers operated by Life Time Fitness Inc. have come under the ownership of Senior Housing Properties Trust, courtesy of a $100 million deal. Life Time Fitness will continue to occupy the properties under a triple-net lease agreement through its subsidiary, LTF Real Estate Co.
Emeritus to Lease 11 Seniors Housing Properties from HCP
Aug. 26, 2008
Assisted living services provider Emeritus Corp. will soon bring a new group of seniors housing properties under its umbrella now that it has signed an agreement with affiliates of HCP Inc. to lease 11 communities accounting for an aggregate 1,462 units in six states from California to Massachusetts. The lease carries a 10-year term and allows Emeritus the option to acquire the assets during the period commencing with the close of the fifth year of the lease until its expiration. If the company decides to acquire the portfolio, the price tag will be a minimum $300 million.
Senior Living Facilities Draw More Men
Aug. 18, 2008
Senior living communities, traditionally home to populations of predominantly female residents, are now experiencing significant growth of their male populace. The trend is particularly prevalent at independent living facilities--be they dedicated independent living properties or housing units within continuing care retirement communities.
HCP Wraps Up $500M Offering
Aug. 13, 2008
Long Beach-headquartered HCP Inc. has just concluded its offering of 14.95 million shares of common stock, which, at a price of $33.50 per share, yielded the healthcare REIT an aggregate $500 million. The company originally priced the offering of just 13 million shares on August 6 with hopes of taking in $435 million. HCP plans to use the proceeds from the offering to repay part of its outstanding debut under a bridge loan facility. In other recent financial transactions, in late May, the company placed $259 million of secured debt on 21 of its nearly 300 senior housing properties. The debt, featuring a seven-year term with a fixed interest rate of 5.83 percent, was provided by Grandbridge Real Estate Capital L.L.C. and purchased by Fannie Mae.
Life Sciences Trends Point to Continued RE Demand
Aug. 12, 2008
The life sciences industry's real estate needs in the nine key U.S. markets continue as soaring construction costs hinder the upgrading of existing office space, international players compete for the limited pool of high-end accommodations and businesses increase reliance on outside real estate services providers, according to a new report by CB Richard Ellis Inc.
 

 

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