New York, NY — September 14, 2023 — Lument announced that it closed $46.3 million in transactions for SanStone Health & Rehabilitation, which operates 18 rehabilitative care communities across North Carolina. Kevin Oakley, a director covering the Southeast, led the transactions for Lument.
The $46.3 million in closed transactions consists of two U.S. Department of Housing and Urban Development (HUD)/Federal Housing Administration (FHA) Sec. 232/223(f) loans totaling $39.5 million and one bridge loan for $6.8 million. The FHA loans carry 35-year terms and refinance existing short-term, variable rate debt into a long-term, fixed rate financing.
The transactions were for Wilkes Health & Rehabilitation, a 97-unit, 130-bed skilled nursing facility (SNF) in North Wilkesboro, North Carolina and Hickory Falls Health & Rehabilitation, a 70-unit, 120-bed SNF in Granite Falls, North Carolina, and Wilkes Assisted Living, a 102-unit assisted living (AL) community in Wilkesboro, North Carolina.
“These successful closings are the most recent wins in a comprehensive strategy to help grow SanStone’s portfolio, expand its best-in-class operating platform across the state of North Carolina, and ultimately put in place beneficial, long-term financing at its communities,” said Lument’s Oakley.
SanStone and Lument collaborated in 2020 on bridge financing to facilitate the acquisitions of these three communities. In addition to financing the acquisitions, the bridge structure included funds for repairs and the opportunity to recapitalize once performance and value improvement hurdles were met.
“Lument has guided us through several successful transactions, each one with its own unique challenges,” said SanStone President Jennifer Robinson. “From bridge loan acquisitions to complete portfolio recapitalization, Lument understands how to craft customized funding solutions that maximize value and position our communities for long-term success.”
Lument, a subsidiary of ORIX Corporation USA, is a national leader in commercial real estate finance and delivers a comprehensive set of capital solutions customized for investors in multifamily, affordable housing, and seniors housing and healthcare real estate. Lument is a Fannie Mae DUS®, Freddie Mac Optigo®, FHA, and USDA lender. In addition, Lument offers a suite of proprietary commercial lending, real estate investment sales, investment banking, and investment management solutions. The company has approximately 600 employees in over 30 offices across the United States. Securities, investment banking, and advisory services are provided through Lument Securities, LLC, member FINRA/SIPC. Lument Investment Management, LLC, is registered as an investment adviser with the U.S. Securities and Exchange Commission. For more information, visit https://www.lument.com/.