Cambridge Rlty. provides $90.6m in HUD-insured loan 10-bldg. portfolio

Cambridge Realty Capital Cos. has closed $90.6 million in HUD-insured Section 232 loans to refinance a portfolio of 10 intermediate and skilled care nursing facilities. The 10 HUD-insured loans were closed and funded simultaneously to accommodate the payoff of a single credit facility. Loans for properties in the portfolio ranged in size between $3.1 million and $14.8 million. The 10-loan portfolio includes Southview Manor and Community Care Center in the city, and the West Chicago Terrace, Frankfort Terrace, Crestwood Terrace, Kankakee Terrace, Bourbonnais Terrace, Joliet Terrace, The Terrace of Waukegan, and Sycamore Terrace of Quincy. Combined, the properties include 1,488 intermediate-care and 65 skilled-care beds. Terms for the fully-amortizing loans ranged between 27 and 35 years. Cambridge chairman Jeffrey Davis said the first-mortgage loans were arranged for the owner, an Illinois limited liability company, utilizing HUD's Section 232/223(f) program. The loans were underwritten by Cambridge Realty Capital Ltd. of Illinois, the Cambridge subsidiary that underwrites HUD-insured loans for healthcare facilities. "The ability to obtain HUD financing to close complex transactions of this kind sends an important message to multi-facility operators," he said. "The transaction is indicative of the role HUD 232 financing can play for multi-facility owners in the current capital-constrained environment." Cambridge worked with Catalyst/Cambridge Healthcare Finance's national originations manager, Hymie Barber. Catalyst/Cambridge's longstanding and successful relationship with Cambridge enabled Catalyst/Cambridge to facilitate the transaction from start to closing with aid and assistance from Cambridge at key and critical points in the transaction.