CBRE Capital Markets professionals continue to prove that the market is open by working with investors to provide creative debt solutions for their clients. Below are the highlights of a recently completed loan origination:
Crossroads Retirement Center:
Aron Will, Senior Vice President of CBRE’s Senior Housing Debt & Structured Finance team in Houston, TX has arranged acquisition financing on behalf of Auctus Capital Partners (“Auctus”) for Crossroads Retirement Center (the “Property”), a 103-unit Independent Living and Assisted Living community located in Bellevue, WA (Seattle MSA).
CBRE secured an $8 million floating rate loan which includes a 3 year term with 36 months interest only. The loan was procured from a regional bank. Auctus acquired the Property from the Seller who initially bought the note on the underperforming asset. Auctus has retained Seattle-based Leisure Care to third party manage. Auctus plans to spend a substantial amount of capex renovating and upgrading the Property’s interior and exterior in order to meet resident expectations within the affluent marketplace. Auctus will also convert a portion of the Assisted Living units to Memory Care to provide the full continuum of care to their resident population.
Chris Rosenstock recently founded Auctus to acquire, turnaround, and asset manage senior housing communities in the western U.S. Prior to founding Auctus, Chris was a Managing Director at DiNapoli Capital Partners where he proposed the entrance into the sector and lead the acquisition efforts/business plan implementation of their senior housing communities located in Los Angeles and Seattle. Before DiNapoli Capital Partners, Chris was a Managing Director at Pacifica Companies.
Founded in 1976, Seattle based Leisure Care is a high-quality senior operator with a 38 year track record. Currently, they operate communities in 11 states across the West Coast, South, and Southeast U.S. and are one of the largest privately-held providers of senior housing in the country with approximately 6,000 units under management serving over 7,000 seniors residents. Their corporate headquarters in Seattle are located 13 miles east of the Property.
In 2012 and 2013, CBRE Capital Markets, through its two senior housing debt producers, originated $816 million in senior housing financings across 50 assets nationwide. CBRE has been a Top 2 senior housing originator in the country from 2010 through 2013 and was the #1 Senior Housing/Age Restricted Lender in the U.S in 2013*.
#1 Senior Housing/Age Restricted Lender in the US in 2013*
Top 2 Senior Housing Lender in 2010, 2011, 2012 & 2013*
#1 Freddie Mac Lender in 2009, 2010, 2011, 2012 & 2013
#1 Fannie Mae DUS Senior Housing Lender in 2010
Fannie Mae, Freddie Mac, HUD FHA, Mezzanine & Construction
*As per the Mortgage Bankers Association
For more information on this transaction or to discuss how we can help you fulfill your capital markets needs, please contact:
Senior Vice President