M&T Realty Capital Corporation®
has closed a $17,578,000 FHA-insured loan for the refinance of a 120-unit, 5-star CMS rated skilled nursing facility located in Chelsea, MA. The loan was completed under the U.S. Department of Housing and Urban Development (HUD) Federal Housing Authority (FHA) 232/223(a)(7) program.
The refinancing saved the borrower over 1% on their interest rate, resulting in annual cash flow savings of over $137,000. The fixed rate, fully amortizing loan extended the maturity to 40 years. The lower debt service amounts will also allow the borrower to more easily and quickly access debt service reserve escrows that were required by the original HUD loan.
The transaction was led by Managing Director Steve Muth of M&T Realty Capital Corporation’s Richmond, VA office.
HUD’s Section 232 program provides mortgage insurance for residential care facilities such as assisted living facilities, nursing homes, intermediate care facilities, and board and care homes. The Section 232 program is administered by the Office of Residential Care Facilities (ORCF) within the Office of Healthcare Programs.
As one of the nation’s leading firms providing FHA-insured mortgages, M&T Realty Capital Corporation provides financing under a variety of HUD’s programs
. These include financing for the construction or substantial renovation of rental housing (pursuant to Section 221(d)(4)); the purchase or refinancing of existing multifamily housing projects (pursuant to Section 223(f)); skilled nursing or assisted living facilities (pursuant to Section 232/223(f)); hospitals (pursuant to Section 242) and secondary debt (pursuant to Section 241). For specific loan information on these programs, please call Jim Schneider 206-816-9797 or request a loan quote
All loans and all terms referenced herein are subject to receipt of a complete application, credit approval, and other conditions.