Greystone Closes $452M Senior Housing CLO
This is the company’s fourth such financing deal.
Greystone has closed a $451.6 million collateralized loan offering backed by bridge loans encumbering 46 senior housing properties in 13 states, marking the company’s eighth commercial real estate CLO. It’s also the industry’s fourth such financing deal, with the first three having being closed also by Greystone between 2018 and 2024.
The CLO has a three-year reinvestment period. Its collateral comprises 12 whole notes and seven loan participations backed by senior housing communities, including skilled nursing properties, which make up most of the portfolio at 65.2 percent. Assisted living, memory care and senior independent living communities round up the collection.
Some of the debt finances acquisitions across the sector, as one of the notes involves $18.5 million in cash collateral for the anticipated purchase of one asset, according to a KBRA rating report.
READ ALSO: 2025 Senior Housing Market Update
ATLAS SP Securities structured the loans. Goldman Sachs and JP Morgan served as lead managers and joint bookrunners, while Natixis, UBS, Capital One and Huntington acted as co-managers.
Senior housing’s strong fundamentals
Senior housing’s attractive fundamentals, including the rising occupancy rate and positive rent growth, appealed to investors as more than $3.8 billion in such assets changed hands during the first three quarters, according to a report by NIC MAP. Deals also became more competitive, Lisa McCracken, head of research & analytics at NIC, previously told Multi-Housing News.
Debt also flowed along, some financing aiding the sector’s ailing supply pipeline—just 1,400 units debuted in the third quarter, NIC MAP revealed. In one of the more recent deals, Nexus Cos. took out a $180 million construction loan to build a 20-story senior housing tower encompassing 193 units in the Metroplex.
