Greystone Arranges $35M Refi for Wisconsin Senior Portfolio

The loans will go toward improvements at five skilled nursing facilities.
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Champion Care LLC has landed nearly $35 million in refinancing loans for its five skilled nursing facilities across southeastern Wisconsin. Greystone’s Fred Levine originated the loans that are insured by the U.S. Housing and Urban Development (HUD) for Champion Care’s portfolio.

The non-recourse, permanent FHA loans have a low, fixed-interest rate with 30-year term and amortization. The loans refinance existing debt of the five Wisconsin properties located in Antigo, Burlington, Manitowoc and Kenosha that total 558 beds.

The loans will also allow Champion Care, who purchased the properties in 2017, to continue its current property improvement program that includes repaving parking areas, sidewalk repairs, accessibility updates, laundry facilities and other repairs.

In Kenosha, Champion Care secured a nearly $5 million loan for a 128-bed facility and a $4 million loan for its 81-bed facility. Levine also arranged a nearly $6.2 million loan for the company’s 94-bed facility in Manitowoc and an approximately $9.3 million loan for a 123-bed facility in Burlington. The largest refinancing loan at nearly $10.6 million went towards Champion Care’s 132-bed facility in Antigo.

STRONG YEAR FOR SECTION 232

Levine, managing director at Greystone, said in prepared remarks that he was able to bring Champion Care’s portfolio into HUD’s Section 232 program, a federal program that provides loans for nursing homes, assisted living facilities and board and care facilities. Levine added that the HUD 232 program was the gold standard for skilled nurse home financing.

Levine also originated a $10.4 million refinancing through the HUD 232 program for a skilled nursing facility in Boonville, N.Y., in November. According to HUD’s 2020 fiscal year end statistics for Section 232, the federal agency saw nearly $4.4 billion in initial endorsements and approximately $4 billion in firm commitments issued.