Capital One announced that it has provided a 35-year, fixed-rate $17.1 million HUD 232/223(f) loan to refinance a 104-unit skilled nursing facility in Romeo, Michigan, in the northern suburbs of Detroit. The refinancing was conducted under HUD’s 232/223(f) program, allowing the borrower to refinance existing bank debt as well as partnership debt. Senior Vice President Joshua Rosen originated the transaction for a repeat Capital One customer.

“According to HUD, 273 loans totaling $2.8 billion were processed by the 232/223(f) program in 2017,” Rosen said. “There are good reasons for its popularity. Borrowers benefit from a nonrecourse, fully assumable loan at today’s historically low rates for 35 years.”

Built in 2014, the facility is designed to provide high standards of care and patient satisfaction. It features large state-of-the-art therapy areas catering to Medicare and Managed Care residents and abundant common areas, including a bistro selling Starbucks products. Each resident room has a full bath with roll-in shower. Nurses collect patient data using mobile workstations. 

Capital One Bank’s Commercial Real Estate Group offers a comprehensive array of financing solutions for property owners and developers nationwide, including balance sheet and agency lending. Additional information can be found at capital.one/multifamily.