Capital One Multifamily Finance provided a $10.9 million fixed-rate, HUD 232/223(f) loan to refinance a 133-bed skilled nursing facility in Northern Illinois. Senior Vice President Joshua Rosen originated the transaction.  Rosen leads Capital One’s agency healthcare lending from the company’s Chicago office. The key principals are experienced owners and operators of skilled care facilities and have refinanced a number of properties with Capital One.
 
“The borrowers have again turned to the 232/223 (f) program because they see it as an extremely effective way to lock in current low interest rates for the long term,” Rosen noted.  The program is also attractive to skilled nursing operators because eligible loans are nonrecourse and fully assumable.
 
The property was built in 1962, with an addition in 1985 and substantial renovations and improvements between 2005 and 2012.  The current owners acquired the property in 2012, and have upgraded resident rooms and bathrooms.
 
Capital One also structured a HUD-approved master accounts receivable line.  “The extensive resources of Capital One allow us to offer complementary services that help borrowers operate their properties more efficiently,” Rosen said.
 
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.