Assisted Living Facilities 

 Financing for Assisted Living Facilities Construction is available  Now!  This financing is NOT a HUD program. We have one of the only construction loans for Assisted Living Facilities that is not dependent on HUD approval. We have access to ALF funding from $2,000,000 up to $50,000,000. The ideal range of funding where we see the most success is from $10,000,000 to $38,000,000.

This exciting new program was designed to be an alternative to lengthy HUD programs. Assisted Living Facility Construction Financing through Preferred Capital Funding means that developers can avoid costly delays associated with HUD and USDA B&I programs!

  • Avoid the huge delays associated with HUD approvals. No dealing with SBA 504 and CDC debentures and complicated funding strategies
  • Deal with underwriters accustomed to the construction loan process
  • Draw requests, work order changes and other issues handled by professionals well versed in the needs of developers and construction lending

 

Most business loans for assisted living facilities are a combination of a commercial mortgage and commercial business loan. Construction financing for Assisted Living Facilities usually takes on this combination with the commercial mortgage funding the land development and building construction funding and the business loan providing the capital needed to get the equipment and business up and running.

Preferred Capital Funding| Commercial Lending’s special Construction Loan for Assisted Living Facilities offer:

  • Loan Amounts: $10M minimum, No max
  • Loan to Cost – 75% (LTC)
  • Term: 5-7 Year Construction to mini-perm
  • Amortization: First 2 Years (construction phase) is Interest only, after that amortization varies by strength of project but most projects will receive 25 year amortization period.
    projects will receive 25 year amortization period.
  • Rate: Variable or Fixed options Variable is WSJ Prime plus roughly 250bp … or … Fixed rate range is 6-7%
  • Prepayment Penalty: None
  • Recourse: Some Personal Guarantee typically required however this is negotiable depending on strength of deal.
    • Sponsor can also “Buy Down” the recourse with higher Equity Participation (lower LTC)

Preferred Capital Funding offers the loans that pay dividends for your business.

We have all types of loans for assisted living facilities and financing for medical office buildings. Development loans, construction loans, commercial business loans and Assisted Living Facility Purchase loans. Business loans for medical office buildings and assisted living when combined with a small business loan or with equipment financing are our specialty and we get them done even when banks have said NO!