Red Mortgage Capital, LLC Provides $19.5 million Assisted Living/Dementia Care Refinancing Loan
Loan Proceeds Help Fund Numerous Strategic Capital Initiatives
Columbus, OH – Red Mortgage Capital, LLC, the mortgage banking arm of RED CAPITAL GROUP, LLC, announced today that it closed a $19.5 million FHA 232/223(f) refinancing for Oyster Bay Manor/Harbor House. The project is a 208-bed assisted living and dementia care facility located in Oyster Bay, New York.
This financing will have a substantial positive impact on the project for many years to come. The low interest rate achieved through the FHA insurance program significantly reduces the owner’s debt-service obligations and provides 30-year fully amortizing, non-recourse debt. In addition, the financing includes over $1,200,000 in funding for capital renovations and upgrades to common areas throughout the building, including the creation of a resident solarium. Overall, the financing provided an important way for the owner to accomplish several strategic capital initiatives in an effort to meet or exceed service level demands in its assisted living market.
Rachel Dombrowsky, Owner/President of Oyster Bay Manor/Harbor House, commented, “We are thankful to have completed this important transaction with Red Mortgage Capital. We are looking forward to completing many important projects with the additional loan proceeds. The whole team was so helpful in bringing us through the HUD process. Thank you for your efforts and support!”
Red’s lead banker on the transaction, James D. Scribner, Managing Director of Red Mortgage Capital, LLC said, “The ability to provide over $1.2 million for several important capital initiatives while reducing total debt service with long-term, non-recourse financing provides a tremendous value to the owner. Oyster Bay Manor and Harbor House will be well positioned for many years to come.”
About RED CAPITAL GROUP, LLC
Recognized for its industry expertise, innovative and comprehensive structures, and consistently high rankings, RED CAPITAL GROUP, LLC has provided over $52 billion of integrated debt and equity capital since 1990 to the multifamily, student and seniors housing, and health care industries through three operating companies. Red Mortgage Capital, LLC is a leading Fannie Mae DUS® and MAP- and LEAN-approved FHA lender with a mortgage servicing portfolio of more than $16 billion. Red Capital Markets, LLC (member finra/sipc) is a leader in the distribution of Fannie Mae and Ginnie Mae Project MBS and provides structuring, underwriting, placement and advisory services for tax-exempt and taxable housing and health care bonds. Red Capital Partners, LLC provides proprietary debt and equity solutions and asset management in a range of forms including subordinated gap and bridge loans. RED CAPITAL GROUP, LLC, a subsidiary of ORIX USA Corporation, is headquartered in Columbus, Ohio and employs approximately 180 people across nine offices nationwide.
About ORIX USA Corporation
ORIX USA Corporation (test.orix.com) is the U.S. subsidiary of ORIX Corporation, a publicly-owned Tokyo-based international financial services company established in 1964. ORIX Corporation is listed on the Tokyo (8591) and New York (NYSE:IX) stock exchanges. ORIX USA Corporation is a diversified corporate lender, finance company, and advisory service provider with more than $6 billion in assets and an extensive portfolio of credit products and advisory services. ORIX USA is headquartered in Dallas, Texas and has approximately 1,400 employees worldwide.
DUS® is a registered trademark of Fannie Mae.
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For more information on this transaction, please contact:
Red Mortgage Capital, LLC
James D. Scribner
For more information on RED CAPITAL GROUP, LLC, please contact:
William L. Meyer