Seller financing might just be the magic bullet to help some deals get to the finish line.
Gone are the days of Sellers cashing in their lotto ticket when debt and equity was abundant. Buyers and liquidity were driving prices through the roof. Senior Living Investment Brokerage continues to sell Seniors Housing and Long-Term Care despite the challenges in the credit markets. In order for Sellers to maximize their value and increase the probability of getting transactions closed, Sellers should consider carrying paper and/or providing a second mortgage. When structured properly, Seller financing is an attractive option for both Buyer and Seller.
Buyers are able to structure a financing package that reduces the amount of equity by bridging the gap with a Seller note. Sellers will achieve a higher interest rate on their money compared to alternatives in the market. Personal guarantees and the right terms on the second mortgage provide added security for Sellers. By the time the note balloons in three to five years, the debt markets should have more options. Sellers will be taken out in an environment with more lucrative interest rate options. So, consider all of your options when attempting to achieve your investment objectives.
Contact me via Email at Ryan Saul for a confidential analysis.
Ryan Saul
Managing Director
Senior Living Investment Brokerage, Inc.
Wednesday, June 24, 2009
Tuesday, June 9, 2009
Senior Living Announces Sale of Assisted Living Facility
Ryan Saul sold Harbor House Assisted Living in Wheeling, IL. The property consists of three identical one-story cottages with each building containing 12 units with 16 licensed beds. Census at the time of sale was 85%. Senior Living investment Brokerage has sold 22 facilities in 2009.
Grant Kief
President
Senior Living Investment Brokerage, Inc.
Grant Kief
President
Senior Living Investment Brokerage, Inc.
Thursday, June 4, 2009
Senior Living Announces Sale of Skilled Nursing Facility
Senior Living Investment Brokerage, Inc. facilitated the sale of a Skilled Nursing Facility consisting of 120 beds in Blue Springs, MO. This is the company’s third sale of a long‐term care facility in Missouri for 2009.
The one‐story structure was built in 1979 and encompasses approximately 39,000 square feet and sits on 2.915 acres. The facility is located on the eastern fringe of the Kansas City MSA and is within two miles of the primary medical center for the region. At the time of the sale, occupancy at the facility was approximately 70%. The buyer is a regional long‐term care provider and owns two other facilities in the state of Missouri.
The facility sold for $4.3 million, or approximately $33,800 per bed. Jeff Binder and Patrick Byrne of Senior Living Investment Brokerage, Inc. handled the transaction.
Grant A. Kief
Senior Living Investment Brokerage, Inc.
The one‐story structure was built in 1979 and encompasses approximately 39,000 square feet and sits on 2.915 acres. The facility is located on the eastern fringe of the Kansas City MSA and is within two miles of the primary medical center for the region. At the time of the sale, occupancy at the facility was approximately 70%. The buyer is a regional long‐term care provider and owns two other facilities in the state of Missouri.
The facility sold for $4.3 million, or approximately $33,800 per bed. Jeff Binder and Patrick Byrne of Senior Living Investment Brokerage, Inc. handled the transaction.
Grant A. Kief
Senior Living Investment Brokerage, Inc.
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