$3,200,000 HUD Section 232/(a)7 Term Loan, Transfer of Physical Assets for a Maryland assisted living facility

HFC was approached by the buyer of a 32 unit, 56 bed assisted living facility which had a HUD guaranteed loan in place to arrange for both the Transfer of Physical Assets approval for the buyer to assume the existing debt and to concurrently reset the interest rate through the (a)7 program.  HFC successfully navigated both tasks simultaneously with the facility’s existing lender.  The (a)7 program’s ability to allow the new borrower to “reborrow” up to the original loan amount provided $104,136 in proceeds to cover closing costs while lowering the rate from 5.48% to 3.82%.

Posted in Recent Transactions.