HFC congratulates Runk & Pratt on their recent closing of a $36,500,000 term loan for Liberty Ridge, a 171 unit/200 bed IL/AL senior living community in Lynchburg, Virginia. The community was developed by Smith Packett in 2013, with Runk & Pratt as the lessee and operator. In 2017, Mr. Runk exercised his buy option. HFC was involved in negotiating the initial operating lease and buy option between Smith Packett and Runk in 2013, attended the property’s grand opening, and provided advisory support during the Runk & Pratt buyout of Smith Packett in 2017.
Today, the Liberty Ridge campus is Runk & Pratt’s premier flagship property. The residents enjoy premium amenities including restaurant style dining, activities, and common space areas. Seniors can also participate in Liberty University’s various activities both on and off campus. Runk & Pratt now owns and operates 563 units in 6 buildings in the Lynchburg, Forest and Smith Mountain Lake areas of Central Virginia.
Given this flagship property’s strong historical performance, HFC advised a leverage up strategy to release significant capital to fuel overall corporate growth. HFC marketed the transaction and delivered 5 strong lending options for the Borrower. The end result was a floating rate of SOFR + 210 and an immediate release of substantial new capital.
HFC’s relationship with Runk & Pratt spans over 20 years, from consulting and conventional financing to numerous agency financings.
For more information on Runk & Pratt or their Liberty Ridge community visit their website here.