Lancaster Pollard closed 70 loans — totaling $619.1 million — that were insured by the Department of Housing and Urban Development (HUD) in fiscal 2018.
Of the total closed through the program, the Columbus, Ohio-based lender logged 35 for skilled nursing facilities, for a total value of around $349.4 million and an average bed count of 125 per facility, according to Skilled Nursing News.
The loans were part of the HUD Lean program, which finances senior housing properties and generated 317 loans — for $3.6 billion of loan volume — in the most recent government fiscal year, which ended September 30. Out of those deals, 215 were for SNFs.
For SNFs looking for long-term, fixed rate financing, HUD is the only option, Kass Matt, the president of Lancaster Pollard, told Skilled Nursing News. But there has been an uptick in the presence of assisted living in the space, a trend coinciding with an increase in development, he told Skilled Nursing News.
The rising interest rate environment isn’t as much a cause for concern among providers as might be expected, he added. For one thing, interest rates may be going up, but they are still at or below historical averages.
Read the full story at Skilled Nursing News.