“Having operated this seniors community since 1998, the owners wanted to provide funding to maintain the property and ensure low interest rates for the next ten years,” according to Damon Reed, Capital One Multifamily’s Director of MHC Finance.
“The sponsors were aware that interest rates could rise before their existing loan matured in 2016,” Reed said. “They determined that the best course of action for them was to absorb the prepayment penalty and refinance early. In the process, they reduced their interest rate by nearly 200 basis points.”
There are 9.5 years of yield maintenance on the ten-year loan, and a 30-year amortization payable on an actual/360 basis. The community was built in 1975. According to manta, Rodeo is owned by Equity LifeStyle Properties, Inc. ##
(Photo credit: senior-retirement-living–Kitchen of home in Rodeo Mobile Estates that sold for $399,000.)
