Chicago unveils $600 million senior living plan

CHICAGO – Mayor Richard Daley last month unveiled a five-year senior housing plan calling for the construction of 45 buildings totaling 4,000 units at an estimated cost of $600 million. The cost is to be covered by a combination of public and private funds.

Most of the units would be earmarked for low-income seniors. About 400,000 Chicago residents are 60 years of ago or older, according to the city. That’s about 13 percent of the population, and the percentage is growing as Baby Boomers age. City officials say that about a third of senior households have incomes of $15,000 or less.

Plans call for the development of 10 apartment buildings for very low-income residents, 15 apartment buildings for low-income households, five moderately priced condo projects and 15 developments with various levels of services.

For the Record

Herbert J. Sims & Co. Inc. helped arrange seed financing for Abbey Woods, a 286-unit continuing care retirement facility (CCRC) that is to be developed on a 41-acre site in Morris Township, N.J. Abbey Woods is sponsored by the Order of Saint Benedict (Saint Mary’s Abbey) of New Jersey. Plans call for 176 independent living apartments, 38 independent living cottages, 24 assisted living residences and 48 skilled nursing beds… Thorndike Development Co. of Quincy, Mass., plans to break ground this spring on a 156-unit senior housing development on 44 acres in Hudson, Mass. Plans call for 80 multi-family units and 76 detached homes. Construction is expected to take place over the course of four years, with the first occupants moving in by spring 2007… The Vermont Economic Development Authority has given preliminary approval to a $50.2 million bond issue to expand and refinance Wake Robin, a CCRC in Shelburne, Vt. Plans call for adding 37 independent living units cottages and 18 skilled nursing units… First Centrum LLC of Sterling, Va., plans to develop a 230-unit senior living community at the 11-acre site of Water Garden Office Park in Raleigh, N.C. The development firm has made a $2.4 million offer to buy the property. Plans call for 135 apartment units and 95 townhouses in five buildings… Steven D. Bell & Co. has acquired Riviera Senior Living in Holly Hill, Fla., from Riviera Assisted Living for $14.8 million. The property includes 76 assisted living units and 74 independent living units. Bruce Gibson and Kyle Sheehan of CB Richard Ellis’ senior housing services group represented the seller… GMAC Commercial Mortgage Corp. provided about $5.25 million in permanent fixed-rate acquisition financing for Morton Terrace Care Center, a 44,187 square foot nursing home in Morton, Ill. Thomas Sigrist of GMAC’s Chicago healthcare office arranged the transaction on behalf of the borrower, Morton Terrace Realty… Double Vision has acquired Harmony Assisted Living, a 29,780 square foot assisted living facility in Hillsboro, Texas, from Oklahoma-based Hillsboro Harmony House. Terms were not disclosed. Robyn Jackson of Sperry Van Ness’ Fort Worth, Texas, office brokered the sale… An affiliate of Chicago-based Senior Lifestyle Corp., in a joint venture with an investment fund sponsored by an affiliate of Walton Street Capital, has acquired a 336-unit senior living community on 15 acres in West Chester, Pa. The acquisition includes Bellingham Retirement Living, which has 208 independent living units and 64 assisted living units, and Park Lane at Bellingham, a 64-bed skilled nursing facility. No further details were disclosed… Mercy Housing, a Denver-based not-for-profit housing developer with offices in Atlanta, was awarded a $5.3 million grant from the U.S. Department of Housing and Urban Development (HUD) to build 67 affordable senior apartments in Decatur, Ga…. The Dallas office of Arbor Commercial Mortgage has originated about $11.38 million in loans to refinance a portfolio of five not-for-profit Oklahoma senior living facilities… Greystone Servicing Corp. Inc. provided an $8.5 million loan for the refinance of Southwinds Active Adult Community, a four-story, 100-unit luxury apartment community for seniors 55 or older in White Plains, Md…. The Cleveland office of Red Mortgage Capital, the lending arm of Columbus, Ohio-based Red Capital Group, provided a $5.8 million, Federal Housing Administration (FHA) insured mortgage loan to refinance Sunset View, a 146-bed, FHA-insured skilled nursing facility in Millersburg, Ohio. The borrower was Castle Nursing Homes… Red Capital Group also arranged about $4.2 million of Low-Income Housing Tax Credit (LIHTC) equity for the renovation of Lincoln Manor, a 10-building, 120-unit senior living community on 7.5 acres in Racine, Wis. The borrower, Lincoln Lutheran of Racine, plans to use the funds for renovations… Three partnerships owning four senior apartment complexes totaling 760 units in the Los Angeles area have secured $49.3 million in acquisition financing. The borrowers are affiliates of Korda Construction/RPK Development. The properties are in the California towns of Monrovia, Lakewood, Whittier and Diamond Bar. The age-restricted communities, formerly known as the Seasons, have been renamed Whispering Fountains. Troy Tegeler and Sharon Kline of the Newport Beach office of CBRE Melody arranged the financing… Love Funding Corp. placed a $45.53 million loan with a portfolio lender for the acquisition of seven assisted living properties in Illinois, Ohio and Tennessee. Love Funding’s Leonard Lucas arranged the two-part loan, which included fixed- and floating-rate components. The borrower is acquiring 11 total facilities containing 697 units for $85.4 million, but four of the assets were not part of the transaction because they had existing HUD 232 loans… DBN Development LLC recently acquired a 22-acre parcel in San Jacinto, Calif., for more than $5 million. The company’s plans for the site entail developing a 240-unit senior apartment complex and a two-building, 75,000 square foot medical office complex. The $40 million development is to be called Parkside San Jacinto. The acquisition is DBN’s third in San Jacinto in the last year… Boston Capital has acquired the to-be-built $10.1 million, 78-unit Columbia-Blackshear Senior Residences in Atlanta. Columbia Residential is Boston Capital’s general partner in the acquisition. Boston Capital will provide $8.3 million in equity financing for the development… KeyBank Real Estate Capital recently provided a $50 million permanent mortgage via the Federal National Mortgage Association (Fannie Mae) for Ashton Gardens at Pelican Pointe, a 341-unit senior living campus in Venice, Fla. The deal was unusual in that Fannie Mae provided the fixed-rate financing before the project reached a stabilized level of occupancy and cash flow. Officials with KeyBank, a division of Cleveland-based KeyCorp, say they negotiated an early loan with Fannie Mae to take advantage of low interest rates… The U.S. Department of Housing and Urban Development (HUD) recently awarded $4.4 million for the construction of low-income housing for seniors in Battle Creek, Mich. The money is slated for the construction of 45 to 50 apartments for seniors with incomes of $25,000 or less per year. Expected to open in the middle of 2007, the units will be owned by the nonprofit Presbyterian Villages of Michigan… Collateral Mortgage Capital of Birmingham, Ala., has funded a $9.75 million first mortgage loan for Greenwood Terrace, a senior housing project in Lenexa, Kan. The 20-year, self-liquidating, fixed-rate loan was funded by Collateral through the Fannie Mae DUS loan program. Greenwood Terrace is a 115-unit, three-story property comprising approximately 70,000 square feet… Cambridge Realty Capital Cos. provided government-insured HUD loans totaling more than $10.8 million to refinance the 60-bed Ridge Crest Gardens assisted living facility and the 142-bed Ridge Crest Nursing Center skilled nursing facility in Feasterville, Pa…. Cambridge also arranged a $14.5 million HUD-insured loan to rehab and refinance Alden of Governors Park, a 150-bed skilled care nursing facility in Barrington, Ill…. Cambridge also provided a $5.8 million conventional bridge loan to refinance the Brookside Healthcare & Rehabilitation Center, a 120-bed skilled nursing home facility in Roslyn, Pa. The loan is to be amortized over a 25-year period, providing cash-out of equity for the borrower, Old Quarry Realty LLC of Lakewood, N.J…. Greystone Servicing Corporation Inc. of Bethesda, Md., recently provided a $3.46 million Fannie Mae DUS loan to Timothy H&G TIC for the refinancing of senior living facilities Timothy House and Timothy Gardens, located in Annapolis, Md. In addition, Greystone has provided a $3.2 million loan to Patatka Retirement Villas Inc., located in Palatka, Fla., for the refinance of a HUD 202 loan on Barry Manor Apartments. Also, Greystone provided a $11.9 million loan for the refinance of Covenant Woods Village, a 172-unit independent living and assisted living facility located in Columbus, Ga. q