PGIM Real Estate has arranged a $222 million Fannie Mae credit facility on behalf of the partnership of Blue Moon Capital Partners and Aegis Senior Living, a national leader in assisted living and memory care, for a 10-property senior housing portfolio located across Washington, California and Nevada. PGIM Real Estate is the real estate investment and financing business of PGIM, the $1.4 trillion global investment management business of Prudential Financial, Inc. (NYSE: PRU).
The 10-year interest-only loan is partially fixed rate and partially floating rate. It will be used to recapitalize the portfolio, while allowing for additional flexibility and future expansions.
“This transaction’s success is a testament to the strength of our relationship with Blue Moon and Aegis and exemplifies Fannie Mae’s ability to execute large and complex transactions,” said Trace Wilson, executive director at PGIM Real Estate who originated the loan on the firm’s behalf. “In addition to the best-in-class sponsorship, the portfolio has a long and proven track record of high performance and the assets are located in supply constrained, geographically diverse markets.” The 10 senior housing properties are located across three states and five different markets. All of the properties are seasoned and stabilized, offering a mix of assisted living and memory care units.
“PGIM Real Estate has been a great partner as we closed the largest deal in our company’s history and kicked off an entirely new chapter of growth,” said Aegis Living President Kris Engskov. “As we turn the corner on the new year and the vaccine’s broad impact on our residents and team, we couldn’t be more optimistic about what the future holds for serving seniors up and down the west coast.”
Chris Kronenberger, managing director at Blue Moon, added, “We appreciate PGIM and Fannie Mae’s continued support. They were able to navigate a complex transaction while meeting the timeframe needed to arrange the loan.”