Great Eastern Investments

Assisted Care Living Facility (ACLF) Property Program

For a current pricing matrix, complete our On-Line Form
Property Type: Assisted Care Living Facilities with private pay 70 units, or more, that have experienced ownership and management, good location, occupancy, and maintenance.
Loan Security: First fee mortgage encumbering completed projects along with customary assignments and pledges.
Loan Amount: $1,500,000 to $15,000,000 per property.
Term: Ten (10) Years.
Amortization: Twenty-five (25) years, or five (5) years less than the remaining life as determined by the Appraisal and Property Condition Report.
Maximum LTV: 70%
Minimum DSCR: 1.40:1
Recourse: Non-recourse, except for standard lender carve-outs which require 100% recourse.
Assumption: Permitted with the payment of an Assumption Fee, typically 1% plus legal expenses, and with Lender's credit approval.
Borrowing Entity: Single Asset/single purpose structure that is Bankruptcy Remote.
Documentation: Standard note and mortgage affidavits, and ancillary documents.
Rent Roll: Most recent detailed year end, trailing twelve months, and current ( not more than 30 days old ).
Replacement Reserves: Typically, minimum of $0.10 to $0.25 per square foot annually, or as scheduled in the Property Condition Assessment Report. Monthly escrow is required.
Tax & Insurance: Monthly escrow is required.
Vacancy: Economic minimum of 5%, actual, or market, whichever is greater. Minimum 85% average historical occupancy.
Operating Statements: Three years of historical operating statements, tax returns, and current year-to-date.
Survey: ALTA standard required and ordered by lender by an approved surveyor.
Title Insurance: ALTA standard with applicable riders. Lender orders title through First American Title Insurance Company.
Subordinate Financing: Typically, not permitted. Lender will consider prior approval with fully subordinated, non-foreclosable cash flow only.
Prepayment Penalty: Lockout for one-half of the loan term followed by full yield maintenance to term. No penalty if prepaid during the final 60 days of the term.
Application Fee: None.
Commitment Fee: Two percent (2%) of the loan amount, or $25,000, whichever is greater, is due and payable upon the lender's issuance of the Loan Commitment and the Borrower's acceptance. Such loan commitment fee shall be held in Lender's Escrow Account and is refundable less third party expenses for the property inspection, the MAI appraisal, the Property Condition Assessment Report, and Environmental Site Assessment Phase I, underwriting and processing costs, legal fees, and other costs customary to the loan transaction. The remaining balance shall be credited or refunded at the loan closing.
Third Party Reports: Includes Inspection, Environmental Site Assessment Phase I, Property Condition Assessment, and Appraisal. All Report s are ordered, controlled, and completed through consultants pre-approved and authorized by the Lender. Costs are, typically, in the $7,500 range, dependent upon the location and complexity of the property.
Legal: Typically range $5,000 to $7,500 dependent upon the complexity of the borrowing entity and property.
Interest Rates: Request the most current Pricing Matrix. Rate Buy-Downs are available.
ALL terms are subject to change.

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Great Eastern Investments, L.L.C.
Tel: 888-463-4422 Fax: 830-796-4774
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