Using HUD’s Lean Program, Sims Mortgage Funding Closes $17,000,000 FHA-Insured Loan

In January 2010 Sims Mortgage Funding, Inc. (SMF) closed a $17,016,100 FHA-insured loan for the Delaire Nursing and Rehabilitation Center, a 280 bed healthcare and assisted living facility in Linden, NJ. Proceeds from the new loan were used to prepay the project’s existing FHA-insured loan, which SMF originated in 2002 in connection with the borrower’s acquisition of the facility. The refinance loan was insured under the Section 223(a)(7) program and was funded with taxable GNMA mortgage backed securities at an interest rate of 4.48% and a 35-year maturity. The application for mortgage insurance was processed under the LEAN program; from submission to HUD approval to closing took 122 days.

$89.895 Million Non-Rated Expansion Financing for Whitney Center

Herbert J. Sims & Co., Inc. closed an $89.895 million non-rated, fixed-rate, tax-exempt bond issue for the Whitney Center expansion project in Hamden, Connecticut. Whitney Center is a continuing care retirement community. It currently includes 170 residential living and seven assisted living units located in a six-story building and 59 skilled nursing beds located in a one-story building. The proceeds of the Series 2009 issue will finance the first phase of Whitney Center’s Renaissance Project, which includes the construction of a seven-story building containing 87 new independent living apartments, cultural arts center, library, salon and spa, a separate parking garage and renovations to existing common areas. Several existing units and beds will be taken out of service. The unit configuration, after completion of the first phase of the Renaissance Project, will include 251 residential living apartments, 7 assisted living units and 57 skilled nursing beds. The second phase of the Renaissance Project will include the construction of a new (replacement) health- care center with 24 skilled nursing beds, 24 memory support private rooms and 32 assisted living units.

Sims Underwrites California Fixed-Rate CCRC Bond Issue

Sims closed the $46.5 million expansion and repositioning transaction for Atherton Baptist Homes ("Atherton") on January 28, 2010. The transaction included $43.9 million of tax-exempt, fixed-rate bonds and $14.6 million of Sims Entrance Fee Principal Redemption Bonds. The bonds were issued through the City of Alhambra, CA and rated 'BB' by Fitch.

The Courtyard at Atherton - Alhambra, CA

Atherton is a California non-profit corporation that has provided care and services to seniors since 1914. It owns and operates a stand-alone continuing care campus consisting of four levels of care on approximately 15 acres located in Alhambra, CA — 170 independent living units, 38 assisted living units (including memory support) and 99 bed skilled beds. The campus includes numerous buildings and single-family structures; it reflects the character of a residential neighborhood developed over generations rather than a master planned campus.