LTC Invests $51 million for Refinance of Seniors Housing Campus in Upscale Atlanta Area
February 21 2023 - 9:30AM
Business Wire
LTC Properties, Inc. (NYSE: LTC) a real estate investment
trust that primarily invests in seniors housing and health care
properties, today announced a $51.1 million investment in Corso
Atlanta by purchasing a participation in an existing mortgage loan.
The new loan will be used to pay off certain current banks and
LTC’s outstanding $7.5 million mezzanine loan, which was funded in
2019 for the community’s construction.
Corso Atlanta, located in the Buckhead area of Atlanta, is a
new, luxury 203-unit gated independent living, licensed assisted
living and memory care community owned and operated by an existing
LTC partner, an affiliate of Galerie Living. The rate on the new
senior mortgage loan, which matures in October 2024, is 7.50%, with
an IRR of 7.75%. LTC expects to record $3.4 million of interest
income from this mortgage loan during 2023, as well as $1.4 million
of additional interest during the 2023 first quarter related to the
exit IRR on the early payoff of its mezzanine loan scheduled to
mature on December 1, 2023.
“This latest transaction builds nicely on the $128 million
investment we completed earlier this year. In 2023 to date, we have
already eclipsed our total investment activity from last year, and
we expect to continue identifying new opportunities to bring
additional value to our stakeholders,” said Wendy Simpson, LTC’s
Chairman and CEO. “Importantly, this increased investment in Corso
Atlanta also builds on our successful relationship with Galerie
Living, an innovative developer, owner and operator of
sophisticated seniors housing communities. Corso Atlanta is billed
as Atlanta’s most luxurious senior living community, and based on
our experience, it lives up to that billing.”
“LTC has been a great partner to us since 2019, and we are happy
to be expanding our relationship with them,” said Tim Gary, Founder
and CEO of Galerie Living. “By recapitalizing Corso Atlanta, one of
our flagship communities, we’ll be better positioned to continue
our growth by providing residents with improved access to top-notch
accommodations and services, underpinned by our four key values:
happiness, excellence, innovation and dignity.”
About LTC Properties
LTC is a real estate investment trust (REIT) investing in
seniors housing and health care properties primarily through
sale-leasebacks, mortgage financing, joint-ventures and structured
finance solutions including preferred equity and mezzanine lending.
LTC’s investment portfolio includes 215 properties in 29 states
with 31 operating partners. Based on its gross real estate
investments, LTC’s investment portfolio is comprised of
approximately 50% seniors housing and 50% skilled nursing
properties. Learn more at www.LTCreit.com.
This press release includes statements that are not purely
historical and are “forward-looking statements” within the meaning
of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended,
including statements regarding the Company’s expectations, beliefs,
intentions or strategies regarding the future. All statements other
than historical facts contained in this press release are forward
looking statements. These forward-looking statements involve a
number of risks and uncertainties. All forward looking statements
included in this press release are based on information available
to the Company on the date hereof, and the Company assumes no
obligation to update such forward looking statements. Although the
Company’s management believes that the assumptions and expectations
reflected in such forward-looking statements are reasonable, no
assurance can be given that such expectations will prove to have
been correct. The actual results achieved by the Company may differ
materially from any forward-looking statements due to the risks and
uncertainties of such statements.
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Mandi Hogan (805) 981-8655
LTC Properties (NYSE:LTC)
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