American Trust Corporation

Fannie Mae Seniors' Housing Project

Loan Amounts: $2,000,000 and higher

Eligible Properties:
Independent Living (properties with meals and other services for the active adult).
Assisted Living (generally licensed, depending upon state).
Alzheimer’s units permitted in Assisted Living properties.
Small skilled nursing component now permitted under pilot program.
Properties that house up to 20% Medicaid-eligible residents in states with provisions in their State Medicaid Plan (or that have a Medicaid waiver from the federal government) allowing for financial assistance to Medicaid-eligible residents living in assisted living facilities will be considered on a case-by-case basis.
All properties must be 90% occupied for the preceding 24 consecutive months. Exceptions may be allowed on a case-by-case basis.
Buildings must be fully protected by fire sprinklers (both common areas and units).

Sponsor Characteristics:
Track Record – Minimum 5 years of experience owning comparable properties. It is expected that sponsors demonstrate a solid background and level of expertise commensurate with the size, characteristics, and complexities of the subject property. Sponsor must own at least 5 seniors housing properties.

Financial Strength – Commensurate with loan size and overall risk level of transaction. Credit review of Sponsor and Manager must clearly reveal capitalization and profitability at levels that assure long-term viability.

Property Management – Minimum 5 years experience managing comparable properties. Must be underwritten with market rate fees with substantiation of evidence of qualified third party management availability with necessary experience and licensing with similar properties.

Term: Typically 10-year balloon maturities for Seniors Housing and 25 year fully amortizing maturities

Amortization: 25 years

Prepayment: Taxable mortgages are subject to defeasance, yield maintenance, or fixed percentage prepayment premiums except (in most cases) for the 90-day period immediately prior to maturity. Tax exempt mortgages have prepayment premiums based on a declining percentage. (Prepayment terms, yield maintenance requirements and prepayment premiums are specified by Fannie Mae and can vary by transaction and by mortgage term. Consult your American Trust Corporation representative for details.)

Loan To Value Ratios:
Maximum 75% - with taxable financing projects
Maximum 80% - with tax-exempt financing

Debt Coverage Ratios:
Independent Living - minimum 1.35 (variable rate tax-exempt 1.30) Independent Living with less than 50% Assisted Living - minimum 1.40 (variable rate tax exempt 1.35)
Properties with greater than 50% Assisted Living - minimum 1.45 (variable rate tax exempt 1.40)

Borrower: Single asset, single purpose entity

Pricing: Fees and interest rates are quoted daily. Contact American Trust Corporation for specific pricing.

Features:

Fixed or Adjustable rate available

Taxable or Tax-Exempt

Cash or MBS execution

Non-recourse, with the exception of standard carve-outs for Borrower’s inappropriate acts such as fraud and transfer without approval

Assumable, subject to Lender approval and applicable fees
Requirements:
Escrow accounts for insurance, real estate taxes, special assessments
Replacement reserve account
Repairs must be completed within 12 months of loan closing, if applicable

Tax Exempt Financing: For properties with tax-exempt bonds (whether 501(c)(3) or private activity) see “Tax-Exempt Bond Credit Enhancement” information sheets for more specifics and apply above cited Underwriting parameters.

Territory: Nationwide

In its pre-qualifying review, American Trust Corporation will attempt to estimate both the loan amount and the fees and costs associated with the transaction. Actual loan amounts and actual fees and expenses may vary from the pre-qualifying estimates. A pre-qualifying estimate is not a commitment to make a loan.

Application Fee: $2,500 non-refundable inspection/loan processing fee payable to American Trust Corporation with the loan application, will be credited to origination fee at closing. Includes funds for Architectural/ Engineering Report, Phase I Environmental Report, Appraisal Report, Market Specialist Report and Property Inspection. All third party reports must be contracted by American Trust Corporation.

Origination Fee: 1%

What We Do

Lending Programs

Property Types

Application Forms

Global Financing Solutions

Short Term Commercial

Float to Fixed

Small Loan Programs

Hard Money Loans

Credit Tenant Financing

Mezzanine

Multifamily

Office

Health Care Financing

Hotel & Resort Financing

Auto, Marine & Equipment Financing

Mobile Home Park

FHA & Fannie Mae Products

Self Storage

Retail

Industrial

SBA Programs

Factoring and Business Finance

Small and Rural Hospital Finance

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	Fannie Mae Seniors' Housing Project Loan Amounts: $2,000,000 and higher Eligible Properties: Independent Living (properties with meals and other services for the active adult). Assisted Living (generally licensed, depending upon state). Alzheimer’s units permitted in Assisted Living properties. Small skilled nursing component now permitted under pilot program. Properties that house up to 20% Medicaid-eligible residents in states with provisions in their State Medicaid Plan (or that have a Medicaid waiver from the federal government) allowing for financial assistance to Medicaid-eligible residents living in assisted living facilities will be considered on a case-by-case basis. All properties must be 90% occupied for the preceding 24 consecutive months. Exceptions may be allowed on a case-by-case basis. Buildings must be fully protected by fire sprinklers (both common areas and units). Sponsor Characteristics: Track Record – Minimum 5 years of experience owning comparable properties. It is expected that sponsors demonstrate a solid background and level of expertise commensurate with the size, characteristics, and complexities of the subject property. Sponsor must own at least 5 seniors housing properties. Financial Strength – Commensurate with loan size and overall risk level of transaction. Credit review of Sponsor and Manager must clearly reveal capitalization and profitability at levels that assure long-term viability. Property Management – Minimum 5 years experience managing comparable properties. Must be underwritten with market rate fees with substantiation of evidence of qualified third party management availability with necessary experience and licensing with similar properties. Term: Typically 10-year balloon maturities for Seniors Housing and 25 year fully amortizing maturities Amortization: 25 years Prepayment: Taxable mortgages are subject to defeasance, yield maintenance, or fixed percentage prepayment premiums except (in most cases) for the 90-day period immediately prior to maturity. Tax exempt mortgages have prepayment premiums based on a declining percentage. (Prepayment terms, yield maintenance requirements and prepayment premiums are specified by Fannie Mae and can vary by transaction and by mortgage term. Consult your American Trust Corporation representative for details.) Loan To Value Ratios: Maximum 75% - with taxable financing projects Maximum 80% - with tax-exempt financing Debt Coverage Ratios: Independent Living - minimum 1.35 (variable rate tax-exempt 1.30) Independent Living with less than 50% Assisted Living - minimum 1.40 (variable rate tax exempt 1.35) Properties with greater than 50% Assisted Living - minimum 1.45 (variable rate tax exempt 1.40) Borrower: Single asset, single purpose entity Pricing: Fees and interest rates are quoted daily. Contact American Trust Corporation for specific pricing. Features: Fixed or Adjustable rate available Taxable or Tax-Exempt Cash or MBS execution Non-recourse, with the exception of standard carve-outs for Borrower’s inappropriate acts such as fraud and transfer without approval Assumable, subject to Lender approval and applicable fees Requirements: Escrow accounts for insurance, real estate taxes, special assessments Replacement reserve account Repairs must be completed within 12 months of loan closing, if applicable Tax Exempt Financing: For properties with tax-exempt bonds (whether 501(c)(3) or private activity) see “Tax-Exempt Bond Credit Enhancement” information sheets for more specifics and apply above cited Underwriting parameters. Territory: Nationwide In its pre-qualifying review, American Trust Corporation will attempt to estimate both the loan amount and the fees and costs associated with the transaction. Actual loan amounts and actual fees and expenses may vary from the pre-qualifying estimates. A pre-qualifying estimate is not a commitment to make a loan. Application Fee: $2,500 non-refundable inspection/loan processing fee payable to American Trust Corporation with the loan application, will be credited to origination fee at closing. Includes funds for Architectural/ Engineering Report, Phase I Environmental Report, Appraisal Report, Market Specialist Report and Property Inspection. All third party reports must be contracted by American Trust Corporation. Origination Fee: 1%
		What We Do Lending Programs Property Types Application Forms

		Global Financing Solutions Short Term Commercial Float to Fixed Small Loan Programs Hard Money Loans Credit Tenant Financing Mezzanine Multifamily Office Health Care Financing Hotel & Resort Financing Auto, Marine & Equipment Financing Mobile Home Park FHA & Fannie Mae Products Self Storage Retail Industrial SBA Programs Factoring and Business Finance Small and Rural Hospital Finance


Privacy Policy