CapitalSource buys 77 LTC facilities

Chevy Chase, Md.-based CapitalSource has completed sale leasebacktransactions for 77 long-term care facilities in 22 states, for $462million. The facilities are subject to triple-net leases with a nearly9.5-year weighted average term and are managed by 29 differentoperators.

The widespread purchase should strengthen thecompany’s standing in the healthcare and specialty financing market,one of three main focused lending businesses. The company alreadyfocuses a significant portion of its healthcare business on nursing andsenior living facilities.

CapitalSource is a specializedcommercial finance company that operates as a REIT. It offers a varietyof financing, including first mortgage, asset-based, and mezzaninefinancing. In addition to the healthcare market, the company also hasfocused lending businesses in the structured and corporate financemarkets, and a total of $11 billion in outstanding loan commitments.The company is traded on the NYSE, and was trading slightly up at $28early this afternoon.

Source:  Commercial Property Online, http://www.cpnonline.com/cpn/article_display.jsp?vnu_content_id=1003468016