Greystone, a leading national commercial real estate finance company, has provided a $17.2 million HUD-insured loan to refinance a 103-unit skilled nursing facility in Tucson, Arizona. The financing was originated by Eric Rosenstock, Managing Director in Greystone’s New York office, on behalf of Eli Atkin & Shua Seif of Sapphire Estates Properties LLC.

The $17,181,200 HUD-insured Section 223(a)(7) financing carries a new 40-year term along with a low, fixed interest rate, creating true cash flow upside, given the debt service savings. Located in Pima County, Sapphire Estates Rehab Centre consists of comprehensive skilled nursing services, as well as physical, occupational and speech therapy. The property, built in 2016, offers amenities for residents including a fitness center, spacious dining areas, and outdoor recreational activities.

“This asset is a shining example of the type of facility the skilled nursing sector needs and demands for the modern resident,” said Mr. Rosenstock. “It’s always a pleasure to be able to help clients get the benefits of HUD-insured financing, and with today’s still-fairly low rates, it’s absolutely a smart move to restructure their capital stacks to a more cost-efficient position.”

“Arizona has been greatly impacted by the pandemic, and it’s been our duty to keep residents safe. Since Sapphire Estates is their home, we want to ensure it is continually invested in and upgraded, and this low-rate financing will enable us to do that,” said Mr. Shua Seif, CEO of Sapphire Estates. “Eric Rosenstock’s assistance with this HUD financing has been integral to our long-term plan for Sapphire Estates, and we thank him for his continued guidance.”