Brookdale Refinances Credit Facility Assets with Freddie Mac Mortgage Loans
NASHVILLE, Tenn. , Sept. 2, 2020 /PRNewswire/ -- Brookdale Senior Living Inc. (NYSE:BKD) ("Brookdale" or "the Company") announced that it recently completed a significant financing transaction. On August 31, 2020 , Brookdale secured $267 million of non-recourse mortgage debt and terminated its $250 million revolving credit facility.
The Company obtained $267 million of ten-year mortgage financing from Capital One, National Association pursuant to Freddie Mac's Capital Markets Execution Program. The financing includes $191 million of 2.89 percent fixed rate notes and $76 million of adjustable rate notes with an initial rate of 2.64 percent. The first priority mortgages were secured by 16 senior living communities, most of which had previously secured Brookdale's revolving credit facility. At the closing, the Company repaid the outstanding principal amount and cash collateralized letters of credit outstanding on the credit facility without payment of any termination fee or penalty.
Steven Swain , Brookdale's Executive Vice President and Chief Financial Officer, said, "We are pleased to continue enhancing our financial flexibility. We have now executed on our previously disclosed plan to refinance the assets securing our credit facility with non-recourse, long-term mortgages at an attractive initial weighted average loan rate of 2.82 percent. After refinancing the credit facility assets, this transaction maintains our liquidity level while extending maturities. We would like to thank Capital One and Freddie Mac for their continued partnership."
About Brookdale Senior Living
Brookdale Senior Living Inc. is the leading operator of senior living communities throughout the United States . The Company is committed to providing senior living solutions primarily within properties that are designed, purpose-built, and operated to provide the highest-quality service, care, and living accommodations for residents. Brookdale operates and manages independent living, assisted living, memory care, and continuing care retirement communities, with 737 communities in 44 states and the ability to serve approximately 65,000 residents as of June 30, 2020 . The Company also offers a range of home health, hospice, and outpatient therapy services to over 17,000 patients as of that date. Brookdale's stock is traded on the New York Stock Exchange under the ticker symbol BKD.
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SOURCE Brookdale Senior Living Inc.