We help our clients navigate, comply with and leverage the HUD lending program so they can further their business interests by acquiring and selling facilities, refinancing at optimal rates, making improvements to their existing properties and undertaking new construction projects.

We help our clients navigate, comply with and leverage the HUD lending program so they can further their business interests by acquiring and selling facilities, refinancing at optimal rates, making improvements to their existing properties and undertaking new construction projects.

In the last five years alone, we have advised borrowers, lenders, master tenants and operators in the senior housing industry on HUD-insured loans throughout the United States with an aggregate value of approximately $900 million.

Key benefits of working with us include:

  • National capabilities. Regardless of the location of the properties in your transaction, we can assist you, thereby eliminating the need for you to retain and interact with multiple law firms.
     
  • Established track record in large, multi-property portfolio loans. We have the necessary legal, business and project management skills to simultaneously close multiple HUD loans for a single portfolio. We are particularly adept in closing HUD transactions that involve nuanced master lease structures, and are skilled in navigating differences in loan documents and loan terms that arise when a HUD borrower and its operator are affiliated.
     
  • In-depth understanding of HUD requirements for accounts receivable credit facilitiesWe can help you navigate HUD requirements for your accounts receivable credit facility, including working with your lender to establish a separate AR line for your HUD-insured properties and negotiating intercreditor agreements, deposit account control agreements and deposit account instruction and service agreements.
     
  • Transfer of Physical Assets (TPA) know-how. Should you desire to modify the ownership interests, operator or management agent of a HUD-insured property, we can determine if a TPA or modified TPA is required, and help you work through the process efficiently.
     
  • Strategic approach to Previous Participation Certificates (HUD-2530). We structure ownership in deals that advances your business objectives and complies with HUD guidelines, and advise on the disclosure requirements of the HUD-2530 Certificate.
  • Advised a senior health care company’s parent entity on a reorganization and capitalization. Subsidiaries of the senior health care company owned over 95 senior living facilities, of which over 20 were subject to HUD-insured mortgages in the approximate total amount of $210 million. The reorganization of the company’s parent entity required HUD consent from multiple HUD lenders for properties located in three states. Williams Mullen was engaged as special HUD counsel to obtain HUD consent, including the assumption of certain loan obligations by the new investors. Obtaining HUD consent was a prerequisite for the closing of the entire reorganization and recapitalization.
     
  • Represented a private equity firm in the HUD refinance of over 45 owned properties across four states totaling $400 million. The mortgage loans closed in several tranches over the second half of 2016.
     
  • Represented a provider of health care services in a portfolio transaction involving 10 skilled nursing facilities that it owned and operated in a master lease structure in 6 different states in the Midwest, Southwest and West with a total HUD loan value of approximately $68 million with the same closing date.
     
  • Represented a provider of health care services in a portfolio transaction involving 3 skilled nursing facilities that it owned and operated in a master lease structure in 2 different states in the Midwest with a total HUD loan value of over $9 million with the same closing date.
     
  • Represented a provider of health care services in a portfolio transaction involving 4 skilled nursing facilities that it owned and operated in a master lease structure in 3 different states in the Midwest and West with a total HUD loan value of over $41 million with the same closing date.
     
  • Represented a provider of health care services in a portfolio transaction involving 3 skilled nursing facilities that it owned and operated in a master lease structure in a Western state with a total HUD loan value of over $14 million with the same closing date.
     
  • Represented a provider of health care services in a portfolio transaction involving 5 skilled nursing facilities that it owned and operated in a master lease structure in 3 different states in the Northeast and Southeast with a total HUD loan value of over $47 million with the same closing date.
     
  • Represented a provider of health care services in a portfolio transaction involving 2 skilled nursing facilities that it owned and operated in a master lease structure in 2 different states in the West and Northeast with a total loan value of over $14 million with the same closing date.
     
  • Represented the master tenant and operators in connection with an unaffiliated landlord’s Section 232 HUD financing for 5 skilled nursing facilities in 4 different states in the West and Southwest with the same closing date.
     
  • Represented the master tenant and operators in connection with an unaffiliated landlord’s Section 232 HUD financing for 11 skilled nursing facilities in a Northeast state with the same closing date.
     
  • Represented the master tenant and operators in connection with an unaffiliated landlord’s Section 232 HUD financing for 3 skilled nursing facilities in a Northeast state with the same closing date.
     
  • Represent the master tenant and operators of 28 nursing facilities located in 8 states that are being refinanced by an unaffiliated landlord with HUD (currently in the application process). It is anticipated that these loans will close on a state-by-state basis.
     
  • Represent a provider of health services in a HUD refinancing involving 19 skilled nursing facilities that it owns and operates in 7 states (applications have been submitted and are under review with HUD). These facilities will become part of an existing master lease portfolio at closing.