Walker & Dunlop, Inc. (NYSE: WD) announced today it closed a $39,691,900 loan for Plaza at Pearl City in Honolulu, Hawaii for repeat borrower, MW Group, LTD.
Managing Directors, Keith Melton and David Strange and Vice President, Russell Dey led the Walker & Dunlop team. This mortgage was structured as a 40-year, non-recourse, fixed rate, permanent loan by using the U.S. Department of Housing and Urban Development (HUD)’s Section 232 Insurance Upon Completion loan program, a variation of the HUD 232 New Construction Program for healthcare facilities.
Mr. Dey commented, “This transaction enabled MW Group to take advantage of the lower conventional rates during construction while ensuring a long-term fixed rate, permanent loan post construction. HUD’s Insurance Upon Completion program afforded immediate access to post-construction financing without the typical HUD three year operational requisite. This loan demonstrates Walker & Dunlop’s ability to find creative capital solutions for our clients.”
Chief Executive Officer of MW Group, Steve Metter, stated, “We appreciated Walker & Dunlop’s efficiency, professionalism, and pricing in the execution of two recently closed HUD transactions totaling over $76,700,000.”
Plaza at Pearl City is a licensed 158-bed, mid-rise, independent living, assisted living, memory care, and short-term respite care facility overlooking Pearl Harbor with a mix of private and companion occupancy suites. Common area amenities include a coffee bistro, game/gathering room equipped with billiards table and card tables, large living room, fitness and therapy room, movie theatre, hair salon, computer lab, library, activity room, and an outdoor courtyard with sitting areas. Some of the many facility services include gourmet restaurant-style dining offered three times a day, a full schedule of activities and wellness programs, weekly house cleaning, linen and laundry services, and ground transportation via the facility’s shuttle van. The facility is located behind the Pearl Highlands Shopping Center and provides residents views of Oahu’s Southern coast as well as convenient access to a variety of dining, shopping, and entertainment, all within a few minutes from the property.
Recently, Walker & Dunlop also closed a $37,037,700 HUD/FHA 232 223(a)(7) loan earlier in the year with MW Group, LTD., for Plaza at Monalua, a 122-unit assisted living facility in Honolulu, Hawaii.