Cambridge Realty Capital Companies presents:
HUD 232 LEAN Financing – A Primer
HUD Nursing Home and Assisted Living
Financing…Answers To All Your
Questions…And Many Questions You Never
Thought To Ask!
(1) First Horizon National Corporation reported a net loss of $35 million in Q3 2009, an improvement from a $105 million net loss in Q2 2009. (2) Noninterest income increased 7% quarter-over-quarter due to debt repurchase gains, while noninterest expense decreased 13% due to lower restructuring charges. (3) The provision for loan losses decreased 29% from $260 million to $185 million as credit quality stabilized.
This document provides an overview of a growth company in the home building industry. It highlights the company's strong financial performance over the last decade including 11 consecutive years of record earnings. It also emphasizes the company's growth potential through expanding its community count and large land holdings. Finally, it discusses the company's diversification into new product lines and geographic markets which will drive continued growth.
1) ADN Capital Ventures provides financial advisory services for infrastructure projects in transportation, energy, and related sectors internationally.
2) Led by experienced investment bankers and finance professionals, ADN focuses on optimizing clients' financial and commercial objectives as an independent advisor.
3) Services include strategic advisory, project development, public-private partnerships, concessions, and capital raising across various infrastructure projects globally.
Augmented reality (AR) overlays digital information on the real world. AR is used in smartphone apps and devices like Google Glass. Car companies are now applying AR to vehicles by using heads-up displays or windshield overlays to project useful information like directions, vehicle speed, or hazards. Concepts include highlighting points of interest, marking road edges in fog, or making rear windows transparent while reversing. However, AR displays in vehicles must be designed carefully to avoid distracting the driver's vision of the road.
Decision Forest: Twenty Years of ResearchLior Rokach
A decision tree is a predictive model that recursively partitions the covariate's space into subspaces such that each subspace constitutes a basis for a different prediction function. Decision trees can be used for various learning tasks including classification, regression and survival analysis. Due to their unique benefits, decision trees have become one of the most powerful and popular approaches in data science. Decision forest aims to improve the predictive performance of a single decision tree by training multiple trees and combining their predictions.
As the complexity of choosing optimised and task specific steps and ML models is often beyond non-experts, the rapid growth of machine learning applications has created a demand for off-the-shelf machine learning methods that can be used easily and without expert knowledge. We call the resulting research area that targets progressive automation of machine learning AutoML.
Although it focuses on end users without expert knowledge, AutoML also offers new tools to machine learning experts, for example to:
1. Perform architecture search over deep representations
2. Analyse the importance of hyperparameters.
Heads Up Display : A smart navigation systemMphasis
The document describes a proposed heads-up display project that would show real-time navigation and traffic conditions on a car's windshield. It would use a transparent OLED display mounted on the windshield and connected wirelessly to the internet. A camera mounted on the front of the car would take real-time images that a processor would analyze to display navigation directions, speed limits, and the speed of vehicles ahead, helping to prevent accidents. The display technology allows it to take the shape of the windshield and is more efficient than LED or LCD displays.
(1) First Horizon National Corporation reported a net loss of $35 million in Q3 2009, an improvement from a $105 million net loss in Q2 2009. (2) Noninterest income increased 7% quarter-over-quarter due to debt repurchase gains, while noninterest expense decreased 13% due to lower restructuring charges. (3) The provision for loan losses decreased 29% from $260 million to $185 million as credit quality stabilized.
This document provides an overview of a growth company in the home building industry. It highlights the company's strong financial performance over the last decade including 11 consecutive years of record earnings. It also emphasizes the company's growth potential through expanding its community count and large land holdings. Finally, it discusses the company's diversification into new product lines and geographic markets which will drive continued growth.
1) ADN Capital Ventures provides financial advisory services for infrastructure projects in transportation, energy, and related sectors internationally.
2) Led by experienced investment bankers and finance professionals, ADN focuses on optimizing clients' financial and commercial objectives as an independent advisor.
3) Services include strategic advisory, project development, public-private partnerships, concessions, and capital raising across various infrastructure projects globally.
Augmented reality (AR) overlays digital information on the real world. AR is used in smartphone apps and devices like Google Glass. Car companies are now applying AR to vehicles by using heads-up displays or windshield overlays to project useful information like directions, vehicle speed, or hazards. Concepts include highlighting points of interest, marking road edges in fog, or making rear windows transparent while reversing. However, AR displays in vehicles must be designed carefully to avoid distracting the driver's vision of the road.
Decision Forest: Twenty Years of ResearchLior Rokach
A decision tree is a predictive model that recursively partitions the covariate's space into subspaces such that each subspace constitutes a basis for a different prediction function. Decision trees can be used for various learning tasks including classification, regression and survival analysis. Due to their unique benefits, decision trees have become one of the most powerful and popular approaches in data science. Decision forest aims to improve the predictive performance of a single decision tree by training multiple trees and combining their predictions.
As the complexity of choosing optimised and task specific steps and ML models is often beyond non-experts, the rapid growth of machine learning applications has created a demand for off-the-shelf machine learning methods that can be used easily and without expert knowledge. We call the resulting research area that targets progressive automation of machine learning AutoML.
Although it focuses on end users without expert knowledge, AutoML also offers new tools to machine learning experts, for example to:
1. Perform architecture search over deep representations
2. Analyse the importance of hyperparameters.
Heads Up Display : A smart navigation systemMphasis
The document describes a proposed heads-up display project that would show real-time navigation and traffic conditions on a car's windshield. It would use a transparent OLED display mounted on the windshield and connected wirelessly to the internet. A camera mounted on the front of the car would take real-time images that a processor would analyze to display navigation directions, speed limits, and the speed of vehicles ahead, helping to prevent accidents. The display technology allows it to take the shape of the windshield and is more efficient than LED or LCD displays.
This document discusses the HUD Section 232 mortgage insurance program, which provides financing for nursing homes, assisted living facilities, and other healthcare properties. It covers eligible project and lending types, financing amounts up to 90% of costs, required third-party reports, and the multi-step application and approval process involving initial discussions with HUD, submitting a formal application, and finalizing financing terms before closing. The program aims to facilitate affordable, long-term financing for healthcare facilities.
The document discusses Google's driverless car project. It describes how the car uses sensors like LIDAR and video cameras along with Google Maps and artificial intelligence software to navigate roads safely without human intervention. The AI analyzes sensor data to determine speed, steering, and navigation. Google has tested the technology extensively, logging over 140,000 miles. The conclusion suggests driverless vehicles could be commercially available within 5 years.
Machine learning involves developing systems that can learn from data and experience. The document discusses several machine learning techniques including decision tree learning, rule induction, case-based reasoning, supervised and unsupervised learning. It also covers representations, learners, critics and applications of machine learning such as improving search engines and developing intelligent tutoring systems.
Google has been working on driverless car technology since 2005 through a formal team of 15 engineers starting in 2010. While driverless cars are still illegal in most states, Nevada was the first to pass a law allowing operation of driverless cars in 2011. Google has received the first and only license to operate a modified Prius without a driver in Nevada. The technologies behind Google's driverless car include laser sensors, radar sensors, GPS, and cameras which work together to map surroundings with no blind spots. Some benefits include reduction in car accidents, optimal speed control, more efficient use of highways, increased productivity for passengers, and saving of parking space. However, challenges remain around costs, regulations, impacts on industries, and social acceptance of
This document provides an introduction to machine learning, including:
- It discusses how the human brain learns to classify images and how machine learning systems are programmed to perform similar tasks.
- It provides an example of image classification using machine learning and discusses how machines are trained on sample data and then used to classify new queries.
- It outlines some common applications of machine learning in areas like banking, biomedicine, and computer/internet applications. It also discusses popular machine learning algorithms like Bayes networks, artificial neural networks, PCA, SVM classification, and K-means clustering.
A short presentation for beginners on Introduction of Machine Learning, What it is, how it works, what all are the popular Machine Learning techniques and learning models (supervised, unsupervised, semi-supervised, reinforcement learning) and how they works with various Industry use-cases and popular examples.
Here are the key calculations:
1) Probability that persons p and q will be at the same hotel on a given day d is 1/100 × 1/100 × 10-5 = 10-9, since there are 100 hotels and each person stays in a hotel with probability 10-5 on any given day.
2) Probability that p and q will be at the same hotel on given days d1 and d2 is (10-9) × (10-9) = 10-18, since the events are independent.
Background subtraction is a technique used to separate foreground objects from backgrounds in video frames. It works by comparing each frame to a background model and detecting differences which indicate moving foreground objects. Recursive techniques like mixtures of Gaussians model the background pixel values over time using multiple Gaussian distributions, allowing the background model to adapt to changing lighting conditions. Adaptive background/foreground detection uses a background model that evolves over time to distinguish foreground objects from the background in a robust way.
Presentation on driverless cars by shahin hussan Shahinhussan
This document discusses driverless car technologies including how cars will detect traffic lights using light sensors, technologies that enable fully autonomous systems like ABS and electronic stability control, and how vehicles will be controlled. It also covers cruise control, night vision, lane departure warning, adaptive high beams, self-parking, rear cameras, and automated guided vehicle systems. The goal of driverless cars is to reduce accidents by taking on driving tasks and allowing occupants to rest or focus on other things.
Cambridge Realty Capital Companies CEO Jeff Davis speaks at the Wisconsin Assisted Living
CEO Roundtable Discussions.
Follow him on Twitter: @jdaviscambridge
Key Bankruptcy Considerations Heading into a RecessionQuarles & Brady
This document summarizes key bankruptcy considerations for businesses heading into an economic recession. It discusses the general benefits and hurdles of Chapter 11 bankruptcy, how the pre-COVID-19 bankruptcy climate differed from the current post-COVID-19 environment, tools available to creditors, and changes brought by the Small Business Reorganization Act (SBRA). The document also provides an example of how real estate valuations and debt restructuring may differ pre- versus post-COVID-19 for businesses like hotels filing for bankruptcy.
This document provides a summary of BI&P's results for the 2nd quarter of 2012. Key highlights include:
- Loan portfolio grew 1.7% in the quarter and 33.1% over 12 months, reaching R$2.8 billion, with continued focus on corporate clients.
- Credit quality improved, with higher rated loans increasing to 79% of the portfolio. Non-performing loans fell to 2.6% of the portfolio.
- Net interest margin increased to 5.3% and efficiency ratio improved to 65.1%, though net profits were still impacted by legacy loans.
- Capital and liquidity remained strong with a Tier 1 Basel ratio of 17% and leverage of 4.
Clark Street Capital provides portfolio management solutions and operates a loan sale platform to help banks resolve troubled commercial real estate loans. The company analyzes loan portfolios, provides valuations, and markets loans to institutional buyers. While the bid-ask spread remains wide, commercial mortgage backed securities are returning and life insurance companies and regional banks have increased lending activity, though at lower loan-to-value ratios. Recovery rates on defaulted loans liquidated in 2009 averaged 59% before costs, though dropped in the fourth quarter. Regulators encourage loan workouts over foreclosure and may impose new commercial real estate concentration limits on banks.
Cracking the Vault: Challenges & Obstacles in Acquisition of Banks’ Real Estate Assets by Jon Winick, President, Clark Street Capital. Presented at GreenPearl Events' Distressed Real Estate Summit Chicago on May 13, 2010.
Neil Barr has over 35 years of experience in the New Zealand property industry. He has held several director and trustee positions. Some of his past projects include conducting due diligence for property purchases, strategic planning for the Royal New Zealand Navy's property portfolio, managing the divestment of Lion Nathan's hotel properties, and rationalizing Freightways Group's leased properties. He has experience working on receivership briefs for the Bank of New Zealand and divestment/development projects for companies like Woolworths.
Redevelopment Authority Economic Impact in City of CincinnatiThe Port
The Greater Cincinnati Redevelopment Authority joined Regional Economic Development Partners REDI Cincinnati and the Cincinnati USA Regional Chamber of Commerce to share the Economic State of the City with the Economic Growth & Zoning Committee of City of Cincinnati City Council.
The document is a program for the Multifamily Summit: Washington DC event being held on May 17, 2012. It includes an opening remarks and economic forecast session, followed by two concurrent tracks of sessions on topics such as multifamily financing, new developments, value-add strategies, affordable housing, and innovations in property management. There will also be networking breaks and a lunch with exhibits. Notable speakers include Victor Hoskins, Deputy Mayor for Planning and Economic Development for DC, and professionals from companies such as Cassidy Turley, Greystar, Equity Residential, and WinnDevelopment.
- Integrated Electrical Services (IES) is a $1.1 billion electrical contracting and maintenance services provider undergoing an operational turnaround due to past issues with project management and a difficult surety bonding environment.
- IES is highly leveraged with an adjusted net leverage ratio of 21.6x due to acquisitions, raising liquidity concerns. Near-term liquidity appears sufficient but future divestitures may be difficult and less financially productive.
- Risks include reduced surety bonding capacity, declining revenues, potential covenant defaults, management turnover, and a troubled industry recovery in bankruptcy. The report initiates coverage with a SELL recommendation on IES's senior subordinated notes.
Flake & Kelley Commercial provides commercial real estate services including property management, tenant representation, development management, investment sales, and consulting services. They manage over 4 million square feet of office, medical, retail, and warehouse space. Some of their major clients include TJ Maxx, Panera Bread, AT&T, and Regency Beauty College. They have experience in representing clients, developing properties, and managing a variety of commercial real estate types.
A Quantitative Analysis of the Repurchase of Stock between Quebecor and the C...malmn
On October 3rd of 2012, Québecor Inc. and the Caisse de dépôt et placement du Québec (CDP) reached an agreement on the partial sale of the CDP’s interest in Quebecor Media Inc. (QMI). Québecor will purchase a total of 30.5 million shares valued at $1.5 billion.
The purpose of this study is to analyze the quantitative and qualitative aspects of the CDP’s reduction in ownership of QMI, including the motives and non-financial considerations behind the deal. In addition, this paper will seek to determine if fair value was realized and validate or disprove the National Post’s analysts’ claim that this “pegs the Value of QMI at about $6-billion, representing a 20% premium”.
Rubik provides banking technology and services to financial institutions. It aims to lower costs for its clients by 30% through its integrated "Bank-in-a-Box" platform. Rubik has acquired several businesses, integrated their products, and manages products for over 250 clients. Its long term goal is to provide "frictionless banking" through lower costs and by serving 75% of Australian and New Zealand financial institutions.
This document discusses the HUD Section 232 mortgage insurance program, which provides financing for nursing homes, assisted living facilities, and other healthcare properties. It covers eligible project and lending types, financing amounts up to 90% of costs, required third-party reports, and the multi-step application and approval process involving initial discussions with HUD, submitting a formal application, and finalizing financing terms before closing. The program aims to facilitate affordable, long-term financing for healthcare facilities.
The document discusses Google's driverless car project. It describes how the car uses sensors like LIDAR and video cameras along with Google Maps and artificial intelligence software to navigate roads safely without human intervention. The AI analyzes sensor data to determine speed, steering, and navigation. Google has tested the technology extensively, logging over 140,000 miles. The conclusion suggests driverless vehicles could be commercially available within 5 years.
Machine learning involves developing systems that can learn from data and experience. The document discusses several machine learning techniques including decision tree learning, rule induction, case-based reasoning, supervised and unsupervised learning. It also covers representations, learners, critics and applications of machine learning such as improving search engines and developing intelligent tutoring systems.
Google has been working on driverless car technology since 2005 through a formal team of 15 engineers starting in 2010. While driverless cars are still illegal in most states, Nevada was the first to pass a law allowing operation of driverless cars in 2011. Google has received the first and only license to operate a modified Prius without a driver in Nevada. The technologies behind Google's driverless car include laser sensors, radar sensors, GPS, and cameras which work together to map surroundings with no blind spots. Some benefits include reduction in car accidents, optimal speed control, more efficient use of highways, increased productivity for passengers, and saving of parking space. However, challenges remain around costs, regulations, impacts on industries, and social acceptance of
This document provides an introduction to machine learning, including:
- It discusses how the human brain learns to classify images and how machine learning systems are programmed to perform similar tasks.
- It provides an example of image classification using machine learning and discusses how machines are trained on sample data and then used to classify new queries.
- It outlines some common applications of machine learning in areas like banking, biomedicine, and computer/internet applications. It also discusses popular machine learning algorithms like Bayes networks, artificial neural networks, PCA, SVM classification, and K-means clustering.
A short presentation for beginners on Introduction of Machine Learning, What it is, how it works, what all are the popular Machine Learning techniques and learning models (supervised, unsupervised, semi-supervised, reinforcement learning) and how they works with various Industry use-cases and popular examples.
Here are the key calculations:
1) Probability that persons p and q will be at the same hotel on a given day d is 1/100 × 1/100 × 10-5 = 10-9, since there are 100 hotels and each person stays in a hotel with probability 10-5 on any given day.
2) Probability that p and q will be at the same hotel on given days d1 and d2 is (10-9) × (10-9) = 10-18, since the events are independent.
Background subtraction is a technique used to separate foreground objects from backgrounds in video frames. It works by comparing each frame to a background model and detecting differences which indicate moving foreground objects. Recursive techniques like mixtures of Gaussians model the background pixel values over time using multiple Gaussian distributions, allowing the background model to adapt to changing lighting conditions. Adaptive background/foreground detection uses a background model that evolves over time to distinguish foreground objects from the background in a robust way.
Presentation on driverless cars by shahin hussan Shahinhussan
This document discusses driverless car technologies including how cars will detect traffic lights using light sensors, technologies that enable fully autonomous systems like ABS and electronic stability control, and how vehicles will be controlled. It also covers cruise control, night vision, lane departure warning, adaptive high beams, self-parking, rear cameras, and automated guided vehicle systems. The goal of driverless cars is to reduce accidents by taking on driving tasks and allowing occupants to rest or focus on other things.
Cambridge Realty Capital Companies CEO Jeff Davis speaks at the Wisconsin Assisted Living
CEO Roundtable Discussions.
Follow him on Twitter: @jdaviscambridge
Key Bankruptcy Considerations Heading into a RecessionQuarles & Brady
This document summarizes key bankruptcy considerations for businesses heading into an economic recession. It discusses the general benefits and hurdles of Chapter 11 bankruptcy, how the pre-COVID-19 bankruptcy climate differed from the current post-COVID-19 environment, tools available to creditors, and changes brought by the Small Business Reorganization Act (SBRA). The document also provides an example of how real estate valuations and debt restructuring may differ pre- versus post-COVID-19 for businesses like hotels filing for bankruptcy.
This document provides a summary of BI&P's results for the 2nd quarter of 2012. Key highlights include:
- Loan portfolio grew 1.7% in the quarter and 33.1% over 12 months, reaching R$2.8 billion, with continued focus on corporate clients.
- Credit quality improved, with higher rated loans increasing to 79% of the portfolio. Non-performing loans fell to 2.6% of the portfolio.
- Net interest margin increased to 5.3% and efficiency ratio improved to 65.1%, though net profits were still impacted by legacy loans.
- Capital and liquidity remained strong with a Tier 1 Basel ratio of 17% and leverage of 4.
Clark Street Capital provides portfolio management solutions and operates a loan sale platform to help banks resolve troubled commercial real estate loans. The company analyzes loan portfolios, provides valuations, and markets loans to institutional buyers. While the bid-ask spread remains wide, commercial mortgage backed securities are returning and life insurance companies and regional banks have increased lending activity, though at lower loan-to-value ratios. Recovery rates on defaulted loans liquidated in 2009 averaged 59% before costs, though dropped in the fourth quarter. Regulators encourage loan workouts over foreclosure and may impose new commercial real estate concentration limits on banks.
Cracking the Vault: Challenges & Obstacles in Acquisition of Banks’ Real Estate Assets by Jon Winick, President, Clark Street Capital. Presented at GreenPearl Events' Distressed Real Estate Summit Chicago on May 13, 2010.
Neil Barr has over 35 years of experience in the New Zealand property industry. He has held several director and trustee positions. Some of his past projects include conducting due diligence for property purchases, strategic planning for the Royal New Zealand Navy's property portfolio, managing the divestment of Lion Nathan's hotel properties, and rationalizing Freightways Group's leased properties. He has experience working on receivership briefs for the Bank of New Zealand and divestment/development projects for companies like Woolworths.
Redevelopment Authority Economic Impact in City of CincinnatiThe Port
The Greater Cincinnati Redevelopment Authority joined Regional Economic Development Partners REDI Cincinnati and the Cincinnati USA Regional Chamber of Commerce to share the Economic State of the City with the Economic Growth & Zoning Committee of City of Cincinnati City Council.
The document is a program for the Multifamily Summit: Washington DC event being held on May 17, 2012. It includes an opening remarks and economic forecast session, followed by two concurrent tracks of sessions on topics such as multifamily financing, new developments, value-add strategies, affordable housing, and innovations in property management. There will also be networking breaks and a lunch with exhibits. Notable speakers include Victor Hoskins, Deputy Mayor for Planning and Economic Development for DC, and professionals from companies such as Cassidy Turley, Greystar, Equity Residential, and WinnDevelopment.
- Integrated Electrical Services (IES) is a $1.1 billion electrical contracting and maintenance services provider undergoing an operational turnaround due to past issues with project management and a difficult surety bonding environment.
- IES is highly leveraged with an adjusted net leverage ratio of 21.6x due to acquisitions, raising liquidity concerns. Near-term liquidity appears sufficient but future divestitures may be difficult and less financially productive.
- Risks include reduced surety bonding capacity, declining revenues, potential covenant defaults, management turnover, and a troubled industry recovery in bankruptcy. The report initiates coverage with a SELL recommendation on IES's senior subordinated notes.
Flake & Kelley Commercial provides commercial real estate services including property management, tenant representation, development management, investment sales, and consulting services. They manage over 4 million square feet of office, medical, retail, and warehouse space. Some of their major clients include TJ Maxx, Panera Bread, AT&T, and Regency Beauty College. They have experience in representing clients, developing properties, and managing a variety of commercial real estate types.
A Quantitative Analysis of the Repurchase of Stock between Quebecor and the C...malmn
On October 3rd of 2012, Québecor Inc. and the Caisse de dépôt et placement du Québec (CDP) reached an agreement on the partial sale of the CDP’s interest in Quebecor Media Inc. (QMI). Québecor will purchase a total of 30.5 million shares valued at $1.5 billion.
The purpose of this study is to analyze the quantitative and qualitative aspects of the CDP’s reduction in ownership of QMI, including the motives and non-financial considerations behind the deal. In addition, this paper will seek to determine if fair value was realized and validate or disprove the National Post’s analysts’ claim that this “pegs the Value of QMI at about $6-billion, representing a 20% premium”.
Rubik provides banking technology and services to financial institutions. It aims to lower costs for its clients by 30% through its integrated "Bank-in-a-Box" platform. Rubik has acquired several businesses, integrated their products, and manages products for over 250 clients. Its long term goal is to provide "frictionless banking" through lower costs and by serving 75% of Australian and New Zealand financial institutions.
This document provides quarterly financial data for Citigroup, including:
- Consolidated financial summaries showing metrics like core income, net income, earnings per share, capital ratios, assets, and returns on equity.
- Segment net revenues and core income broken down by Citigroup's main business segments - Global Consumer, Global Corporate and Investment Bank, and Global Investment Management.
- More detailed financial results for the major businesses within Global Consumer like North America Cards, Mortgage Banking, and International.
- Supplemental financial details including consolidated statements of income, earnings analysis, loan delinquency amounts, and insurance investment portfolio information.
The document contains quarterly and year-to-
The document discusses a construction project called Liberty Gardens that received I-924 approval and has made 13 months of construction progress, outlines the financial structure of the project including a $120 million senior loan, $60 million from EB-5 investors, and $49.5 million from Lightstone equity, and provides details on the regional center and fund manager overseeing the EB-5 investment fund.
This document provides information about a residential development project called Liberty Gardens in Brooklyn, NY. It summarizes that Lightstone Group received $120 million in construction financing from Canyon Capital for 429 luxury rental apartments. It also outlines the EB-5 investment structure, which includes $60 million from foreign investors that will help fund the project in exchange for green cards. The development is expected to create over 1,500 jobs and be completed in 2016.
Citigroup reported financial results for the second quarter of 2000. Core income increased 21% compared to the second quarter of 1999 to $3.007 billion. Total revenues for the quarter were $16.373 billion, a 10% increase year-over-year. Most of Citigroup's business segments saw revenue and core income growth compared to the previous year. Global Consumer revenues were $7.473 billion, up 6% from the second quarter of 1999. Global Corporate and Investment Bank revenues were $7.855 billion, a 13% increase. Citigroup's preliminary Tier 1 capital ratio was 8.6% for the second quarter of 2000.
The document provides an overview of analyzing transactions in accounting. It discusses key concepts like the double-entry accounting system where every transaction has a debit and credit recorded, and how this is represented with T-accounts. It also shows how the basic accounting equation can be expanded to include the five main financial categories of assets, liabilities, equity, revenues and expenses. An example is then provided of recording business transactions for a sole proprietorship using double-entry accounting.
This document provides an offering for a net leased single tenant office building occupied by Home Depot in Irving, Texas. The 18,583 square foot building sits on 2.46 acres near major highways and is located within the master planned community of Las Colinas. Home Depot signed an 8 year lease in 2011 with three 10% rental escalations. The property offers a 7.5% capitalization rate and has strong investment highlights.
Millrock Resources Inc. is a premier project generator to the mining industry. Millrock identifies, packages, and operates large-scale projects for joint venture, thereby exposing its shareholders to the benefits of mineral discovery without the usual financial risk taken on by most exploration companies. The company is recognized as the premier generative explorer in Alaska, holds royalty interests in British Columbia, Canada and Sonora State, Mexico and is a significant shareholder of junior explorer ArcWest Exploration Inc. Funding for drilling at Millrock’s exploration projects is primarily provided by its joint venture partners. Business partners of Millrock have included some of the leading names in the mining industry: EMX Royalty, Centerra Gold, First Quantum, Teck, Kinross, Vale, Inmet, Altius, Riverside and PolarX.
2. Elemental Economics - Mineral demand.pdfNeal Brewster
After this second you should be able to: Explain the main determinants of demand for any mineral product, and their relative importance; recognise and explain how demand for any product is likely to change with economic activity; recognise and explain the roles of technology and relative prices in influencing demand; be able to explain the differences between the rates of growth of demand for different products.
5 Tips for Creating Standard Financial ReportsEasyReports
Well-crafted financial reports serve as vital tools for decision-making and transparency within an organization. By following the undermentioned tips, you can create standardized financial reports that effectively communicate your company's financial health and performance to stakeholders.
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby...Donc Test
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting, 8th Canadian Edition by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Ebook Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Pdf Solution Manual For Financial Accounting 8th Canadian Edition Pdf Download Stuvia Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Financial Accounting 8th Canadian Edition Ebook Download Stuvia Financial Accounting 8th Canadian Edition Pdf Financial Accounting 8th Canadian Edition Pdf Download Stuvia
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...AntoniaOwensDetwiler
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
STREETONOMICS: Exploring the Uncharted Territories of Informal Markets throug...sameer shah
Delve into the world of STREETONOMICS, where a team of 7 enthusiasts embarks on a journey to understand unorganized markets. By engaging with a coffee street vendor and crafting questionnaires, this project uncovers valuable insights into consumer behavior and market dynamics in informal settings."
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
Abhay Bhutada, the Managing Director of Poonawalla Fincorp Limited, is an accomplished leader with over 15 years of experience in commercial and retail lending. A Qualified Chartered Accountant, he has been pivotal in leveraging technology to enhance financial services. Starting his career at Bank of India, he later founded TAB Capital Limited and co-founded Poonawalla Finance Private Limited, emphasizing digital lending. Under his leadership, Poonawalla Fincorp achieved a 'AAA' credit rating, integrating acquisitions and emphasizing corporate governance. Actively involved in industry forums and CSR initiatives, Abhay has been recognized with awards like "Young Entrepreneur of India 2017" and "40 under 40 Most Influential Leader for 2020-21." Personally, he values mindfulness, enjoys gardening, yoga, and sees every day as an opportunity for growth and improvement.
The Rise of Generative AI in Finance: Reshaping the Industry with Synthetic DataChampak Jhagmag
In this presentation, we will explore the rise of generative AI in finance and its potential to reshape the industry. We will discuss how generative AI can be used to develop new products, combat fraud, and revolutionize risk management. Finally, we will address some of the ethical considerations and challenges associated with this powerful technology.
1. Cambridge Realty Capital Companies
presents
HUD 232 LEAN Financing – A Primer
HUD Nursing Home and Assisted Living
Financing…Answers To All Your
Questions…And Many Questions You Never
Thought To Ask!
June 2009
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 1
2. HUD 232 LEAN Financing – A Primer
HUD Nursing Home and Assisted Living Financing…Answers To All
Your Questions…And Many Questions You Never Thought To Ask!
Table of Contents
Description Slide #
Cover Page 1
Table of Contents 2
Cambridge Mission Statement 3
Cambridge Highlights 4
Recently Closed HUD Deals 5
1-Page Summary - 232/223(f) Refinance and Acquisition 6
1-Page Summary - 232 New Construction 7
Cambridge 8
Lean Basics 9
Underwriting & Due Diligence 10
Processing 11 - 12
Eligible Debt Explanation 13
Executive Summary - 232/223(F) Refinance Or Acquisition 14 -16
Executive Summary - 232 New Construction 17 -23
Disclaimer: This Cambridge financing or investment profile is designed to provide information regarding available real estate capital structures. The information provided herein is for preliminary review
purposes only, and is subject to errors, omissions, and changes, all without notice, or to be held accountable for any changes of this information. In particular, neither Cambridge Realty Capital Companies,
nor Cambridge Realty Capital, LLC, nor Cambridge Investment and Finance, LLC, nor Cambridge Realty Capital Ltd. of Illinois or any other affiliate makes any warranty or representation whether or not
the information presented will be applicable for the readers’ specific situation and the accuracy or completeness of the information provided. "Cambridge Realty Capital Companies®", "e-Pulse!®" and its
logos are registered trademarks of Cambridge Realty Capital, LLC.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 2
3. Cambridge Realty Capital Companies
Combining our vast industry knowledge and capital
markets expertise, we provide proven debt and
equity financing solutions to senior housing
owners, lenders, and investors via HUD Lean
financing and multiple capital structures and
resources.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 3
4. Cambridge Highlights
• Jeffrey A. Davis founded Cambridge Realty Capital in 1983, after becoming the youngest Senior Vice President at
Baird & Warner, Inc., a landmark Chicago real estate firm. During the 1980's, Cambridge provided financing for all
types of commercial real estate.
• In 1985, Andrew L. Erkes joined Cambridge from Percy Wilson Mortgage and Finance Group, bringing his expertise
in HUD-insured multifamily and healthcare transactions. Cambridge Realty Capital Ltd. of Illinois was formed to
focus on the origination, processing, underwriting and servicing of these government-insured loans.
• Cambridge’s executive team members have anywhere from 7 years to 20 years of experience in senior housing
finance and investment and are supported by an accomplished administrative team.
• Privately owned since our founding in 1983 as a commercial real estate investment banker, Cambridge today ranks as
one of the nation’s leading Senior Housing / Healthcare lenders and investors.
• Cambridge’s team has closed more than 300 senior housing and healthcare transactions totaling more than $2.75
billion since the 1990s, and is one of the country’s top HUD 232 FHA / LEAN lenders.
• Cambridge compliments its HUD lending role by offering an integrated debt / equity financing strategy that includes
direct property acquisitions and joint ventures; sale /lease-backs for clients; conventional financing; bridge loans, and
distressed debt acquisition. With many years of experience during up-and-down markets, Cambridge is well-situated
to solve the challenges of any market environment.
• Cambridge is the creator of The Signature Experience™, a four-step process designed to transform the traditional
capital provider / owner relationship and identify “ideal” capital solutions for worthy projects.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 4
5. Cambridge’s Recently Closed HUD Transactions
$15,930,000 Refinance Glenview Terrace Nursing Center May 2009
HUD-Insured 223 (a)(7) Glenview, IL
Skilled Care Nursing Facility
314 Beds
$4,274,000 Refinance Beaver Dam Nursing & Rehab Center April 2009
HUD-Insured 232/223(f) Beaver Dam, KY
Lean Skilled and Personal Care Facility
58 Skilled Care Beds
25 Personal Care Beds
$90,610,000 Refinance Granite Portfolio April 2009
HUD-Insured 232/223(f) 10 Immediate Care and Skilled Care
facilities in IL
1,488 Immediate Care Beds
65 Skilled Care Beds
$12,627,000 Purchase Hawthorne Inn of Danville August 2008
HUD-Insured 232/223(f) Danville, IL
64 Skilled Beds
76 Board and Care
$3,145,000 Refinance Willow Care Center July 2008
HUD-Insured 232/223(f) Hannibal, MO
111 Skilled Beds
$6,512,900 Construction/Refinance Pine Acres Care Center July 2008
HUD-Insured 232 DeKalb, IL
119 Skilled Beds
$24,262,400 Refinance Maple Point Senior Apartments June 2008
HUD-Insured 207/223(f) Chicago, IL
342 Units
$10,572,400 Construction/ Alden Wentworth May 2008
Substantial Rehabilitation/ Chicago, IL
Refinance 300 Skilled Beds
HUD – Insured 232
$7,267,500 Refinance Community Nursing and Rehabilitation March 2008
HUD-Insured 232/223(f) Center
Naperville, IL
153 Skilled Beds
$9,084,500 Refinance The Rehabilitation Centre of Beverly January 2008
HUD-Insured 232/223(f) Hills
Los Angeles, CA
150 Skilled Beds
$3,227,700 Refinance Sena Kean Manor December 2007
HUD-Insured 232/223(f) McKean, Pennsylvania
152 Skilled Beds
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 5
6. Senior Housing / Healthcare Lending HUD LEAN 232 Loan
Program for Refinance or Acquisition
LOAN AMOUNT: $2,500,000 to No Maximum
PROPERTY TYPES: Senior Housing / Long Term Care
Nursing Homes - Skilled and Intermediate Care
Assisted Living Facilities
Board and Care Facilities
Personal Care Homes
Behavioral Modification / Other
Behavioral Modification Centers
Psychiatric Hospitals
Juvenile Behavioral Facilities
Rehab Centers
TIMEFRAME: 60 – 90 days from engagement to close
GEOGRAPHIC
PREFERENCE: Nationwide
CURRENT RATES: Based upon current market rates
TERM AND
AMORTIZATION: 35 years
TYPES OF LOANS: Refinance without Rehabilitation
Refinance with Rehabilitation
Acquisition with Rehabilitation
Refinance existing FHA 232 Loan
Refinance with Expansion
HIGHLIGHTS: 85% loan-to-value for straight refinance without rehabilitation. (90% for not-for-profit). 80% LTV or less fast track review.
Conventional valuation approach using similar appraisal techniques as other lenders
1.18 minimum Debt Service Coverage (1.45 for skilled nursing; 1.30 for assisted living; or, 1.25 for independent or board and care
facilities or greater for fast track review)
Accounts Receivable financing permitted.
Up to 100% loan-to-cost for refinancing/rehabilitation.
Fully assumable.
No personal liability.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 6
7. LEAN Program Executive Summary 232 New Construction
TERMS Construction Loan: As Required ELIGIBLE PROJECTS
Permanent Loan: 40 Years •Skilled Care Facilities
•Intermediate Care Nursing Facilities
RATES Based upon current market conditions for •Sheltered Care or Personal Care Nursing Facilities
taxable financing. •Board and Care, Assisted Living, and Independent
Living Facilities
GUARANTEES: None, on either the Construction or •Psychiatric Facilities
Permanent Loan. •Rehab Hospitals
•Drug & Alcohol Centers
CHARACTERISTICS: The loan is fixed rate, •Other Special Purpose Facilities
nonrecourse, fully assumable, and •Note: A Certificate of Need or license is required for
prepayable with restrictions.
all nursing projects in Certificate of Need states.
PREVAILING WAGES: All construction workmen
must be paid prevailing wages pursuant ELIGIBLE SITUATIONS
to the Davis-Bacon Wage Act. •New construction
•Rehabilitation and expansion of an existing facility
AMORTIZATION: Based upon 40 years.
MAXIMUM MORTGAGE CRITERIA
THIRD PARTY REPORTS: To complete the •New construction and acquisition/rehabilitation
application, HUD requires several third projects are 90% loan-to-cost and 90% loan-to-value
party reports: mortgages.
• an independent appraisal; •Refinancing/rehabilitation mortgages may be 100%
• market feasibility report; loan-to-cost mortgages, provided that the loan-to-cost
• engineering report; mortgage is no greater than 90% of HUD's approved-
• environmental report; of value.
• credit report. These reports must be
consistent with HUD standards and
guidelines and will be paid for by the ANNUAL MORTGAGE INSURANCE
client. PREMIUM
0.50% payable annually to HUD.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 7
8. CAMBRIDGE & HUD LEAN
1. What steps is Cambridge taking to comply with new Lean requirements?
Cambridge’s HUD team is intimately involved with the new Lean processing and has been asked for recommendations on multiple key aspects of the
program.
2. How will Cambridge be impacted by the new HUD Lean process?
Cambridge expects the Lean process to have only a positive impact. Several examples include:
1. Ability to close deals in a shorter period of time. We can move from application to
closing in 40 days, compared with the previous four to six month timetable.
2. Electronic submission of applications. This will significantly reduce the time in which it
previously took our HUD team to assemble paper applications, allowing additional time
to be spent on new Lean applications.
3. Ability to strategize and formulate the Lean program.
4. Our expertise and knowledge of the senior housing lending and HUD lending process.
3. Did Cambridge have any rule or input in drafting the changes in Lean?
The OIHCF requested Cambridge’s team to make recommendations for improving Lean processing. Several recommendations that Cambridge’s team
made were:
1. Revise asset management procedures in order to expedite replacement reserve withdrawals.
2. Decrease frequency of financial statement reporting requirements.
3. Find an alternative for or eliminate REAC inspections. If REAC inspections cannot be eliminated, Cambridge recommended replacing
the system with a third-party monitor of state reporting, such as Life Safety reports.
4. Will Cambridge be effective with the new Lean process?
Cambridge will be very effective under the Lean process. With the introduction of the “Super Certifications” and clearly defined underwriting
requirements, Cambridge’s HUD team will be able to focus on processing and funding even more deals.
5. Does Cambridge foresee any negative aspects with the Lean Process?
We feel that the Lean processing only means good things for both borrowers and lenders. Paperwork requirements have been reduced, processing has
been made more efficient, and underwriting guidelines have been clearly defined.
6. Has Cambridge closed any deals under the Lean process?
The refinancing of the Beaver Dam Nursing & Rehab Center in Beaver Dam, KY is Cambridge's first closed Lean deal and we are currently
processing numerous Lean transactions.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 8
9. LEAN BASICS
1. What is HUD Lean? How was it developed?
Lean is the new processing system for all HUD 232/223(f) loans. The Lean system was developed when FHA Commissioner Brian Montgomery made
the decision to insert the highly touted “Lean” management concept pioneered by Toyota Motor Corp. into the HUD system of processing and
approving loan applications. The “Lean” management process is driven by a few simple rules: all work should be highly specified as to content,
sequences, timing and outcome, and every customer-supplier connection must be direct. Also, there needs to be an unambiguous “yes or no” way to
send requests and receive responses. The pathway for every product and service must be simple and direct, and any improvements must be made in
accordance with the scientific method under the guidance of a teacher at the lowest possible level in the organization. Lean is aimed to eliminate
historical inefficiencies in the processing and approval of HUD applications.
2. I hear the process will be more electronic. What does this mean?
HUD Lean lenders are now submitting applications electronically via Oracle Application Server Portal. This allows the application documents to be
more accessible to the HUD underwriting team and for processing to be expedited.
3. Can I get cash-out under Lean?
The same rules still apply under Lean as they did for MAP: cash-out is not available immediately to borrower. However, borrowers can receive
additional funds to make capital improvements to the facility be financed by HUD. Cash-out can be obtained in conjunction with a bridge loan after
24 months of seasoning.
4. Will my local HUD office still exist?
As of September 1, 2008, Multifamily Hubs and Program Centers are no longer accepting Section 232/223(f) applications.
5. What is OIHCF?
The Office of Insured Health Care Facilities (OIHCF) was created to oversee every HUD-insured healthcare facility financing that is funded. The
OIHCF is comprised of individuals that are healthcare industry professionals hailing from several discipline backgrounds, i.e. valuation, architectural,
mortgage credit, etc.
6. What property types work for HUD Lean?
HUD Lean primarily finances licensed senior housing and long-term care facilities. Licensed skilled nursing, assisted living, and board and care
facilities are eligible for HUD Lean 232/223(f) financing. Facilities containing unlicensed independent units are eligible, as long as the number of
these types of units is less than 25% of the total units in the facility.
7. How many deals are closed under the Lean process?
As of May 29, 2009, there have been 32 refinance deals, 1 construction deal, and 2 a(7) deals closed under the new HUD Lean program.
8. Will there be any additional HUD fees under Lean processing that were not applicable under MAP?
There are no additional fees under Lean processing, and all other HUD fees still apply to all 232/223 loans.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 9
10. UNDERWRITING & DUE DILIGENCE
1. Have the terms of the program changed under the Lean program? Are any other terms changing (LTV, DSCR, etc)?
HUD’s loan have not changed under the Lean program. Maximum loan-to-value remains at 85% for for-profit mortgagors and 90% for nonprofit
mortgagors. Minimum debt service requirements remain the same at 1.1765 for for-profit mortgagors and 1.11 for nonprofit mortgagors.
2. Are there any restrictions on the payor mix or vacancy rates?
For existing properties, there is no change in the way that a facilities payor mix or vacancy rate is underwritten. Both conclusions must be supported
by market data and the subject's operating history. The program still requires a minimum 5% vacancy and collection loss factor.
3. Will appraisers utilize actual management fee expense or standard market management fee, which is typically 5.0% of revenues?
According to the Appraisal Statement of Work, “A management fee must be included in the expenses for determining overall market value. It should
be supported by expense comparables with arm’s length management agreements.” Upward or downward adjustments can be made to the
management fee by the lender if it is justified and supported by market data. In cases where a management agent review is required, the management
fee approved by the Lender should be consistent with and supported by the market for similar types and sizes of facilities. In these cases, the
underwritten net operating income should reflect the higher of market and the contracted fee.
4. Does every deal get underwritten centrally in Washington D.C.?
No, all HUD deals are underwritten by HUD-approved Lean lenders. The underwriting is submitted to HUD as part of the application.
5. How is underwriting going to be changed?
The two major changes to HUD underwriting are:
1. Elimination of proprietary earnings adjustment. Lenders and appraisers no longer deduct proprietary earnings from a facility’s NOI.
2. Inclusion of Risk Analysis. The Lean underwriting is more focused on the operator. If the Risk Factors are identified, the lender
must provide sufficient justification / mitigation to support the additional risk associated with the loan. These risk factors are:
a. If the loan exceeds 80% of the underwritten value.
b. If the debt service coverage of the loan is less than (a) 1.45 for skilled nursing; (b) 1.30 for assisted living; or, (c) 1.25
for independent or board and care facilities.
6. FHA now accepts fair market value appraisals vs. FHA-specific appraisals. Does tjos reduce costs to borrower? Can I use my old appraisal under
Lean?
Expenses will not change for Lean appraisals. The same appraisal standards that applied under MAP apply under Lean. Also, a previous appraisal may
be used if it is a Lean-approved appraiser, and the date of valuation may not be more than 180 days prior to the date Lender makes application to
HUD/FHA.
7. Will the same due diligence process still apply (i.e. appraisal, Phase I, PCNA, etc.)?
HUD Lean projects still require the same third party reports.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 10
11. PROCESSING
1. How will Lean applications be submitted and reviewed?
Electronic applications are submitted to the OIHCF. Team members access the applications remotely via Oracle
platform. This creates a “virtual” office. All funding decisions will be made by the OIHCF.
2. How is the Lean process different from the existing MAP process?
The most significant improvements:
– Shorter timeline to close. Cambridge can process and fund a HUD Lean loan in 60-90 days.
– Improvements in underwriting. HUD Lean underwriters are specifically focused on and have experience with
senior housing and healthcare facilities.
– Simplified appraisal process. Fair market value appraisals are now acceptable.
– Elimination of proprietary earnings adjustment.
• Elimination of proprietary earnings adjustment will make HUD lending more user-friendly.
• HUD previously required proprietary earnings adjustment of 15% – 25% for skilled nursing and 10 – 15%
for assisted living. This adjustment was deducted from the NOI and could impact valuation.
3. How does the new Lean process affect construction projects? Is the construction program affected?
Effective March 1, 2009, all other Section 232 loans (including new construction, substantial rehabilitation,
supplemental loans, operating loss loans, and Section 223(a)(7) loans) are being processed with our new LEAN
process.
4. How are the offices set up for processing? Can I submit a loan directly to HUD?
Presently, all Lean applications are being submitted electronically to the OIHCF in Washington, D.C. Applications
must be submitted to HUD using a HUD-approved mortgagee such as Cambridge; borrowers cannot submit loans
directly to HUD.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 11
12. PROCESSING (cont’d)
5. Potential closing dates will be identified upon receipt of the FHA firm commitment for mortgage insurance. Does this
mean we will know the actual closing date at time of commitment?
The legal review will begin at the time an application is submitted to HUD, greatly expediting the closing process. This
allows for closing dates to be identified and set at the time a firm commitment is issued.
6. What does Lean mean for acquisition deals? Can HUD fund in time to meet most sellers’ timing needs?
Lean processing means that more borrowers can take advantage of HUD’s long-term, fixed low rate when acquiring a
facility. Cambridge has the ability to execute HUD Lean loans within 60-90 days from engagement to closing, which is a
reasonable time to execute a purchase and sale agreement and similar to conventional loan timing.
7. Which processing steps are being modified?
– Several steps during the Lean processing phase will significantly improve turnaround time, resulting in a
faster closing. A few of these major modifications include:
• Legal review begins once the application is submitted to HUD. This step of the process historically took
place later in the processing, and sometimes significantly increased the time to set a closing date.
• Many forms and certifications are now being combined as “Super Certifications.” This will save the lender
and borrower a significant amount time in filling out forms.
8. What is the process for a loan to be approved? How many committees must sign off?
– Each Lean application must be signed off at three levels: by the Lean team, by the OICHF, and by Legal.
The approval process is as follows:
• Lender submits application to the OIHCF via internet portal and two hard copies. Simultaneously, the legal
review begins.
• The application is reviewed by a Lean Team, including Valuation; Environmental; Mortgage Credit; and
Architectural and Engineering.
• Members of the Lean team approve and sign off on the application.
• OIHCF approves and signs off on the application and issues a Firm Commitment.
• The legal review is finalized.
• Closing takes place.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 12
13. HUD LEAN ELIGIBLE DEBT SUMMARY
• Outstanding mortgage(s) incurred in connection with the construction or purchase of the
project, or with capital improvements made to the property as confirmed by the current
mortgagee.
• Other recorded indebtedness, such as mechanic's liens and tax liens, provided they did
not result from personal obligations of the mortgagor.
• Unrecorded debt directly connected with the project, supported by documentation from
the mortgagor. If the indebtedness is not recorded, the mortgagor must provide the
Lender with documentation which unquestionably indicates that the obligation is
directly connected to the project. Examples include: indebtedness incurred in making
needed improvements and betterments to the property.
• Other eligible costs associated with paying off the existing debt. Examples are:
a. Delinquent and accrued interest;
b. Prepayment penalties on the mortgage;
c. Reasonable and customary legal, organizational, title, and recording expenses;
d. Initial financing fee not to exceed 2% of the original principal amount of the
mortgage.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 13
14. Executive Summary:
HUD Lean Lending Programs for Senior
Housing and Healthcare Facilities
Cambridge Realty Capital Ltd. of Illinois is an FHA-approved mortgagee that both originates and
funds mortgage loans which are insured under the mortgage loan programs of the U.S. Department of
Housing and Urban Development.
Introduction Cambridge Realty Capital Ltd. of Illinois (“Cambridge”) is a leading
provider of FHA-Insured loans and commercial real estate loans in North
America. Cambridge is uniquely positioned to meet customer needs
through a broad range of financing sources. The Cambridge lending staff
is prepared to discuss the full range of FHA financing options.
Please note that the guidelines presented below are general in nature.
Special loan programs may provide more or less flexibility on certain deal
points.
Property Types · Nursing Homes Skilled and · Alcohol & Drug Treatment
Intermediate Care Centers
· Assisted Living Facilities · Psychiatric Hospitals
· Board and Care Facilities · Juvenile Behavioral Facilities
· Personal Care Homes · Behavioral Modification Centers
Loan Size No minimum, no maximum.
Security First mortgage on the Fee Simple interest. Leaseholds and ground leases
allowed.
Interest Rate Long-term fixed interest rate set at time of rate lock prior to initial
closings for both construction and permanent. Rate lock available prior to
closing with refundable deposit at closing.
Borrower Borrower must be a single purpose entity.
Liability Non-recourse to Borrower and Key Principals except with respect to
fraud, misappropriation or misuse of funds, and as necessary to foreclose
on its interest in the mortgaged property.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 14
15. Executive Summary:
HUD Lean Lending Programs for Senior
Housing and Healthcare Facilities (cont’d)
Term of Loan Depending on the FHA program type, up to 40 years term. Full amortization for
life of loan.
Loan to Value Depending on the FHA program type, up to 90% for profit-motivated mortgagors
and up to 95% for not-for-profit mortgagors.
Debt Service Coverage 1.11x for new construction and substantial rehabilitation, higher for non-profits.
1.175 for existing project acquisitions or refinances (higher for non-profits under
healthcare programs).
Timing to Closing 60 to 100 days from accepted signed application and fee.
Fees Maximum allowable Financing and Placement fee may not exceed 3.5%. HUD
Exam Fee: 0.3%. HUD Inspection Fee: 0.5%, if construction or repairs
Annual Audits Required to be filed with HUD.
Third-Party Reports Appraisal, Environmental, Engineering, Seismic (if applicable) and Credit
Reports.
Escrows Monthly escrow for taxes, property insurance, and mortgage insurance will be
required.
Reserves Monthly reserve for replacement and repairs is required.
Secondary Financing Not permitted on new construction or substantial rehabilitation. Existing project
refinance or acquisition permits up to 7.5% of value after repairs.
Assumability Fully assumable. Allowed subject to HUD and Cambridge approval. Payment of a
1.0% fee may be charged for preparing the transfer to HUD.
Prepayment Negotiable with no yield maintenance or achievement clauses.
Appraisal Report Current MAI Appraisal conforming to HUD and FIRREA guidelines and
acceptable to Cambridge.
Engineering & Current Architectural final working drawings or Engineering report by licensed
Environmental Reports architect and/or engineer in State where project is located and a Phase I
Environmental report meeting ASTM+ standards and HUD checklist acceptable
to HUD and Cambridge.
Survey Current ALTA survey, satisfactory to HUD and Cambridge.
Title Report ALTA Lender’s title insurance policy, satisfactory to HUD and Cambridge.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 15
16. Executive Summary:
HUD Lean Lending Programs for Senior
Housing and Healthcare Facilities (cont’d)
Insurance Properties applying for HUD mortgage insurance must evidence property
Requirements: insurance, commercial liability insurance, professional liability insurance,
and vehicle liability insurance. The following represents indicative
coverage:
Property coverage for the lesser of the mortgage loan amount or 80%
of property’s insurable value.
Professional and commercial liability policy which covers the
following:
$ Minimum $1,000,000 per occurrence per location.
$ Minimum $3,000,000 in aggregate per location. (blanket coverage
permissible)
$ Maximum $100,000 deductible if the borrower has fewer than 50
properties.
$ Insurance issuer maintaining either an A.M. Best Company rating
of BB+ or better or Demotech Inc. rating of A or better.
$ Insurance issuer needs to be licensed as a surplus lines carrier in the
state of property.
Vehicle Liability Insurance
• Minimum $300,000 for one person.
• Minimum $500,000 for more than one person.
• Minimum $100,000 against claims for damage to property of
others.
Additional insurance requirements may exist regarding history of
coverage and annual reviews.
Closing Costs Borrower is required to pay all closing costs, as applicable, including but
not limited to title insurance, recording fees, third-party reports and
reviews, survey, escrows, reserves and closing and legal fees.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 16
17. HUD LEAN SECTION 232 MORTGAGE
INSURANCE PROGRAM
FOR PROPOSED NURSING HOMES AND
ASSISTED LIVING FACILITIES
Cambridge Realty Capital Ltd. of Illinois is an FHA-approved mortgagee and maintains the
necessary Federal approvals to obtain FHA mortgage insurance and to arrange the necessary
financing which subsequently interfaces with the HUD insurance policy in a manner that
provides both construction and permanent financing. These financings are arranged
simultaneously on a fixed rate, nonrecourse, and fully assumable basis on any new construction
and most existing nursing home projects throughout the United States.
SUMMARY OF PROGRAM
The Department of Housing and Urban Development (HUD) has a mortgage insurance program
for the new construction, purchase and rehabilitation, or refinance and rehabilitation, of nursing
home and assisted living facilities, whereby HUD will issue an insurance policy which
guarantees a lender against default of the borrower. Once an FHA Insurance policy is obtained, it
allows the project an easy entry into the financial markets to obtain the lowest cost financing
available subject to HUD's AAA rating. Applications are submitted to HUD through an FHA-
approved mortgagee who has the necessary Federal approvals to obtain the FHA-insured Firm
Commitment and arrange the necessary financing which would interface with the HUD insurance
policy. Construction and permanent financing is arranged on a simultaneous basis on a fixed rate,
nonrecourse, fully assumable basis.
EXECUTIVE SUMMARY:
Cambridge Realty Capital and the HUD Lean 232 program provide attractive long term fixed rate
construction and permanent mortgage financing for the construction of to-be-built nursing homes
or assisted living facilities. Cambridge has extensive experience processing nursing homes and
related health care facilities through HUD, and has completed 20 separate HUD 232 construction
loans for a total of 3,921 beds. According to HUD internal statistics, Cambridge has financed
over 5,000 beds over the last 36 months, which makes Cambridge the country’s leading HUD
232 lender.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 17
18. HUD LEAN SECTION 232 MORTGAGE INSURANCE PROGRAM
FOR PROPOSED NURSING HOMES AND ASSISTED LIVING FACILITIES
(CONT’D)
FHA financing for nursing homes is a commonly used financial vehicle in the United States.
Approximately 1800 nursing homes have been constructed in the United States using FHA mortgage
insurance. A more detailed description of the HUD Lean 232 Nursing Home Financing Program
follows:
TERMS Construction Loan: As Required
Permanent Loan: 40 Years
RATES Based upon current market conditions for taxable financing.
MORTGAGE Provided by Lean Section 232 of the National Housing Act.
INSURANCE
FUNDING SOURCE GNMA Mortgage-Backed Securities as guaranteed by FHA mortgage insurance
pursuant to Lean Section 232 of the National Housing Act, or by the purchase of
the loan by a whole loan investor. Both the construction loan and the permanent
loan are arranged simultaneously, such that the permanent loan begins
immediately upon construction completion and final closing of the construction
loan. Tax-exempt bonds may also be used under Lean Section 232 if the
borrower and project are eligible for tax-exempt financing.
GUARANTEES None, on either the construction or Ppermanent loan.
CHARACTERISTICS The loan is fixed rate, nonrecourse, fully assumable, and prepayable with
restrictions.
AUDIT The owner is subject to a cost certification audit.
PREVAILING WAGES All construction workmen must be paid prevailing wages pursuant to the Davis-
Bacon Wage Act.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 18
19. HUD LEAN SECTION 232 MORTGAGE INSURANCE PROGRAM
FOR PROPOSED NURSING HOMES AND ASSISTED LIVING FACILITIES
(CONT’D)
AMORTIZATION Based upon 40 years.
ELIGIBLE BORROWERS For profit and not-for-profit mortgagors.
Note: Public bodies must create a private, not-for-profit mortgagor corporation to
participate in Section 232 Lean.
THIRD PARTY REPORTS To complete the application, HUD requires several third-party reports: 1) an
independent appraisal; 2) market feasibility report; 3) engineering report; 4)
environmental report; 5) credit report. These reports must be consistent with HUD
standards and guidelines and will be paid for by the client.
LIABILITY INSURANCE Properties applying for HUD mortgage insurance must evidence property insurance,
commercial liability insurance, professional liability insurance, and vehicle liability
insurance. The following represents indicative coverage:
Property coverage for the lesser of the mortgage loan amount or 80% of
property’s insurable value.
Professional and commercial liability policy which covers the following:
$ Minimum $1,000,000 per occurrence per location.
$ Minimum $3,000,000 in aggregate per location. (blanket coverage
permissible)
$ Maximum $100,000 deductible if the borrower has fewer than 50
properties.
$ Insurance issuer maintaining either an A.M. Best Company rating of BB+
or better or Demotech Inc. rating of A or better.
$ Insurance issuer needs to be licensed as a surplus lines carrier in the state of
property.
Vehicle Liability Insurance
$ Minimum $300,000 for one person.
$ Minimum $500,000 for more than one person.
$ Minimum $100,000 against claims for damage to property of others.
Additional insurance requirements may exist regarding history of coverage and
annual reviews.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 19
20. HUD LEAN SECTION 232 MORTGAGE INSURANCE PROGRAM
FOR PROPOSED NURSING HOMES AND ASSISTED LIVING
FACILITIES (CONT’D)
ELIGIBLE PROJECTS · Skilled Care Facilities
· Intermediate Care Nursing Facilities
· Sheltered Care or Personal Care Nursing Facilities
· Board and Care, Assisted Living, and Independent Living Facilities
· Psychiatric Facilities
· Rehab Hospitals
· Drug & Alcohol Centers
· Other Special Purpose Facilities
Note: A Certificate of Need or license is required for all nursing projects in
Certificate of Need states.
ELIGIBLE SITUATIONS · New construction
· Acquisition of an existing facility
· Refinancing of an existing facility
· Rehabilitation and expansion of an existing facility
· Refinance of existing facility typically structures using HUD Lean
232/223(f). Please request specific Executive Summary.
To become eligible for Lean Section 232 as an acquisition or refinance of an
existing facility, current HUD regulations provide that to be eligible a project
must:
· Be three years or older; and
· The refinance or acquisition must be accompanied by rehabilitation
expenditures, the cost of which exceeds the greater of (a) $6500 per
dwelling unit; or (b) 15% of the project's value after completion of all
repairs, replacements, improvements, and additions; or
· Involve the replacement of more than one major building component.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 20
21. HUD LEAN SECTION 232 MORTGAGE INSURANCE PROGRAM
FOR PROPOSED NURSING HOMES AND ASSISTED LIVING
FACILITIES (CONT’D)
MAJOR BUILDING · Foundations
COMPONENTS · Roof structures
· Plumbing systems
· Ceiling, wall, or floor structures
· Electrical systems
· Heating and air conditioning systems
The element must be significant and not minor or cosmetic:
Major: roof sheeting, rafter, trusses
Minor: shingles, built-up roofing
Total replacement is not required, but at least 50% must be replaced.
MAXIMUM MORTGAGE · New construction and acquisition/rehabilitation projects are 90% loan-to-
CRITERIA cost and 90% loan-to-value mortgages.
· Refinancing/rehabilitation mortgages may be 100% loan-to-cost
mortgages, provided that the loan-to-cost mortgage is no greater than 90%
of HUD's approved-of value.
· Straight refinancing of existing facility typically eligible under HUD Lean
232/223(f) loans. Please refer to specific Executive Summary.
VALUE CRITERIA In no event can a mortgage exceed 90% loan-to-value. HUD utilizes two main
approaches to value:
· Value by comparable sales
· Value of comparable lease values, capitalized
ANNUAL MORTGAGE 0.50% payable annually to HUD.
INSURANCE PREMIUM
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 21
22. HUD LEAN SECTION 232 MORTGAGE INSURANCE PROGRAM
FOR PROPOSED NURSING HOMES AND ASSISTED LIVING FACILITIES
(CONT’D)
HUD includes the following as Elements of Cost. The loan can be a maximum of 90% of the following
costs:
· Construction - General requirements, general overhead, and builder's profit.
· Municipal Fees - Building permits, sewer tap fees, water tap fees, surveys, soil test, etc.
· Design Architectural Fees
· Inspecting Architectural Fees
· Construction Interest
· Insurance Reserve
· Insurance Reserve - Builder's Risk-OCP
· Real Estate Tax Reserve
· HUD Mortgage Insurance Premium - 0.50% per year
· HUD Inspection Fee - 0.50% (a one-time only fee)
· HUD Exam Fee - (0.30%) Refund of HUD application fee
· Initial HUD Processing Fee - 2.0%
· Financing Fee - 1.5%
· Title and Recording Fees
· Legal and Audit Fees
· Land Value
· Major Movable - Cost of furniture, fixtures, and equipment
COLLATERAL REQUIREMENTS
1. The Contractor must post a Performance and Payment Bond equal to 100% of hard construction
costs, or post a 15% Letter of Credit of hard construction cost as assurance that the project will be
completed. At completion of construction and Final Endorsement, the Bond or LOC is replaced by a
Latent Defect Bond which is released 18 months subsequent to the date of substantial completion of
construction.
2. The Owner must post a 2% Working Capital Letter of Credit. This 2% LOC is released at completion
of construction and Final Endorsement. (Note: This provision is applicable to for-profit mortgagors
only.)
3. Because of the slow initial lease-up period associated with the new construction of nursing homes,
HUD will require an Initial Operating Deficit Letter of Credit (of approximately four to six months
of debt service) to insure that mortgage payments will be made during the initial lease-up time.
Existing homes may not be subject to this requirement if existing census is sufficient.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 22
23. HUD LEAN SECTION 232 MORTGAGE INSURANCE PROGRAM
FOR PROPOSED NURSING HOMES AND ASSISTED LIVING
FACILITIES (CONT’D)
PROCESSING YOUR HUD APPLICATION THROUGH CAMBRIDGE
Step 1 - Pre-Application Conference
This meeting is one in which the initial feasibility of the case is discussed with HUD personnel. The purpose of
this meeting is to determine whether HUD is desirous of insuring the project. Issues discussed will include the
site plan, the strength of the market, the design of the buildings, and any environmental concerns. The attendees
will include members of the sponsorship, the architect, the mortgagee, and HUD personnel. The desired result is
to have HUD invite us to submit a formal application for mortgage insurance to HUD.
Step 2 - File a Firm Commitment Application with HUD
A Firm Commitment Application is a complete application to HUD providing information on the site, the
sponsors, the management agent, and the architect. Although it is possible to choose and present a general
contractor to HUD at this stage, it is not necessary; the selection of the general contractor will be at the
discretion of the owner.
The working drawings and specifications, final construction costs, and financial information on the general
contractor is then submitted to HUD along with the Firm Commitment Application Fee of 3/10 of 1% of the
mortgage. Since the project underwriting (i.e., loan amount) has already been completed at the Conditional
Commitment stage, the Firm Commitment review focuses on the drawings, the costs, and the general contractor.
Also, any last minute negotiations or clarifications are completed. HUD at this point will issue a Firm
Commitment to insure the mortgage.
This will translate into HUD's formal written commitment to insure a mortgage for the construction and
permanent financing of your facility at a given dollar amount based upon a given interest rate. At this time, you
will know the amount of the HUD insurance. A Conditional Commitment translates into HUD's commitment to
issue a Firm Commitment subject to HUD's receipt of complete working drawings and specifications, selection
of a general contractor, and finalizing hard construction costs.
Step 3 - Finalizing the Financing
Upon issuance of the HUD Firm Commitment, a borrower may proceed into formal negotiations to finalize the
financing that will interface with the FHA insurance policy. This is primarily a matter of shopping the market for
the best price, and this process should take no longer than 10 days to complete. These lenders quote based upon a
spread over 10-year Treasuries driven by the investor's investment needs at the time. Upon finalizing the
financing, a project can:
Step 4 - Prepare for Closing
With the HUD Firm Commitment and the financing in place, the project can be turned over to the lawyers for
closing. The use of an experienced FHA lawyer is highly recommended.
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 23
24. For additional information regarding
The HUD Lean 232 Mortgage Insurance programs
please contact:
Financing Information Group
Cambridge Realty Capital Companies
125 South Wacker Drive – Suite 1800
Chicago, Illinois 60606
Telephone 312-357-1601
Fax 312-357-1611
info@cambridgecap.com
http://www.cambridgecap.com
Cambridge Realty Capital Companies
125 South Wacker Drive • 18th Floor • Chicago, Illinois 60606
Telephone: 312-357-1601 • Fax 312-357-1611 • www.cambridgecap.com 24