	RAINMAKER MARKETING CORPORATION 281.537.1200

Senior Housing Financing, Investment & Fundings...

The senior housing financing industry has evolved quite a bit over the past 20 years. In days gone by, the primary lender for senior senior, housing, financing, assisted, living, retirement, independent, dementia, Alzheimers housing financings was the Department of Housing & Urban Development (HUD) through their FHA/HUD loan insurance program that provided non-recourse financing for assisted living facilities, dementia care facilities, nursing facilities and independent living facilities - but not entry-fee senior housing facilities. Today's senior housing financing industry has come rely upon HUD so much that the application time frame now makes a HUD loan too expensive for many developers to utilize because of the added project carrying costs the HUD process forces developers and owner/operators to endure. Since a market economy (such as the United States) will always adjust itself to fill a demand vacuum, today's developer should be at least acquainted with some of the alternatives:

Institutional Private Placements. The developer can turn to the investment banking industry to undertake a private placement of construction loan notes that are sold to certain "qualified institutional buyers" (or "QIBs" - pronounced "quibs"). These placements are typically non-recourse, very competitively priced and the carrying costs can be significantly reduced. Unlike the HUD route, the institutional market is not a right of statute approach - it is purely market-driven so you are at-risk. This means you need a very hungry investment banking firm to support the transaction.

Commercial Bank Originations. The commercial banks are still providing construction lending, but their focus is typically on publicly-traded companies that have an investment-grade credit rating. In the absence of such ratings, the borrower is typically required to provide credit support (personal recourse) and hefty collateral that effectively ties the borrower to the lender for at least the term of the loan. Pricing is very competitive with HUD loans and institutional private placements and the processing time is typically less than the institutional route.

No matter which way you decide to go, senior housing development projects must provide a comprehensive due diligence presentation including:

	Market Feasibility Study.
	Financial Feasibility Study.
	Business Plan of Operations..
	Capital Funding Plan Proposal.
	Loan Proposals.

Turn to Rainmaker Marketing Corporation and get results.

Do You Know The Secret?

When it comes to commercial real estate development finance, it doesn't matter whether you need to raise $5 million or $50 million, the out-of-pocket costs, advance fees and project due diligence costs will always require the same relative investment dollars the promoters have to fund. Do you know what that amount is? Do you know the Secret?

Rainmaker Marketing Corporation can trace its history back all the way to 1989. Incorporated in 1993, Rainmaker Marketing Corporation has evolved over time into a full-service business to business consulting firm. Rainmaker Marketing Corporation’s initial specialization was in issues and documentation needs corresponding to the capital funding cycle for commercial real estate development projects with a primary focus on senior housing and health care related properties. Today, Rainmaker Marketing Corporation serves all types of commercial income-producing property development program financing requests with a combination of feasibility studies, due diligence services, structured finance consulting and a focus on commercial real estate syndication services. Rainmaker Marketing Corporation’s service area includes all of the continental United States, Canada, Mexico and the Caribbean Basin.

281.537.1200

Email: consultants@rainmakermarketing.com

Commercial Real Estate Development Finance, Due Diligence Documentation, Syndication & Project Management Consulting

15519 Dawnbrook Drive, Houston, Texas 77068.