Capital One Closes Revera Private Placement Revenue Bond
Capital One Bank announced it served as placement agent and purchaser of a $24 million private placement taxable revenue bond to affiliates of Revera, a provider of housing, care and services for seniors across the United States and Canada.
The revenue bonds are secured by mortgages on seven assisted living facilities and one independent living campus in Oregon, and proceeds will be used to refinance the borrowers’ outstanding revenue bonds, finance new money capital improvement projects, repay intercompany capital improvement loans, and fund a debt service reserve.
The borrowers are owned through various holding companies of Revera, which operates more than 500 retirement communities, long-term care homes, skilled nursing facilities and home health branches in the U.S. and Canada. The company serves a diverse group of residents and families by offering integrated therapies that address the total well-being of each individual.
“Revera is an industry leader that sets a high standard for senior living,” said Imran Javaid, managing director, Commercial and Specialty Finance, Capital One Bank. “We are pleased to work with a high quality operator to devise a structure that meets Revera’s needs.”
“Capital One provided competitive fixed-rate pricing with numerous maturity and amortization options to fit the unique structure of the bond,” said Glen Chow, VP of treasury and risk management for Revera. “Their ability to be flexible in terms of structure in combination with certainty of execution further solidified the collaborative relationship we have with Capital One team.”
The fixed-rate loan has a five-year term, with a 20-year amortization schedule.