A senior housing developer is moving forward with a project in Huntington Beach thanks to a fresh nine-figure funding injection.
The Marisol, a planned 214-unit assisted living and memory care community at 2120 Main Street in Huntington Beach, secured $252.1 million in construction financing for a project slated for delivery in 2028, Multi-Housing News reported. Bloom Family Foundation is developing the project alongside Development Management Associates, a spokesperson for The Marisol told L.A. Business First.
The financing package from the California Public Finance Authority is split into three tranches. A $165.7 million Series A senior bond piece, a $74.3 million Series B portion and a $12.1 million Series C lump. HJ Sims served as book-running manager on the senior bonds, with JLL Securities acting as co-manager. JLL Capital Markets also served as a real estate advisor in the deal.
Bloom Family Foundation’s senior housing project will rise on a 7-acre site in Huntington Beach, replacing a former office building within the 11-acre Seacliff Office Park. The three-story development is expected to span roughly 281,000 square feet and will include a mix of 214 one- and two-bedroom units geared toward assisted living and memory care residents. Planned amenities include a wellness center, art studio, movie theater, golf simulator and multiple dining venues, along with pet-friendly and wheelchair-accessible design features. Momentum Senior Living is slated to manage the property once it opens.
The deal lands as senior housing developers continue to pull back nationally, even as demographic demand keeps building.
The number of senior housing units under construction across the country has fallen for 17 straight quarters, with fewer than 16,500 units currently underway nationwide, representing a steep drop from the nearly 50,000 units under construction at the sector’s 2019 peak, according to NIC MAP data cited by Multi-Housing News. The long-term fundamentals appear rosier, however. Occupancy rates continue to climb, while the oldest wave of baby boomers is aging into the sector, setting up what many operators see as years of demand growth with limited new supply, or a so-called “silver tsunami.”
— Chris Malone Méndez
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