MT Realty Capital Hits $1.9B in Senior Care

M&T Realty Capital Corporation reported a record-setting year in 2023 for financing in the senior housing sector, being recognized as the top Fannie Mae DUS Producer and a leading Freddie Mac lender for senior housing.

The company successfully closed loans totaling $575 million for 32 properties across 11 states, with financing sourced from Fannie Mae, Freddie Mac, FHA, and bridge loans for various types of senior living facilities.

A significant transaction among these was the refinancing of a 371-unit facility in Colorado, secured with a $105 million Freddie Mac loan that replaced a previous construction loan, demonstrating M&T RCC's ability to navigate a challenging lending environment.

The success of the M&T RCC Seniors Housing Team is attributed to the combined decades of experience and a cooperative approach of its members who meticulously analyze each deal, with optimism for continued success in 2024.

M&T RCC was the only lender to rank in the top five for both Fannie Mae and Freddie Mac Seniors Housing lending in 2023 and works in tandem with M&T Bank's Healthcare Team to provide a broader range of financial solutions.

M&T RCC offers competitive nationwide financing for multifamily, commercial, and healthcare properties, with various lending accreditations and affiliations, highlighting the company's extensive resources and capabilities in the real estate financing sector.

Our Opinion:

This news reveals an immense growth opportunity in the market segment dedicated to addressing the needs of the aging American population. The National Association of Home Builders reports that by 2030, a third of U.S. households will be headed by someone aged 65 or older. The increase in senior lending activity mirrors the demographic changes and signifies an attractive, booming sector for alternative lending companies. However, it also introduces new risks and increased competition. Alternative lenders need to carefully balance these factors and decide whether entering the senior housing market aligns with their business model, risk appetite, and long-term strategy.

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