The City of Angels Fund
Dominion Mortgage’s subsidiary, Dominion L.A., has announced the
formation of “The City of Angels Fund”.
While Dominion remains the national real estate mortgage provider,
Dominion L.A. has always maintained a mortgage lending presence in the greater
Los Angeles area. Now The City of Angels
Fund defines its Los Angeles concentration further to also consider buying
distressed real estate in and around the City of Los Angeles.
Paul Horvitz
Healthcare Real Estate Securitization – June 21, 2011
For a very long time the capital markets have neglected real estate lending and as we all know, banks and other lending institutions have not picked up their appetite for making mortgage loans. Recently, there has been an emergence of new commercial real estate loan securitizations. The problems that existed in the past have been addressed with more stringent lending parameters and enhanced underwriting. It is only a matter of time that a successful real estate securitization market will be looking to diversify the types of real estate loans placed into these CMBS pools. One of the most secure forms of real estate lending over these years of uncertainty has been healthcare related real estate. With the aging of the population, healthcare becomes a major business sector of our economy.
Commercial backed mortgage securities targeted specifically for long term care facilities, assisted living facilities and other medical related real estate loans is soon to be a reality. Dominion Healthcare Financial is at the vanguard of this new reality and is making steps to secure a bright future for healthcare and medical related real estate in the securitization market.
I invite you to get on board the express train while it is still in the station. Join us in our quest to make this a reality.
Paul Horvitz
Do commercial loan borrowers necessarily need to file bankruptcy to stop foreclosure?
Clients with commercial mortgage loans that are due often think bankruptcy is their only option to hold off the lender.
It has proven time and again that borrowers do not have to ruin their credit to forestall a foreclosure.
Borrowers have successfully negotiated extensions without the need for bankruptcy. Some borrowers have also received large discounts off their existing mortgage balance and have secured funds from a third party for them to pay off that discounted mortgage.
What Is The Effect Of the Healthcare Reform on the Skilled Nursing Market?
What is the effect of the healthcare reform on the skilled nursing market?
The legislation that was passed by Congress calls for government sponsored long term care insurance.
Enrollment in the plan may decrease Medicaid payouts by capping services. This could de-value government dependent care giver’s bottom lines.
Stay tuned…
Paul Horvitz
Dominion Healthcare Financial Corporation
When Will The Recession Be Over?
The Administration has declared the “recession is over and the recovery has begun.”
When will the recession really be over?
Our system of economics depends on growth and growth lives on credit.
No example is more clear than the current depression in the real estate market that both commercial and residential markets are still experiencing.
The current Administration over-shifted the wheel from “no oversight” to “nothing to oversee”.
Making more generous capital available for mortgage credit is the true answer to the problem.
We must learn from past mistakes in the overheated lending markets but open the spigots before the market dies of thirst.
Paul Horvitz
Dominion Mortgage Corporation
Press Release – Healthcare Loans
LOS ANGELES, CALIF. (February 23, 2010) — Dominion Healthcare Financial Corporation, a subsidiary of Dominion Corporation, a national commercial real estate banking firm headquartered in Los Angeles, California, closed a complicated $14,125,000 loan transaction on a portfolio of five skilled nursing facilities in California.
Dominion Corporation Vice President Loren Thall structured a capital stack that consists of both senior and subordinated debt, of which $10.125 million is secured by the real estate. The remaining $4 million is secured by the accounts receivables of the skilled nursing homes. Thall was able to arrange a competitive rate on a five-year loan with a 25-year amortization. The financing is based on a debt coverage ratio of 1.35 and it maintained an LTV below 70%.
“This was the second time we have worked with this borrower, who was very professional and responsive throughout the process,” Thall pointed out. “This helped when coordinating the various and complicated ownership structures and other components of the transaction. It is gratifying to know that in this challenging economy and time of scarce capital we can still be effective in meeting the needs of the borrowers.”
The financing provided significant challenges for the Dominion Corporation team because it needed to creatively structure the debt to allow for some of the equity partners’ ownership interests to be phased out, while also completing a lease-purchase option and providing the borrower, an owner/operator of healthcare properties, funds for working capital. Additionally, Dominion Corporation eliminated the prepayment penalty of 1% after year one of the five-year loan term.
The subject properties contain a total of 235 beds and are located in San Francisco, Oakland, San Leandro and Culver City. All of the properties were originally constructed in the 1960s and 1970s and have since been renovated. The facilities offer skilled care as well as acute care services and are also Medicaid and/or Medicare providers.
Welcome to Dominion Mortgage Corporation Blog
Dominion Corporation was established in 1977 by commercial real estate financing veteran Paul Horvitz and is a “nationwide” provider of real estate loans starting at $1,000,000 and ranging up to over $20,000,000. In addition to offering financing for single-tenant, owner-occupied and most other property types, Dominion has established a reputation for being able to finance properties that other lenders shy away from, such as healthcare facilities and other unique transactions. The company offers competitive rates on most commercial real estate types, including office, industrial, hospitality, multifamily and special-purpose properties. This includes healthcare real estate loans on medical office, clinics, hospitals and most long-term care facilities, such as independent living, assisted living and skilled nursing facilities.
Additionally, Dominion, through its affiliated entity, Dominion America Realty Advisors, is seeking transactions where there is an existing loan that has matured or will mature. Dominion has 33 years of expertise in negotiating with existing lenders and is a member of the Mortgage Bankers Association of America and National Investment Center.
