Healthcare Finance

Each of our seasoned team of lending professionals has over twenty years of experience delivering creative and complete financing solutions to the healthcare industry.

The continued evolution of healthcare policy and push towards universal coverage is an ever present challenge and opportunity that requires financing that works and has impact. The demand for quality healthcare, combined with a growing population of seniors is placing greater demands on skilled nursing facility owners and operators, hospitals and administrators, as well as those who own ancillary healthcare related businesses.

Our proven financial stability along with the knowledge that we stand behind the solutions we propose gives those we serve peace of mind.

Financing Capabilities

CapitalSource delivers knowledge, speed, and the transparency you deserve when seeking financing. We understand your business and share your dedication to achieving business objectives and profitability.

Healthcare Credit

CapitalSource provides debt capital to borrowers based on the value of accounts receivable and inventory. Our advance rates on government and third-party receivables are up to 85% of net collectible value. We do not require personal guarantees, and we provide first lien senior-secured and asset-based loans.

  • Loans from $1 to $50 million
  • 3-year term
  • Senior secured financing
  • Support a broad range of transactions, including:
    • Refinance of existing indebtedness
    • Recapitalization
    • Leveraged buyouts
    • Turnarounds

Healthcare Real Estate

CapitalSource provides variable or fixed interest rate loans for skilled nursing and senior housing transactions with LTVs between 65% and 85%. We also offer construction loans for replacement or substantial renovation of skilled nursing facilities.

  • First mortgage and working capital loans
  • Our minimum deal size stands at $3 million
  • Maximum at $50 million
  • Loans for refinancing and acquisitions
  • Construction loans for replacement or substantial renovation of SNFs:
    • Minimum loan $5 million
    • Loan cost up to 70% (certain circumstances, up to 75%)
    • 25-year amortization post-construction period

Healthcare Cash Flow

We offer the flexibility and responsiveness necessary to complete timely acquisitions, refinancings, and recapitalizations, through the use of general working capital loans.

  • Typical loan size of $10 to $30 million, with the ability to underwrite larger transactions
  • Terms are typically one to six years in length
  • Rates and fees are competitive and adjusted for risk and leverage

We stand ready to be your one-stop resource for comprehensive healthcare financing.