Investment Examples

St. Andrew’s Village

Aurora, CO

In 2011, Fund V acquired the defaulted loan secured by St. Andrew’s Village, a Class A Continuing Care Retirement Community (CCRC). The CCRC was acquired in a joint venture with an operating partner, Evergreen Senior Living, and a co-investor. The 264-unit project (146 IL / 60 AL / 58 SNF) was owned and operated by out of town real estate developers and investors without senior living experience. Fund V acquired the non-performing loan for 42% of the loan amount or one-third of the building’s development cost.

At acquisition, the well-located property was 80% occupied. RSF foreclosed on the asset immediately, and Evergreen completed minor renovations, hired new employees, and repositioned the asset in the market. At stabilization, occupancy increased to 90%, and the project was sold to a private REIT in the third quarter of 2014.