News

USDA financing lets the sun shine in on seniors at new nursing facility
4/5/2010

USDA financing lets the sun shine in on seniors at new nursing facility

Minnesota’s Pioneer Retirement Community closed this spring on $21.5 million in financing to build a new facility that returns portions of the lives many seniors thought they had to leave behind when they move into nursing homes. The project replaces an 82-year-old building, and the dream of the new facility nearly fell through when the tight capital markets made construction financing hard to come by.

Reconciling Growth with Capital: Taxable Debt for Nonprofit and Municipal Hospitals
4/4/2010

Reconciling Growth with Capital: Taxable Debt for Nonprofit and Municipal Hospitals

Most nonprofit health systems rely on six sources of capital to fund and grow their businesses: operating margin, external debt, sale of assets, investment income, joint ventures and philanthropy. Over the past two years, however, every one of these sources has come under pressure from an unprecedented convergence of capital market, economic and regulatory forces.

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 Agency Financing for New Construction of Senior Living Facilities
4/3/2010

Agency Financing for New Construction of Senior Living Facilities

Construction capital has been severely limited in recent years as the worldwide economy contracted and the prolonged recession reduced the ability of commercial banks to provide financing. The capital pool available to seniors housing developers was further restricted by the small number of financial institutions comfortable underwriting the unique characteristics of senior facilities.

Affordable Housing Legislative Update
4/2/2010

Affordable Housing Legislative Update

Several bills before Congress will have an impact on affordable housing developers’ access to affordable capital and the private sector’s interest in affordable housing investment. While several proposals are likely to go through numerous discussions and amendments, others are buried in bills that have unrelated focuses, and so may remain relatively intact.

The Math and Mentalities of Market Timing
4/1/2010

The Math and Mentalities of Market Timing

The concept of “market timing” continues to divide the investment industry: Some investors, particularly active traders, believe an investor can profit from changes in an asset class’s outlook by moving entirely into or out of that asset class at a certain moment, while academics tend to believe it impossible to consistently generate excess returns this way. Active traders build portfolios around market timing strategies, and even those who don’t engage in highly active investment strategies are still susceptible to emotional market timing – for example, eliminating or reducing exposure to the U.S. equity market after a significant decline.