Funding the Development of New Senior Living Facilities
Senior housing construction and development are booming, mostly due to an aging baby boomer generation and increasing life spans. Senior housing developers has been seeking new ways to get funds for their projects. EB-5 financing has become a less costly alternative to traditional loans. EB-5 investors do not invest capital primarily for a return on their investment. Such investors are seeking permanent residence in the United States.
EB-5 capital can serve as part of the initial capital stack for a new adventure or be used to take out and repay higher interest bridge and construction loans. Immigrant investors are often willing to take a modest return on their investment.
All of the jobs created by the project are credited to the EB-5 investors. The jobs resulting from other sources are also allocated to the EB-5 investors.
Senior living is a growth industry which shows no immediate signs of letting up. EB-5 continues to serve an important role in fueling the growth of development and related job creation for the industry. EB-5 compliance and satisfaction of the program’s eligibility criteria, however, are quite technical. Thus, representation by competent counsel and other professionals is essential.