Diversified Healthcare Trust announced on June 2, 2025, the closing of two fixed-rate mortgage financings totaling $94.3 million. These loans are secured by six senior housing communities managed by Five Star Senior Living.
The financings include a $64.0 million five-year mortgage loan with a fixed interest rate of 6.57%, secured by four communities with an appraised value of approximately $171,000 per unit. The second is a $30.3 million ten-year Fannie Mae mortgage loan with a fixed interest rate of 6.36%, secured by two communities with an appraised value of approximately $142,000 per unit.
The proceeds from these loans, combined with cash on hand, will be used to fully repay the remaining $100.0 million of DHC’s 9.75% senior notes due June 2025. Since March 2025, DHC has closed an aggregate of $343.0 million in mortgage financings secured by 27 SHOP communities, reflecting a weighted average interest rate of 6.55%. The company is now focusing on addressing its 2026 note maturity through a combination of asset sales and new financings.
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