Diversified Healthcare Trust announced on June 12, 2025, the closing of a new $150 million secured revolving credit facility. This facility is secured by 14 senior housing communities, comprising 2,632 living units, managed by Five Star Senior Living.
The revolving credit facility has an initial term of four years, with two six-month extension options, and bears interest at a rate equal to SOFR plus a spread of 250 to 300 basis points, depending on DHC’s net leverage ratio. The average per unit valuation of the collateral communities is approximately $184,000.
Matt Brown, Chief Financial Officer and Treasurer of DHC, stated that this new facility strengthens liquidity and financial flexibility, following the full repayment of the company's 2025 notes. The facility provides enhanced liquidity to support DHC's general business needs and advances its long-term strategy.
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