Lancaster Pollard underwrote the project using a taxable fixed-rate mortgage note insured by the FHA Sec. 242 program. The 25-year, low, fixed-rate interest loan provides both construction and permanent financing for the 25-bed critical access hospital.
“The demand for a new hospital became apparent as advancements in healthcare delivery have stretched our current facility to its limits both in space and physical plant,” said St. John’s Lutheran CEO Bruce Whitfield. “The FHA loan offered our hospital interest rates and terms similar to those afforded AA-rated healthcare organizations in the bond market. Lancaster Pollard was instrumental in our loan process from start to finish, and we were heavily dependent on their expertise to get the loan approved by HUD.”
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