CIT leads $25 million financing deal for MLK Community Hospital Medical Office Building

Rhea-AI Summary

CIT Group Inc. (NYSE: CIT) has announced a $25 million loan to support Seavest Healthcare Properties in acquiring the MLK Community Hospital Medical Office Building in South Los Angeles. This hospital serves the underserved communities of Watts, Compton, and Willowbrook. CIT aims to enhance healthcare access in the area, aligning with its commitment to community support. This transaction follows a recent $47 million investment in the Jordan Downs Apartment Project, indicating CIT's ongoing efforts to revitalize the Watts neighborhood.

Positive

• CIT's $25 million loan enhances healthcare access in underserved South Los Angeles.
• The deal aligns with CIT's strategy to invest in community revitalization.
• CIT previously invested $47 million in the Jordan Downs Apartment Project, indicating a strong commitment to the Watts area.

Negative

• None.

NEW YORK, July 29, 2020 /PRNewswire/ -- CIT Group Inc. (NYSE: CIT) and its Healthcare Finance unit today announced a $25 million loan supporting Seavest Healthcare Properties' acquisition of the MLK Community Hospital Medical Office Building in South Los Angeles. The private, nonprofit hospital provides essential healthcare services for residents of the Watts, Compton and Willowbrook neighborhoods of Los Angeles.  

"We're pleased to leverage our expertise to create a financing solution that meets Seavest's investment objectives," said William Douglass, managing director and group head for CIT's Healthcare Finance. "This effort advances the hospital's mission while helping to drive transformative change and further revitalize the Watts area."

MLK Community Hospital is part of a public-private partnership with Los Angeles County and was established in 2015 to meet the needs of the South Los Angeles community including the uninsured and underinsured. Efforts to create additional offerings are in development including outpatient testing, physical therapy, durable medical equipment, chronic care treatment facilities, and other health related services.

"We're pleased to work with CIT on this transaction, and to expand our portfolio in Los Angeles," said John Winer, senior managing director and chief investment officer for Seavest Healthcare Properties. "This acquisition provides the opportunity to invest in a newly developed, on campus outpatient facility in South Los Angeles and to assist in delivering critical healthcare services to the area's one million residents."

CIT's Healthcare Finance unit, part of the Commercial Finance division, provides comprehensive financing and banking solutions to middle market healthcare companies across the U.S. The financing follows CIT's recent $47 million investment in the Jordan Downs Apartment Project to develop a 92-unit multifamily apartment complex in the Watts neighborhood.

"Our community needs our support now more than ever," said Steve Solk, president of Consumer Banking at CIT. "We're pleased to play a key role in this transaction and continue our investment in the Watts neighborhood and surrounding areas during this challenging time."

CIT anticipates making further investments in the Watts community later this year, including a new branch in the area.

About CIT
CIT is a leading national bank focused on empowering businesses and personal savers with the financial agility to navigate their goals. CIT Group Inc. (NYSE: CIT) is a financial holding company with over a century of experience and operates a principal bank subsidiary, CIT Bank, N.A. (Member FDIC, Equal Housing Lender). The company's commercial banking segment includes commercial financing, community association banking, middle market banking, equipment and vendor financing, factoring, railcar financing, treasury and payments services, and capital markets and asset management. CIT's consumer banking segment includes a national direct bank and regional branch network. Discover more at cit.com/about.

About Seavest
Seavest Healthcare Properties, LLC is a real estate investment management firm focused on the medical office and outpatient facility sector. The firm acquires existing properties, joint ventures with established developers to build new properties, and asset manages medical office buildings, outpatient facilities and similar healthcare real estate assets. A pioneer in this sector, Seavest made its first healthcare real estate investment in the mid-1980s. Today, the firm has a significant portfolio of medical office buildings and outpatient facilities located throughout the United States. For more information, please visit SeavestHCP.com.

MEDIA RELATIONS: 
Olivia Weiss
212-771-9657
olivia.weiss@cit.com 

View original content to download multimedia:http://www.prnewswire.com/news-releases/cit-leads-25-million-financing-deal-for-mlk-community-hospital-medical-office-building-301102221.html

SOURCE CIT Group Inc.

FAQ

What is the recent loan amount provided by CIT Group for the MLK Community Hospital?

CIT Group provided a $25 million loan for the MLK Community Hospital acquisition.

How does CIT Group's financing impact the Los Angeles community?

CIT's financing aims to improve healthcare services in underserved areas like Watts, Compton, and Willowbrook.

What prior investment did CIT make before the MLK Community Hospital financing?

CIT made a $47 million investment in the Jordan Downs Apartment Project.

Which healthcare facility is acquiring the MLK Community Hospital Medical Office Building?

Seavest Healthcare Properties is acquiring the MLK Community Hospital Medical Office Building.

What is CIT Group's focus regarding community investments?

CIT focuses on empowering communities through investments in healthcare and housing projects.