2006 News

Columbus, OH, December 29, 2006- Red Mortgage Capital, Inc., the mortgage banking unit of comprehensive capital provider RED CAPITAL GROUP, arranged Fannie Mae DUS first mortgage financing on a Memory Care addition that is part of an existing seniors property in Vancouver, Washington.

Glenwood Place Memory Care was completed in 2005 as a separate, one-story wing of Glenwood Place and contains 40 Memory Care units that are split between two cottages, each housing twenty units with a shared courtyard. The addition is connected at the primary facility through a secured hallway, and combined, there are 300 independent, assisted and memory care units at the Glenwood Place Memory Care campus, located approximately 11 miles north of downtown Portland, Oregon. Memory inducing activities are provided for the Alzheimer's patients that encourage cognition. A classic 1957 Buick convertible is on site for patients to enjoy and provides a walk down memory lane. Several life stations allow patients to recreate past tasks such as table setting and sewing, and a work bench for craft-related activities is also available. Additional amenities include a kitchen area with food pass-out, dining room, nursing station, and social and sitting areas.

Red Mortgage Capital, Inc. structured a $3.8 million Fannie Mae DUS first mortgage loan with a fully amortizing 25-year term. The proceeds were used to refinance the construction debt on the addition. Red provided the initial Fannie Mae permanent financing on the primary facility in April 2005, and subsequently provided a $4.2 million supplemental loan on a 32-unit addition the same year.

The property is operated by LifeStyles, Senior Housing Managers, LLC, which operates 11 senior housing communities with more than 1,300 units, providing independent living, assisted living and Memory Care.

Paul Dendy, President of LifeStyles, Senior Housing Managers, LLC said, "We are pleased with this latest Fannie Mae loan arranged by Red Capital. This closing continues our program of fixed rate long-term financing to take out construction loans for original construction or expansions of our retirement communities. Glenwood Place Senior Living has been built in 4 phases, with 3 phases now financed through Fannie Mae. We hope to re-finance the fourth phase next year. I don't know of any other permanent financing program that would give us the flexibility to take out construction loans in phases so seamlessly. Red Capital has been a strong advocate for us and their performance has made it happen."

Casey N. Moore, Managing Director, Red Mortgage Capital, Inc . said, " Glenwood Place has been the ideal campus to showcase the versatility of the Fannie Mae Seniors Housing loan program. LifeStyles has been able to enjoy the benefits of favorable senior and supplemental financings within an overall loan structure. Red is pleased that we have been able to help Lifestyles with these financings and we look forward to furthering the LifeStyles, Fannie Mae, and Red Capital partnership."