Case Study 1
Sale Leaseback &
Elevation has flexible capital that can stretch from traditional sale and leaseback financing to structured equity financing, aiming to be a "one stop shop" for its operating partners. Our operating partners use this flexible capital to pair their growth opportunities with the most applicable and efficient capital structure option.
By way of example, Elevation started a new relationship with an operating partner by purchasing a newly developed best in class care home on a traditional sale and leaseback basis. This transaction allowed the operator to crystallize a development gain whilst retaining the operations and putting in place a long-term sustainable capital structure for that home.
The operator is now reinvesting the sale and leaseback proceeds into its development pipeline alongside development financing from Elevation. This financing is provided through a structured equity investment well suited to development, which allows the operator to retain the real estate and capture the development profit whilst providing Elevation with an appropriate risk adjusted return.
Case Study 2
Elevation has extensive experience in supporting operating partners with acquisition leaseback financing. In this structure, our operating partner acquires a business and finances the acquisition through a combination of Elevation’s capital and their own. These are typically complex transactions requiring a high degree of technical knowledge and coordination between the various stakeholders.
For example, one of Elevation's operating partners acquired a whole care home group including home level operations, central office function and real estate. On closing the transaction, Elevation entered into a sale and leaseback with the operator over the real estate which helped to finance the purchase price for the group.
Elevation also made available additional capital in the form of a working capital loan and capex funding. Elevation lead the structuring and execution of the transaction including elements related to the re-organization of the group to allow for the real estate to be sold on completion of the acquisition.