Stroudwater Associates, the nation’s leading source of strategic, operational, and financial strategy for rural, community and county-district owned hospitals, announced today a joint venture with Greater Commercial Lending (GCL), a wholly-owned subsidiary of Greater Nevada Credit Union, recognized as one of the nation’s leading USDA lenders, to help rural healthcare businesses access USDA guaranteed loans. The new partnership will be known as StroudwaterGCL Rural Healthcare Capital.
The joint venture combines Stroudwater Associates’ expertise in rural healthcare planning, financial improvement, and strategy with Greater Commercial Lending’s expertise in USDA healthcare lending.
“Every day we fight alongside Rural and Community Hospitals to help them identify opportunities to provide the best care for their communities, but access to affordable capital often stalls those high impact projects,” said Stroudwater Associates’ Board Chair Eric Shell. “Previously, lenders avoided lending to rural healthcare because of perceived risk. With GCL as a partner, we can now help clients access capital with very attractive terms and diversify risk by bringing bonding capacity at a fraction of the cost to the community. GCL is one of the best organizations in the country that has managed that structure.”
Historically, Rural and Community Hospitals and health systems had a hard time accessing capital at a fast and affordable rate. This new partnership will provide improved access to low-cost, credit-enhanced capital for funding high-impact rural health investment in new replacement facilities and renovations and expansions. Additionally, Rural and Community Hospitals will have the option of refinancing existing debt to create savings and enable reinvestment of capital expense into operations.
The USDA Community Facilities program is attractive for its low interest rates and long amortization (up to 40 years). The application process can be complicated. Having GCL, the top ranked USDA Business & Industry Guaranteed Loan Program lender in the U.S. over the last year, and Stroudwater, the nation’s leading strategic advisor to Rural and Community Hospitals and health systems, on the same team brings an unrivalled track record, capabilities, and expertise to every Rural and Community Hospital and health system.
“Stroudwater understands the impact we can make in rural communities by bringing Wall Street buying power to Main Street healthcare,” said GCL Executive Vice President Jeremy Gilpin. “Their mission has always been to level the playing field with strategy and operational expertise. Our partnership now brings the nation’s leading USDA lender and its capabilities to the table, leveling the playing field for accessing capital for Rural and Community Hospitals and health systems.”
“Our vision is to reinvent rural healthcare. The ability to invest in needed infrastructure with innovative and efficient facilities and reinvigorate these rural health systems with long-term investments will improve the health of the communities they serve,” added Shell.
To learn more about the joint venture, click here.