Memory Care Facility Project Feasibility Studies...

Rainmaker Marketing Corporation is one of the senior housing development industry's most experienced memory care feasibility studies consulting firms in North America.  We specialize in development finance due diligence services and creating highly-leveraged structured finance packages for clients seeking non-recourse construction financing mortgage loans for their projects without having to go through the FHA/HUD loan insurance program application process.  Most memory care unit developers have been forced to use the HUD route because of a lack of sufficient equity capitalization in the proposed project's capital funding plan proposal.  Rainmaker's approach to creating project feasibility studies for memory care units (typically licensed at the assisted living level and termed "Alzheimer's Specialty Care Units - "ALZ/ALCFs") is to address not only the market feasibility issues and financial feasibility issues, but also takes into account the structured finance issues and developer capital requirements.  RMC's approach is a four-tier capital finance approach that:

	initially, is designed to induce a lender (or what amounts to the same thing - i.e.: a private placement offering of loan notes) to close escrow on the project construction mortgage financing loan regardless of whether or not the equity financing is large enough to induce the lender into closing and funding; then
	once the first tier goal has been met, the next goal is for equity financing contributions to be increased by an amount sufficient to induce a lender into providing the construction mortgage financing loan on a non-recourse basis; then
	once the second tier equity financing goal has been met, the third tier goal is to raise sufficient equity financing proceeds so as to allow the developer to withdraw the developer's seed capital, making the developer's seed capital available for sponsoring and promoting another commercial income-producing project (including dementia care units and all other forms of senior housing); then
	Once the third tier equity financing goal has been met, the final tier of equity financing is to raise sufficient equity financing to retire the outstanding indebtedness of the construction loan (via defeasance) and all other long-term liabilities, thus eliminating the equity syndicate investor's foreclosure risk exposure and bankruptcy risk exposure for all assets so financed and operated.

Continued on following page.