Sonida Senior Living Enters $380M Senior Term Loan with Ally Bank

What Happened
Sonida Senior Living, Inc. announced on August 7, 2026 that it entered into a senior secured term loan agreement (the "2026 Ally Term Loan") with Ally Bank for $380.0 million. The agreement amends and restates the prior Ally loan (originally dated August 7, 2025). Sonida received an initial advance of $372.5 million covering 28 communities (19 previously financed under Ally and 9 acquired in March 2026 in the merger with CNL Healthcare Properties, Inc.). One additional draw of $7.5 million is available if certain debt yield and debt service coverage ratio conditions are met. The loan carries a closing fee of 0.75% ($2.85 million), a variable interest rate of one‑month SOFR plus a 1.85% margin, is interest‑only for the initial five‑year term, and matures in five years with two optional 12‑month extensions.

Key Details

• Loan amount: $380.0 million; initial advance $372.5 million on 28 communities.
• Contingent additional draw: $7.5 million subject to debt yield and DSCR tests.
• Pricing & fees: interest = 1‑month SOFR + 1.85%; closing fee 0.75% ($2.85M).
• Term & payments: 5‑year maturity, two 12‑month extension options, interest‑only during initial 5 years.
• Prior balance: Sonida had $122.0 million outstanding under the existing Ally term loan (maturing Aug 7, 2028) as of Aug 7, 2026.

Why It Matters
This is a material financing transaction that refinances and replaces Sonida’s prior Ally loan and extends the company’s term financing for multiple communities, including those added via the March 2026 merger with CNL Healthcare Properties. For investors, the interest‑only structure reduces near‑term cash interest requirements but leaves Sonida exposed to variable SOFR‑based rates. The five‑year maturity with extension options provides liquidity runway, while the contingent $7.5M draw and fee/costs affect available capital and transaction expense. The full loan agreement is filed as an exhibit to the 8‑K for review.