Vital Healthcare Capital (V-Cap) has closed a pre-development construction loan with Finger Lakes Area Counseling and Recovery Agency (FLACRA), one of three integrated loans that will support FLACRA’s growth as a community-based behavioral health agency.
FLACRA, an Ontario County-based OASAS and OMH licensed provider, delivers a range of services to individuals affected by substance abuse, including inpatient and outpatient treatment, housing and care management services. In late 2017, FLACRA was awarded a $3.5 million Statewide Healthcare Facility Transformation Program (SHCFTP) I award to renovate and add treatment capacity to their main facility in Clifton Springs, NY. V-Cap is working with FLACRA to provide a complete financing package that meets their complex, inter-related capital needs driven by the SHCFTP I award and subsequent investments in infrastructure.
- V-Cap’s pre-development loan will pay for architectural design and other pre-construction incurred costs associated with FLACRA’s SHCFTP I award.
- V-Cap will also provide a bridge loan of up to $1.25 million to float the construction costs FLACRA incurs with their SHCFTP I award. SHCFTP awardees must pay costs before being reimbursed by DASNY; V-Cap’s bridge loan will give FLACRA the liquidity they need for effective construction management.
- Additionally, V-Cap and FLACRA intend to close a separate construction loan of up 1.5 million for FLACRA build a new administrative facility to bring all administrative and care management staff under one roof. Construction of the new administrative headquarters was necessitated by FLACRA’s programmatic growth and SHCFTP I award.
FLACRA’s project was identified through V-Cap’s collaboration with the NYS Council for Community Behavioral Healthcare (The Council), a statewide, non-profit membership association representing the interests of nearly 100 mental health and substance abuse prevention, treatment and recovery organizations across New York. V-Cap and The Council have partnered to explore how their members plan to invest in facilities, infrastructure, and new or expanded lines of service. FLACRA participated in this process which led to securing financing with V-Cap. FLACRA is also a member of Alcoholism and Substance Abuse Providers of New York State, another statewide association representing the interests of prevention, treatment and recovery providers.
Said Chief Executive Officer Marty Teller, “FLACRA is grateful to V-Cap for assistance making this vital project happen. We hope that other agencies can access V-Cap resources to advance their strategic plans.”
V-Cap provides facility, business and bridge loans, including short-term advances against permanent financing or capital awards. Visit vitalcap.org to learn more.
For more information about FLACRA, please visit https://www.flacra.org/
Vital Healthcare Capital (V-Cap) is a financial partner for healthcare providers that are building better care for the most vulnerable communities, and better jobs for the frontline healthcare workforce. Visit vitalcap.org to learn more.