Brad Clousing of Senior Living Investment Brokerage showed his strength in the Southeast, closing two transactions in Georgia and Florida. He first helped a partnership exit the seniors housing industry with the sale of their 64-unit memory care community in Fayetteville, Georgia (20 miles south of Atlanta). The partnership hadn’t been together long (the facility only opened in 2013), but a death within it affected the lease-up process and prompted the sale. The purpose-built community is currently 81% occupied, and working towards stabilization. Since it’s still in lease-up, it was offered at a slightly discounted price per unit, selling for $11 million, or $171,875 per unit. New York-based real estate investment firm, Care Investment Trust, was the buyer and will bring in a new partner, Kennesaw, Georgia-based Phoenix Senior Living, to operate the community.
Then, rising from the ashes of a 2015 fire that took 15 units out of commission, an independent living community in Lakeland, Florida sold to a regional operator with a corporate office located nearby. Built in 1971, 1972 and 1974, before Florida fire code required sprinklers in multifamily buildings, the community received an $800,000 renovation to the affected units and the common areas after the fire, but operations suffered as a result in 2016. Occupancy is currently 70%, with revenues and EBITDA around $1.0 million and $155,000, respectively. The buyer intends to re-brand the community and complete the renovation. Mr. Clousing and Patrick Burke of Senior Living Investment Brokerage represented the seller, a regional owner/operator based out of Florida, in the transaction.
