Solomon Development is building a new senior living community near the heart of Atlanta, Georgia (in Decatur, to be exact) with the help of the BMO Harris Healthcare Real Estate Finance group. Featuring 96 assisted living, 71 independent living and 33 memory care units, the project is located on a 3.5-acre lot with easy access to local shops and amenities. It is estimated to cost approximately $67 million, or around $335,000 per unit, to build, which is far above the $220,000-per unit average for seniors housing properties in the state, according to our in-house senior living development database dating back to 2013. BMO is financing approximately two-thirds of that cost with $44.2 million in debt, made up of a construction and a mini-perm loan.
Solomon has been very busy of late, developing a number of communities under both the “Dogwood Forest” (operated by Trinity Lifestyle Management) and “The Holbrook” (operated by Clairemont Senior Living) brands. All of the developments are located in the Atlanta metro area, and its total investment in the area well exceeds $300 million. Four communities are expected to open in 2017/18; after that, we will wait and see.
