Public REIT Acquires North Carolina Senior Care Portfolio
A publicly traded REIT and its operating partner Saber Healthcare acquired a portfolio of five skilled nursing facilities and one assisted living community in North Carolina for an undisclosed price. The REIT emerged from a competitive bidding process that saw 16 total offers and was ultimately selected due to its likelihood of closing and of not renegotiating on price. Indeed the price, although not disclosed, did not change from the initial bid submitted at the end of August. That is impressive, and kudos to Brandon and Ben Bohland of Senwell Senior Investment Advisors for facilitating the transaction. Featuring 691 licensed beds, including 100 beds (in 77 units) at the private pay... Read More »
Euson Lindsay Health Acquires Indiana Skilled Nursing Facility
Already the owner and operator of a skilled nursing facility northwest of Indianapolis, Euson Lindsay Health LLC announced it has acquired another SNF in the Indianapolis area. The target, The Green House Cottages of Carmel, comprises 72 beds across six buildings and also includes short-term rehabilitation, memory care and long-term care. It has been in operation since 2016 and provides skilled nursing care in a “home-like” setting. With this acquisition, Euson Lindsay Health is now considered the largest owner and operator of the skilled nursing “small home concept” in Indiana, with two locations under the Restoracy brand. Read More »
JLL Capital Markets Closes Major Refinance
JLL Capital Markets arranged a $175 million refinancing for a six-property seniors housing portfolio totaling 821 units across the Southeast. Featuring a mix of independent living, assisted living and memory care units, five of the properties were recently built and the sixth, a second phase to its adjacent sister property, is currently under construction. The high-quality communities feature plentiful amenities, including fitness centers, dining rooms, lounge areas, bars, putting greens, outdoor patios, walking paths and more. No other details on the transaction were disclosed, but the JLL Capital Markets Debt Advisory team representing the borrower was led by Managing Director Allison... Read More »
CBRE Handles Active Adult Sale
CBRE National Senior Housing sold an active adult community in Tomball, Texas (Houston MSA). Built in 2014, Laurel at Vintage Park comprises 120 one and two bedroom units and sits on 5.48 acres. Amenities include a two-story clubhouse with a full kitchen, fitness center, community family rooms with kitchens, along with other amenities for the residents. The seller of the community was Coastal Ridge, a vertically integrated real estate investment, property management, and development firm. John Sweeny, Aron Will, Scott Bray, and Garrett Sacco, and CBRE’s Houston Multifamily team consisting of Clint Duncan, Matthew Phillips, Jock Naponic, and Nolan Mainguy, represented the... Read More »
Ziegler Arranges Bond Financing for North Carolina CCRC Expansion
Ziegler closed a large bond financing for The Forest at Duke, a not-for-profit CCRC in Durham, North Carolina. The campus, located on approximately 47 acres just south of Duke University, received $95.57 million in funding, split between a $66.07 million Series 2022A1 long-term bond and a $29.5 million Series 2022A2 intermediate-term bond. Both are draw-down, bank-held bonds issued through the North Carolina Medical Care Commission, with the A1 piece featuring a 15-year commitment and accreting swap and the A2 piece being repaid with initial entrance fees from an expansion project. First opened to residents in 1992, the CCRC currently serves over 360 residents across 154 apartments, 81... Read More »
60 Seconds With Swett: Seniors Housing & Care Market Nears 500 Transactions for 2022
With one month to go until 2023, we are just a handful of deals away from breaking the 500-deal mark for 2022. You’ve heard us say before that the previous record for publicly announced deals was 456, set in 2019 when the biggest issues facing the senior care industry were overdevelopment and a potential PDPM-induced rate readjustment. So, for seniors housing and care buyers and sellers to come together on what we assume will be well more than 500 deals (more when you include the scores of deals confidentially disclosed to us) despite a lingering pandemic, a staffing crisis, inflation and rising interest rates throughout much of the year is impressive. Late last year, we did think there... Read More »Is The Public Option Passe?
Last month, we raised issues about Sonida Senior Living and its ability to survive through next year without additional capital. Its market cap is low ($86 million), its share price is falling as are its cash balances. G&A expenses have been way too high, but they are beginning to address that. Another company, AlerisLife, is facing similar problems, such as a small market cap ($25 million), a falling share price and G&A expense out of line with its operations ($17 million in the third quarter alone). One good thing going for the company is that it has $79.1 million of cash and just $67 million of long-term debt. And, quarter-end occupancy in the third quarter increased... Read More »
CBRE Facilitates Augusta Acquisition in Georgia
CBRE National Senior Housing’s team consisting of Aron Will, John L. Sweeny, Jr., Garrett Sacco and Scott Bray completed the sale and acquisition financing for a fully occupied assisted living/memory care community in Augusta, Georgia. Built in 2019, Thrive at Augusta comprises 85 units on 17 acres and despite opening just before the pandemic, it did indeed reach 100% occupancy by the time of the transaction. It caters to a high-income population and features a number of high-end amenities. New York City-based Drake Real Estate Partners ultimately sold the property to Inspired Healthcare Capital. Aron Will and Adam Mincberg of CBRE also arranged a five-year, fixed-rate $16.8 million loan... Read More »
Active Adult Community Sells in New Jersey
JLL Capital Markets closed the sale of an active adult community in Englishtown, New Jersey (near Trenton). Built in 2008, Royal Pines at Marlboro comprises 89 units and sold for a purchase price of $29.9 million, or $336,000 per unit. The community comprises one- and two-bedroom units averaging 859 square feet. Unlike most active adult communities, Royal Pines allows 20% of residents to be 35 and older with the other 80% fulfilling the 55+ requirement. Intergenerational living could become more popular over the years, helping to seniors housing industry attract another cohort of seniors looking for it. The seller was a joint venture between vertically integrated real estate company GRJ... Read More »