We had been talking about how 2016 was the “year of the small deal,” with near-record transaction levels but few mega deals. That changed at the end of July and certainly at the start of August, when several large deals were announced. Welltower caused the biggest stir in acquiring 19 seniors housing properties operated by Vintage Senior Living for a total of $1.15 billion, making it the largest long-term care transaction in 2016 by more than double (Welltower’s February acquisition of the Aston Gardens portfolio for $569 million came in second). The portfolio, which includes independent living, assisted living and memory care, is concentrated in high income markets in Southern and Northern California, as well as in Washington State. There are 2,590 units included in the deal, so the price comes out to approximately $444,000 per unit, which makes sense given the communities’ locations, and the portfolio premium. Occupancy could be improved, as it averages 83% in Southern California and 87% in Northern California. And according to the REIT, the projected stabilized yield in in the mid-to-high 6% range. Welltower will transfer management of the properties to its operating partners, with 11 going to Senior Resource Group, seven to Sunrise Senior Living, and one to Silverado Senior Living. But Vintage Senior Living will continue to operate the portfolio until the acquisition is completed, which is expected to close in tranches starting in September 2016. With this transaction, Welltower now owns 114 health care properties in California, making the REIT the largest owner of seniors housing communities in the state.