Equipped with a new roof and a new upgraded license, a 50-unit assisted living community in Forest Park, Georgia sold to Birchwood Healthcare Properties for $4 million, or $80,000 per unit. Originally built in 2000, the community was owned by a local doctor, who has decided to exit the business after retirement from his medical practice. The community was just 75% occupied, and it brought in under $50,000 in EBITDA on approximately $1.7 million of revenues, for an operating margin of just 3%. So, operations could obviously improve. The community has received significant capital upgrades to its exterior over the past five years, including a new roof, and has also upgraded to a new assisted living license. Birchwood will look to improve rates, occupancy and the operating margin, hiring Atlanta-based Canopy Lifestyles to manage it. They will also invest in some interior upgrades. Brad Clousing and Jeff Binder of Senior Living Investment Brokerage handled the transaction.
Birchwood Moves Into Forest Park
by Steve Monroe | Jun 7, 2017 7:01 am | Acquisitions | 0 comments