Large skilled nursing divestitures seem to be in vogue these days, as another institutional skilled nursing owner sold 23 of its non-core facilities in Ohio and Pennsylvania, with the help of Evans Senior Investments. Consisting of 1,682 total licensed beds, the portfolio was approximately 84% occupied, but five facilities were 90% occupied or higher. Some facilities were also operationally underperforming, and their EBITDAR margins took a hit.
So, there is clearly some work to do, and some value to add. It certainly helps that most of the facilities are located in major metro areas in Ohio and Pennsylvania. The buyer, an owner/operator based on the East Coast, paid $94 million, or about $56,000 per bed, for the portfolio. Now, the work begins.
