A county-owned skilled nursing facility in Fremont, Ohio may see a brighter future under its new private owner, which acquired the property for $2 million, or just $24,400 per bed. The three-story, 82-bed facility was built in 1965 and expanded in 1989. But age was not its only issue. Occupancy was 56% at the time the property went to market, but actually dipped below 50% during the process. It also had a high Medicaid census (at 81%) and operated at just a 3% margin on approximately $4.16 million of revenues.
When the previous operator/tenant, Pristine Senior Living, decided to exit the Ohio market at the end of the lease, the county elected to sell and exit the long-term care business. That’s when the New Jersey-based owner stepped in, which hopes to leverage its existing presence in the Buckeye State and make a significant investment to stabilize operations and boost the quality mix. Ryan Saul of Senior Living Investment Brokerage handled the transaction.
