Moving on in Milwaukee

Ray Giannini and John Klement of Marcus & Millichap helped the private owner of an assisted living community in Wisconsin exit the industry with its sale. Located minutes from downtown Milwaukee, Wisconsin in the town of Oak Creek, this 20-year old community has 36 private units, each with a bathroom and kitchenette. Occupancy was nearly full but mostly featured Wisconsin waiver residents, limiting the community’s potential cash flow.

Aided by $500,000 of seller financing with a slightly-above-conventional interest rate, the buyer, a Chicago-based land entity, paid $3.8 million, or $105,600 per unit, at an approximate 9% cap rate.

 

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