Matt Alley of Senior Living Investment Brokerage is on a tear in Texas, selling his third skilled nursing facility there in a month. The latest sale involved a value-add SNF in Gainesville selling to a Texas-based owner/operator for $1.5 million, or $17,900 per operational bed.
Licensed for 116 beds, this older facility (built in 1971) struggled with local competition and was a geographical outlier for the regional owner/operator seller. Occupancy averaged just 49% in 2018, and the facility operated with just 84 beds, with an 8% margin on about $3.475 million of revenues.
However, it has a few things going for it, like being located one mile from North Texas Medical Center of Gainesville, and being enrolled in the QIPP program. The new owner also plans to invest in some cosmetic renovations to help turn the facility around.
