At the start of April, the team at Helios Healthcare Advisors including Jeff Rhodes, Bill Janis and Mario Wilson, successfully sourced a tenant and structured the lease of a 150-bed skilled nursing facility in Kerrville, Texas. We’re not sure how operational transitions go these days, but we can’t imagine they’re easy.
Blueprint Healthcare Real Estate Advisors (Mr. Wilson’s former stomping grounds) announced the deal last week, representing the REIT seller. Built in 2006, the facility was enrolled in the Texas Quality Incentive Payment Program (QIPP). Formerly operated by Southwest LTC, its occupancy was in the low-50% range, but cash flow (before the QIPP revenue) was near-stable. But at the time of closing, the facility experienced a significant downtrend in performance.
The private Arkansas-based buyer was making its first acquisition in the state and engaged Helios to find the right operating tenant, which ended up being a new operating partnership between two SNF executives with a lot of experience in the space. In addition to improving and adding value at this facility, the pair will look to eventually grow their platform in Texas.
