M&A is chugging along in the senior care market, at last, and two teams from Blueprint Healthcare Real Estate Advisors handled a couple of transactions this week. First, in Ohio, Connor Doherty, Brian Payant and Ryan Kelly advised the estate and its advisory board in the sale of two senior care assets in the Cincinnati MSA. The campuses consist of 400 dually certified skilled nursing beds and 232 seniors housing units. Both also brought in positive cash flow. A New York-based private equity group with a strong presence in the local market emerged from the bidding process as the buyer, paying a price per bed that was high for the state. The deal brings Blueprint’s total 2020 Ohio transactions to six valued at more than $115 million.
Then, Steve Thomes and Christopher Hyldahl closed the sale of two skilled nursing facilities in Connecticut that brought up some déjà-vu for them. That is because Blueprint already sold the facilities as part of a 10-property portfolio in late-2017. The buyer at the time, a private investment group based in New York City, and an operating partner deemed the facilities to be non-core.
Located in two distinct markets in the New York City and Hartford MSAs, they total 197 licensed beds and hold four- and five-star ratings, respectively. Combined revenues at the time of marketing were approximately $16 million, but operating margins had started declining year over year.
So, now representing the former buyer, Blueprint found a new owner based in Connecticut and with an existing operating presence in the state. To close the deal, Blueprint also navigated the union collective bargaining agreement in place at both facilities.
