Heavenrich & Company recently announced the sale of Pathways Memory Care, a 60-unit skilled nursing memory care facility that is licensed for 94 beds. It was built in 2014 on an 80-acre medical campus in Northwest Houston, Texas. The campus includes a 120-bed skilled nursing facility that Heavenrich sold in 2020.
As part of the current sale, the new owners will transition the community away from its skilled license to a private pay memory care setting. Some of the residents of Pathways Memory Care will be transferred to Villa Toscana, the adjacent skilled nursing facility on the campus. As part of the transaction, one wing of the Pathways building will be sub-leased to a hospice provider which will accelerate the lease-up. A win-win for all.
The buyer is a new operator, Proveer Senior Living, which partnered with a Chicago-based private equity firm that provided the capital for the acquisition. The Houston market is known to be a bit overbuilt in the skilled nursing sector, so this transaction will help fill beds in one facility while taking 94 skilled beds out of service in the market. And with a quarter of the beds being leased to a hospice provider, the task of filling the remaining beds with private pay memory care residents will be that much easier. In this market, you do whatever it takes.
