Blueprint Healthcare Real Estate Advisors continued its recent surge in closings with the sale of a rural Virginia skilled nursing facility. Located just off I-81 in the southwest Virginia town of Rural Retreat, the 120-bed facility was built in 2015 with 20 private and 50 semiprivate units. Shortly after it achieved stabilization, its operator, Traditions Senior Management, decided to execute its below-market purchase option on the facility’s real estate.
Occupancy remained strong until the pandemic when the facility like many others saw census dip. Being one of the newest facilities in the area, it was still able to attract a healthy quality mix. But financials could certainly be improved.
Traditions decided to exit and chose an owner/operator that is based in the Northeast but is eager to expand its presence in the Mid-Atlantic, specifically in Virginia. SNF prices in the Commonwealth tend to be high, averaging $111,900 per unit according to sales from 2015 to 2020. Despite this facility’s rural location and relatively sub-par operations, it sold for above that value. Its newer vintage helped, we are sure. And census had stabilized leading up to closing. But also, Brooks Blackmon, Michael Segal and Ben Firestone of Blueprint had a hand in achieving that price too.
