Jason Punzel, Brad Goodsell and Vince Viverito of Senior Living Investment Brokerage announced a couple of closings out West. Starting in rural central Oregon, the trio sold a 27-unit/35-bed assisted living community in the town of Maupin for $1.6 million, or $59,300 per unit. Built in 2005, this community was fully occupied, but with a 60% Medicaid census. It was operating at a 20% margin on over $1 million of revenues, which is solid but presents an opportunity for a new owner.
The current regional owner/operator chose to focus on its larger communities in major West Coast MSAs and decided to sell the community to an Idaho-based regional owner/operator that does focus on these smaller communities.
Messrs. Punzel, Goodsell and Viverito next sold a 129-unit independent living community in Glendale, Arizona. Not many details were disclosed, but the regional developer/owner was leasing the four-year old community to the current operator. A REIT buyer was ultimately selected and chose to retain that operator. But no purchase price was revealed.
Finally, Brad Clousing of SLIB sold a 64-unit assisted living/memory care community in Bradenton, Florida. Built in stages from 1981 to 2014, the community was mostly stabilized with a 93% occupancy rate and 28% margin on $1.75 million of revenues. That is based on a census with a mix of Medicaid and Medicaid Diversion residents.
The local partnership owner was looking to exit the industry and decided to sell the community to another private partnership based in the Northeast that was looking to grow their Florida presence. They agreed on a purchase price of $5.4 million, or $84,400 per unit, with a cap rate around 9%.
