Bob Richards of Senior Care Realty arranged an owner’s exit from the seniors housing business with the sale of his last assisted living community in Wisconsin. Located in Kenosha, the community was originally built in 1925 but was kept up over the years. It features 86 private units and mostly drew from a lower acuity, veteran population. Occupancy was strong at 96%, and the owner was able to control expenses extremely well, as the community operated at a 46% margin pre-pandemic (and stayed close to there through the pandemic) on around $2.38 million of revenues.
The private individual seller originally entered the senior care business in 2012 with a three-community portfolio purchase before adding this community in 2016. However, since then, he has divested those other communities and the time came for this last sale. Mr. Richards had represented him in each transaction.
A New York-based operator with a presence in the Midwest bought the community for $8 million, or $93,000 per unit, utilizing a lender partnership to finance the deal.
