California-Nevada Methodist Homes, a California-based not-for-profit owner/operator, sold two of its entrance-fee CCRCs in the Golden State after filing for bankruptcy in March 2021. Lake Park, a 215-unit CCRC in Oakland, and Forest Hill, a 135-unit CCRC in Pacific Grove, experienced declining performance in recent years, which was amplified during the pandemic. Occupancy had dropped to around 60%, and monthly operating losses were significant.
Pacifica Senior Living emerged as the winning bidder at the bankruptcy auction for $34 million, or $97,000 per unit. Pacifica also assumed all entrance fee contracts and associated entrance fee liabilities of approximately $20 million. Dan Revie from Ziegler represented California-Nevada Methodist Homes in the sale.
