Evans Senior Investments announced the sale of a skilled nursing and seniors housing portfolio in the state of Pennsylvania, representing an in-state owner/operator in their exit from the industry. The portfolio consisted of three properties comprising a total of 395 beds of skilled nursing and 32 units of seniors housing. The purchase price of the portfolio was $39 million, or $91,000 per bed. At the time of marketing, occupancy averaged around 64%, with total portfolio revenue of $27.2 million and an operating loss of -$1.5 million.
The portfolio struggled with regulatory deficiencies and staffing shortages, which dropped occupancy to 57% during the transaction process. Evans secured a regional owner/operator looking to grow their skilled nursing presence in the state of Pennsylvania as the buyer. Despite regulatory deficiencies, declining financial performance and union negotiations, the purchase price did not change from the original LOI.
