A West Coast-based group entered the state of New Mexico with the acquisition of a 101-bed skilled nursing facility in the rural northwestern part of the state. Despite its rural location, the facility had a strong operation, with occupancy improving from 83% during the marketing process to 95% upon closing. In addition, a strong Medicaid rate increase implemented in July 2022 helped boost cash flow.
Evans Senior Investments represented the seller, a Southwest regional operator, in the transaction. Showing off the potential for expense savings, Evans sold the asset for $16.5 million, or $163,400 per bed.
