Ryan Saul of Senior Living Investment Brokerage generated an active, and aggressive bidding environment for a senior care campus in Mulberry, Indiana. The property, which includes 159 skilled nursing beds and 38 independent living units, was built between 1976 and 1997. Occupancy was 80% across the SNF beds, and the IL units were full. The operating margin was very strong, at 22% on more than $14.5 million in revenues. There is also 82+ acres of adjacent farmland and an adjacent vacant building that was included in the sale.
A private partnership of four individuals, with two of them looking to retire, was the seller. Ultimately, the other two partners bought out the retiring ones, which made for a seamless transition and closing. The purchase price was not disclosed, but considering the strong operations, we imagine it surpassed $100,000 per bed/unit.
