Pacifica Companies, LLC, a privately owned real estate private equity firm based in San Diego, California, acquired the majority of the not-for-profit Retirement Housing Foundations‘ market-rate seniors housing and skilled nursing assets. Ziegler served as exclusive sell-side advisor to RHF on the transaction, which closed in phases throughout late 2022, 2023 and the first quarter of 2024.
The portfolio consists of 15 seniors housing communities across six states: California (7 communities), Florida (3), Missouri (2), Indiana (1), Kentucky (1) and South Carolina (1). There are around 3,200 market-rate independent living, 850 assisted living/memory care and 563 skilled nursing beds. RHF made the strategic decision to divest the portfolio, as its organizational philosophy shifted towards serving limited income seniors, people with disabilities and economically disadvantaged families in its 182 affordable housing settings in 27 states, Puerto Rico, St. Croix and the District of Columbia. The proceeds from the divestiture will be utilized to develop additional affordable housing and to acquire existing affordable housing owned by others.
Ziegler conducted a thorough, yet targeted, marketing process for the portfolio and negotiated pricing agreeable to both counterparties despite turbulent conditions in the senior housing and post-acute care capital markets environment. In the end, Pacifica paid $180.5 million, or around $40,000 per bed, and the communities will operate under their “Pacifica Senior Living” and “The Meridian.”
