Evans Senior Investments arranged the sale of an assisted living community in Denver, Colorado, representing Novellus Living in the transaction. ESI previously facilitated the sale of the community less than two years ago.
Originally built in 2002, Novellus Cherry Creek comprises 66 units and operates on a 59% private pay basis. In 2022, occupancy was in the high-70s by the time of the previous sale, but the community was losing money. However, occupancy had dropped to around 36% more recently, and cash flow remained negative, prompting Novellus to execute on a strategic redirection. That included divesting the Colorado asset to focus on its successful California and Arizona portfolios.
ESI took advantage of its market knowledge having previously sold the asset and conducted a confidential marketing process, targeting a select group of seniors housing buyers. Peaks Healthcare was ultimately chosen as the buyer, for an undisclosed price. The transaction closed within 130 days of hitting the market.
