Senior Living Investment Brokerage announced the closing of two separate seniors housing transactions in New York and Kentucky. First, Patrick Burke and Dave Balow facilitated the sale of an adult home and Assisted Living Program (ALP) community in upstate New York.
The community, built in 1999 and renovated in 2019, comprises 60 units and 120 beds in an attractive sub-market in western New York. It benefits from the ability to attract private pay residents in the area, as well as those with Medicaid as the payor for the ALP beds. There is room for improvement operationally, as occupancy was at 65.7% at the time of closing and the community was just under breakeven.
The seller was a not-for-profit organization and senior care operator looking to scale back its seniors housing presence. There were multiple offers, with the ultimate buyer being a private owner with a focus on communities in NY that are licensed for ALP. This is the fourth community the buyer has acquired.
Next, Daniel Geraghty, Brad Clousing and Jeff Binder were engaged by a Northeast-based owner that recently acquired a large skilled nursing portfolio in Kentucky but was divesting one of the properties. Built in 2001, Heritage Place features 65 assisted living units on 1.7 acres in Owensboro, Kentucky. It was the only seniors housing asset in the portfolio, hence the divestment. The tenant also had limited experience in the AL space.
The buyer was a large regional owner/operator, Morning Pointe Senior Living, looking to expand its presence throughout the Southeast. The intent is to inject significant capex into the building to improve operations. There was a national, yet confidential market, with multiple offers from both regional and local buyers.
