BWE Investment Sales brokered the sale of an assisted living and memory care community in Loveland, Colorado. The seller was Hunt Midwest, a Kansas City-based real estate development company, which had Integral Senior Living operating the community. Since 2010, Hunt has developed 850 assisted living and memory care residences at its Capstone and Benton House branded communities across five states, including Colorado, Florida, Missouri, Kansas and Tennessee.
Built in 2023, Capstone at Centerra comprises 102 units (56 AL and 46 MC) and was 88% occupied when the sale was negotiated and 95% occupied at closing. We also understand that the community was operating at a very strong margin, around 35%. Not wanting to mess up a good thing, Integral Senior Living will continue to operate the community.
After opening in April 2023, the asset went under LOI in July 2024. That buyer was California-based IRA Capital, a private equity firm focused on alternative investments. The transaction was an all-cash sale, and BWE is working with IRA to procure financing post-sale. The community sold for $40 million, or $392,000 per unit, with an estimated cap rate in the high 6s. Charley Bissell and Tony Hong of BWE handled the transaction.
