Senior Living Investment Brokerage hit a rich vein of activity at the start of May, reporting several closings for seniors housing and skilled nursing assets. First, Jason Punzel, Brad Goodsell, Vince Viverito and Jake Anderson facilitated the sale of a seniors housing community in Grants Pass, Oregon. Built in the 1960s, Oak Lane Retirement features 20 independent living, 44 assisted living and 16 memory care units.
The community was leased to the buyer, a regional owner/operator continuing to expand its presence in the state, about two years ago with an option to purchase, which was executed on April 30. The lease gave the buyer time to improve operations prior to closing and secure better financing. The seller owns multiple communities and was divesting because this one no longer fit its long-term strategic plans.
Next, Toby Siefert, Nick Cacciabando and Vince Viverito represented a Pennsylvania-based not-for-profit, Phoebe Ministries, in the sale of its smallest campus. Located in Wyncote, an affluent suburb of Philadelphia, the CCRC consists of 44 units and 54 operational beds (58 licensed) of skilled nursing, 21 units and 45 licensed beds of personal care, and 24 units of independent living. It was built in stages between 1950 and 1968 as well as in 1992.
Operations could be improved, as the small building with several acuity types was 81% occupied but was running at significant loss. The buyer was a private East Coast investor with experience in both skilled nursing and personal care that committed to keeping the community open for the staff and residents. The price was not disclosed.
Brad Clousing and Daniel Geraghty then announced two deals in the Sunshine State. One featured Port Charlotte Towers, an updated 174-unit independent/assisted living community adjacent to a new proposed Town Center development in Port Charlotte. It was built in the mid-1980s and received significant capital improvements over the past two years. A partnership between a private REIT and a national operator sold the community to another partnership between a Florida-based regional operator and a private investment group that intends to stabilize occupancy and increase rates.
Lastly, Clousing and Geraghty sold a 180-bed skilled nursing facility in Jacksonville, Florida. Built in the late 1970s, Harts Harbor Health Care Center has 97 total units. A family-owned trust had leased the building to an experienced operating company. However, pricing was lower than the typical Florida SNF transactions due to the operating company being in bankruptcy, which provided the buyer with little to no representations and warranties post-closing. Additionally, the building required a significant amount of capex to compete within the market. A large healthcare investor and asset manager across the United States bought the facility for an undisclosed price.
