A northeastern Ohio portfolio of assisted living/memory care communities sold out of receivership, with the help of Ryan Saul of Senior Living Investment Brokerage. Dubbed “The Lantern Group Portfolio,” the three communities feature a combined 220 units, split between 135 assisted living and 85 memory care units. Built in 1960, Lantern of Madison is located about 40 miles northeast of Cleveland, Lantern of Chagrin Valley (built in 1976) is just 15 miles southeast of Cleveland, and Lantern of Saybrook (built in 2015 in the town of Ashtabula) is halfway between Cleveland and Erie, Pennsylvania.
Mike Flanagan was brought in as the receiver of the portfolio, who then hired Everest Management Solutions to improve occupancy and expense control. There were 150 residents and a sub-10% margin when the portfolio entered receivership, but census increased to 205 residents at the time of the sale. In addition, EBITDAR rose from $835,000 to more than $3.5 million in that period. Helping the turnaround was the state increasing MedWaiver Assisted Living rates (and a boost in waiver residents, as well).
An East Coast owner/operator looking to grow its seniors housing portfolio in Ohio bought the communities for a combined $25.05 million, or $113,900 per unit.
