Summit Healthcare REIT exited its memory care community in Corvallis, Oregon, selling the property for $11 million, or about $344,000 per unit. Featuring 48 beds in 32 units, Regent Court Senior Living was originally built in 2000. Operations were strong, with the community taking advantage of the favorable Medicaid rates in Oregon.
In 2016, Summit bought the community plus a 39-unit assisted living community in Citrus Heights, California in a joint venture with Fantasia Investment III LLC and a U.S.-based affiliate of Fantasia Holdings Group Co. Limited, a Chinese corporation listed on the Hong Kong stock exchange, for a combined $23 million, or $365,100 per unit. Summit held 20% of the venture, but its interest increased to 35% over the years. Both Summit and Fantasia are exiting their Corvallis interests with this deal.
The communities were triple-net leased to an affiliate of Compass Senior Living for a term of 10 years, but Compass was transitioning away from the Corvallis community, and had already stopped operating the Citrus Heights location. Blueprint Healthcare Real Estate Advisors handled the 2016 deal, and Dan Mahoney of Blueprint returned to close the 2022 transaction. A regional owner/operator emerged as the buyer.
