Marcus & Millichap Sells in Minnesota
Two not-for-profit organizations traded a couple of seniors housing communities in New Ulm, Minnesota (about 90 miles southwest of Minneapolis), with Ray Giannini of Marcus & Millichap handling the transaction. The two properties, Ridgeway on German and Ridgeway on 23rd, feature 116 assisted living and memory care units, which were 75% occupied at closing. They were built between 1998 and 2004 and were well maintained. The seller, Housing Alternatives Development Corp., sold the communities to Vista Prairie Communities for $8.955 million, or $77,000 per unit. The deal brings Vista Prairie’s holdings to 10 assisted living and memory care communities in Minnesota, Iowa and Ohio that it... Read More »
Blueprint Sells Two Midwest Assisted Living Communities
Blueprint was brought on by a repeat institutional client to facilitate the sale of two seniors housing communities. One of the communities is located in Iowa and the other in Kansas, both of which were designed and constructed for assisted living in the mid- to late-90s. Amy Sitzman, Giancarlo Riso and Kory Buzin of Blueprint handled this transaction. These communities were presented as part of two large portfolios that collectively included 23 seniors housing communities spanning the Southeast, Midwest and Mid-Atlantic regions. Multiple competitive offers were received, with a regional owner/operator emerging as the buyer. This was not the first transaction Blueprint has executed... Read More »
An Active Adult Deal in the Southeast
The active adult M&A market has slowed considerably in 2023, as interest rates rose above the typical cap rates for the asset class, but Berkadia just closed a sale for a community in Charlotte, North Carolina. Cody Tremper, Mike Garbers, David Fasano and Ross Sanders led the transaction on behalf of the seller, Evergreen Residential. The deal closed on October 2. The property opened in fall 2020 and leased up quickly. It helps that the property is located in one of Charlotte’s exclusive master-planned communities near an array of shopping and entertainment opportunities. Community outdoor amenities include a resort-style pool with sun deck, dual manicured courtyards, outdoor grilling... Read More »
Blueprint’s Recent Activity
We have said it before: the senior care M&A market has been an enigma. The difficult capital markets environment combined with operational distress in the industry has reduced buyer demand, increased lender scrutiny of deals and lowered values to a level that discourages potential sellers from entering the market. Headaches involving sourcing debt, soaring insurance costs and skittish (some would say fickle) buyers/lenders have made each transaction that much more difficult to complete. Despite all of this, M&A activity is, at first glance, still at historically high levels. In the third quarter of 2023, 115 deals were publicly announced. That is down from the 140 transactions made... Read More »
Trustwell Living Doubles In Size
After launching in early 2021, Trustwell Living has added an additional 24 communities with 1,126 units to its growing portfolio. These 24 properties are located in eight states and bring Trustwell’s total portfolio to 45 communities with more than 2,300 units in 14 states. For now. This will be a lot of work for the company, since it just transitioned 16 communities with 762 units in three states (Florida, Illinois and Ohio) last June. Prior to that, Trustwell had just five communities under management. Good thing they had the corporate infrastructure in place. In the current agreement, they started transitioning 12 communities at the end of June, six more in September and the final six... Read More »Schedule a demo
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