Performing Properties Sell in Upper Midwest
Ray Giannini of Marcus & Millichap handled the sale of three assisted living/memory care communities in Wisconsin. Dubbed the Caring Alternatives Portfolio, the communities are located in affluent markets in Oak Creek and Muskego. There were 13 two-bedroom and 62 one-bedroom units, all with private bathrooms. The communities were relatively new construction, having been built in 2009, 2011 and 2018. Operations were strong, with 100% occupancy at closing, with a 91% private pay census across the 75 units. With that kind of census, the communities also boasted excellent cash flow. The trio sold for $18 million, or $240,000 per unit. Read More »
HUD Forecloses on Two California Senior Apartment Communities
The Santa Clara County Housing Authority purchased two senior apartment communities in East San Jose, California, both through foreclosure. Included in the deal were Jardine Paloma Blanca, a 43-unit affordable senior apartment community, and Girasol Housing, which has 59 units. HUD foreclosed on both properties. For the Jardines Paloma Blanca community, the previous owner, an affiliate of Macsa Housing Corp., had unpaid debt including the original principal, late fees, interest and penalties totaling $10.5 million. The Housing Authority paid $2.65 million, or $61,600 per unit, for the property, according to documents filed with the County Recorder’s Office. For Girasol Housing, the... Read More »
Another Seniors Housing Conversion to Behavioral Health
Two Texas seniors housing communities found new owners, and a new calling as behavioral health facilities. The communities, totaling 120 units, are located in San Antonio and Dallas and were being divested by an undisclosed seller. Blueprint Healthcare Real Estate Advisors was brought on to sell the assets. With a Behavioral Healthcare group as well as its seniors housing and skilled nursing platform, Blueprint was able to underwrite both assets as seniors housing and as behavioral health conversion candidates. Ultimately, one regional and one national behavioral health provider were selected as acquirers, with both planning to make capital improvements and apply for new licensing. On... Read More »
Montgomery Intermediary Group Handles Residential Care Deal
A couple of small residential care facilities traded in the Ozarks region of Missouri, with their mom & pop owner/operator exiting the senior care business as a result of the deal. Andrew Montgomery of Montgomery Intermediary Group handled the transaction on behalf of them. One community in Cole Camp, built in the 2000s, featured 20 units of residential care (RCFI). The other building, in the town of Warsaw, was a Department of Mental Health residential care community, classified as an RCF II, that had 21 units and 35 beds. The Warsaw building was on the older side but both had a history of high occupancy. Combined, the properties sold for around $40,000 per unit, and there... Read More »
Forbright Bank and HJ Sims Provide Acquisition Financing
Forbright Bank, a full-service bank, and HJ Sims, a private investment bank and wealth management firm, provided financing for the acquisition of two skilled nursing facilities in California. Located in two strong submarkets, the facilities total 150 beds, with occupancy above 95% at the time of marketing. The buyer was a regional skilled nursing owner/operator who plans to renovate both facilities. Forbright and HJ Sims closed a unitranche loan product totaling $13.9 million at attractive leverage, with that loan product acting as a single debt obligation with one set of loan documents and one monthly mortgage payment. Together, over the past 12 months, the partnership has financed over... Read More »Schedule a demo
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