Large Operator Adds Turnaround Campus to Portfolio
A senior care campus in Ohio found a new owner with the help of Kiser Group. Set on 26 acres in a rural market east of Cleveland, the property features 76 skilled nursing beds, five assisted living units and three independent living units. It was originally built in 1950 but expanded through multiple additions between 1965 and 2001. At the time of the sale, occupancy was between 70% and 80%, with a 44% quality mix and a five-star CMS rating. However, it was generating negative EBITDA and presented a turnaround opportunity for an experienced operator. The incoming owner is a seasoned operator with a large skilled nursing portfolio in the Midwest and a growing presence in Ohio. They... Read More »
Texas Skilled Nursing Portfolio Sells
A portfolio of skilled nursing facilities traded hands in Texas before the end of the year. There are two assets in the Lubbock area and two in Central Texas that are located northwest of Austin. They comprise more than 430 beds, with between 100 to 120 beds at each of the four facilities. Three of the buildings were constructed in the 1970s, and one in the late-1980s. At the time of the sale, the Central Texas properties were around 75% occupied, and the West Texas ones were approximately 70% occupied. The payer mix is largely Medicaid, at about 90%, with Medicare accounting for the remainder. A small private company was divesting the portfolio. Nick Martinez and Todd Okum of O&M... Read More »
CIBC Bank’s Recent Activity
CIBC Bank USA closed an impressive array of transactions in the last several months, totaling more than $800 million in credit facilities across the country. The largest transaction was an $85 million (with earn-outs) debt package for a senior care portfolio in the Northeast. The debt included a senior term loan and a mezzanine loan to refinance the portfolio and cover corporate needs. Adam Panos, Patrick Garden, Charlie Sheridan and Tom Sheeren worked on the deal for CIBC. Laura Habich and Sam Dendrinos originated a couple of large cash-out refinances for skilled nursing clients. A $27.3 million loan went to a stand-alone SNF, and a $70.7 million loan refinanced a portfolio of four... Read More »
Evans Arranges New SNF Lease
Evans Senior Investments arranged a new lease for a skilled nursing facility in Denver, Colorado, securing a 293% increase in rent on a per-bed, per-month basis in the process. At the time of marketing, the facility was 62% occupied with minimal Medicare Part A referrals. However, the 1960s-built facility has 16 private units and is proximate to five major hospitals, so the opportunity to increase the high-acuity Medicare census was there. Evans also determined more than $600,000 in potential expense synergies available to a new operator. Evans emphasized this value-add scenario to potential tenants, including regional operators looking for scale, and secured a new lease with a... Read More »
Cross River Bank Closes Large Acquisition Loan
Cross River Bank recently closed a large acquisition loan for a portfolio of seven skilled nursing facilities and one assisted living community in Georgia, Tennessee and Missouri. Raina Yoo was the Loan Officer on the transaction. The portfolio features a total of 1,339 licensed beds, and occupancy stood at 88%, overall. Read More »Schedule a demo
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