American Senior Communities Acquires Terre Haute Community
Dan Revie and Tedd Van Gorden of Ziegler handled Bethesda Senior Living Communities’ sale of its community of 20 years in Terre Haute, Indiana, to the largest senior care operator in that state, American Senior Communities. In April 2019, ownership agreed to discontinue its memory care units for the next two years to resolve a civil complaint filed by the Indiana State Department of Health following the death of a memory care resident. According to the new community website, there are still no memory care services. No price was disclosed in the ownership transition. Read More »
Merrill Commercial Real Estate Handles Two-Community Deal in California
It took over a year, but Tyler Merrill of Merrill Commercial Real Estate successfully closed the sale of two assisted living communities in Redding, California. One of the communities in particular was hit hard by COVID-19, and occupancy dropped by a combined 20% across the two properties. Despite that, the same private equity buyer remained interested throughout the difficult year and kept to the same agreed-upon purchase price of $18 million, albeit with an approximate $1 million holdback in escrow until the new owner reaches pre-COVID NOI levels and 75% occupancy. Before the pandemic, the communities maintained around 88% occupancy, but there is a lot of upside in expense management.... Read More »Recent Senior Care M&A Deals, Week Ending April 30, 2021
April ended with a bit of a whimper in senior care M&A activity, but check out our recent deal chart. Long-Term Care AcquirerTargetPrice Private equity firmSkilled nursing/assisted living facilityN/A MA-based owner/operatorAssisted living/memory care communityN/A Private equity firm2 assisted living communities in Redding, CA$18... Read More »
Blueprint Sells Down East
Steve Thomes and Ben Firestone of Blueprint Healthcare Real Estate Advisors sold an assisted living/memory care community on the scenic Maine coast. Located just south of Portland, the property consists of a 57-unit assisted living and a 41-unit memory care building developed in 1996 and 1997, respectively. They were owned by a REIT and endured fluctuations in their occupancy throughout the pandemic. Eventually, a Massachusetts-based owner/operator with communities throughout New England emerged as the buyer, paying an undisclosed sum. Read More »
Welltower Announces New Investments
At the same time it released first quarter earnings results, Welltower announced a major recapitalization of HC-One, the largest UK-based seniors housing platform, where it previously had a mezzanine loan investment with one of the owners. Formation Capital has been a 50-50 owner in HC-One, along with partner Safanad. Formation rolled most of its capital into the recapped company. Welltower has provided a $750 million secured loan and a $76 million equity investment into HC-One. The loan will refinance existing debt and will help to simplify the company’s capital structure. It has a five-year term and is fully collateralized by HC-One’s real... Read More »