• Diversified Healthcare Trust Raises Expensive Debt, Ventas Makes Cuts

    Diversified Healthcare Trust Raises Debt Diversified Healthcare Trust tapped the debt markets with a $1.0 billion, five-year senior note offering with a yield of 9.75%. That puts the spread over the 5-year Treasury at about 940 basis points. That has to be the widest spread by a healthcare REIT we have seen in years, if not a decade or two.... Read More »
  • Carnegie Capital Announces Latest Closings

    JD Stettin of Carnegie Capital has certainly had his hands full recently, having closed a couple of refinances in the Pacific Northwest, no easy task in the early days of COVID-19, we’re sure.   Mr. Stettin first sourced and structured a cash-out refinance of a 60-unit memory care community near Eugene, Oregon. Featuring a roughly 50-50 mix of... Read More »
  • PGIM Refinances Tennessee Senior Living Community

    PGIM Real Estate announced its latest transaction, with Executive Director Chris Fenton leading the way. It involved a $10.6 million HUD refinance of a senior living community in Ashland City, Tennessee. Built in 2015 with 100 beds in 80 units, the community provides assisted living and memory care services in a four-story building.   Thunderhawk... Read More »
  • Greystone Arranges HUD Construction Debt

    Working through HUD, Lisa Fischman of Greystone facilitated construction financing for an assisted living community to expand its Buffalo, New York-area campus. Originally built in 2003 with 110 beds in 84 units, the community is located on a 20-acre campus. Onsite amenities including a theater, physician’s office and beauty salon certainly... Read More »
  • Genesis HealthCare’s Shares Double in Value

    Leading up to Genesis HealthCare’s first quarter earnings release and conference call, the company’s share price took off. The rise started on May 22 when it jumped by 22% on high volume, but then it added another 35% on volume that was 10 times the average. In the course of four days, the price more than doubled, from $0.63 per share to $1.37... Read More »
Blueprint Closes Ohio SNF Deal

Blueprint Closes Ohio SNF Deal

Connor Doherty, Ryan Kelly, Chris Hyldahl and Gideon Orion of Blueprint Healthcare Real Estate Advisors closed a skilled nursing deal in Ohio on May 1. It took a motivated seller, experienced buyer and a willing lender to get the deal done, not always an easy combination these days.  An older vintage with some recent updates, the 150-bed skilled nursing facility is located near Youngstown, Ohio. It was owned by a REIT and managed by a large national operator, but the time had come to sell. Turnover in key leadership positions had caused occupancy to decline, which we are sure added to the motivation to exit.   Blueprint positioned the property as a value-add opportunity, if a new... Read More »
Cushman & Wakefield Arranges Sentio IL Sale

Cushman & Wakefield Arranges Sentio IL Sale

Cushman & Wakefield’s Senior Housing Capital Markets team announced an independent living sale, the first for some time in this sector. Representing an affiliate of Sentio Investments, the team of Richard Swartz, Jay Wagner, Tim Hosmer, Chris Remeika and Jack Griffin sold a 150-unit IL community located in Stuart, Florida. Built in 1986 near both the waterfront and downtown, the community recently received an extensive, multi-million-dollar renovation that included work on resident units and common areas. Arrow Senior Living was the manager and will stay on in that role for the new owner, an affiliate of Waypoint Real Estate Investments.   Waypoint paid $22.2 million, or $148,000 per... Read More »
Capital Funding Group Finances Illinois SNF Acquisition

Capital Funding Group Finances Illinois SNF Acquisition

Capital Funding Group announced its involvement in an acquisition financing supporting the purchase of a skilled nursing facility in Pekin, Illinois that closed earlier in April (that we covered in last month’s issue of The SeniorCare Investor. Built in 1964, the facility was previously owned by a California-based individual who had inherited the day-to-day operations from her late husband.   Managing the facility from California proved to be too much for the seller, who decided to retire. Occupancy was 62% at the time, but with a strong 57% quality mix, 52% of the census coming from private pay. However, it was generating a loss of about $200,000 on $5.24 million of revenues.  ... Read More »
April M&A Market Drops Off

April M&A Market Drops Off

The April deal total for the seniors housing and care market is in, the preliminary total at least, and if it is any precursor for M&A activity in the next few months, or longer…oh boy. A strong start to the month and anemic weeks afterwards pushed April’s transaction count to 21 publicly announced deals. We expect that figure to rise, but not by much since we imagine anyone who closed a deal in the last few weeks would want to shout that from the mountaintop.   It’s true that several April closings were all-but-completed by the time COVID-19 reared its ugly head in the country. They just needed a little nudge, and some good faith from the buyer, seller and lender. But... Read More »
Capital Pointe Advisors Closes Pennsylvania Portfolio Sale

Capital Pointe Advisors Closes Pennsylvania Portfolio Sale

The small portfolio sales keep on coming, with buyers able to stand up to COVID-19 and not let it get in the way of growth. Nancy Herman of Capital Pointe Advisors acted as advisor to The Nugent Group in the sale of a five-facility portfolio in Pennsylvania. The portfolio consists of two skilled nursing facilities, two personal care homes and one new independent living and personal care home community.   One of the skilled nursing facilities, with 105 beds, was built in 1962 and is located in Hermitage. The other nursing facility, located in Sharon, is smaller with 54 beds in 27 semi-private rooms. It is a restored 1958 mansion that was acquired by the seller... Read More »