Quick Acquisition Potential
Details are not in abundance, but if you have the cash and the ability, there are up to four memory care facilities in the Houston, Texas market that are available for a quick sale. Here’s the issue. Bids are due by August 16, and the closing must be by August 30. That means no financing contingencies, probably no third-party reports in time. The sellers are the banks, and Cushman & Wakefield was just hired to complete this task, as impossible as it may sound. The good news is that the lenders have to sell, and while we have not heard an asking price, we assume you will get them at well below original construction cost. We believe they were all built between 2011 and 2015, but... Read More »
Senior Living Investment Brokerage’s Active August
It has already been an active August for Senior Living Investment Brokerage, which closed four deals on the first of the month, one of which we already covered last week. First up, Jason Punzel sold a seniors housing property in Brookings, Oregon. Built in 1999 and 2004 on a 17-acre site, the all-memory care community has 55 beds in 40 units. It was deemed to be non-core by its REIT owner, with occupancy sitting at just 75% and operating margin falling below 10% on nearly $2.8 million of revenues. The new owner will look to utilize its strong presence in Oregon to improve operations. They left some room to add value, paying $3.45 million, or $86,250 per unit. Then, the team of Ryan Saul,... Read More »
REIT Divests Ohio SNF Portfolio
Sometimes, less is more. That was the case for a portfolio of three Ohio skilled nursing facilities, which shed five beds from their license and thus boosted their average Medicaid rate by over $16 per patient day. Ben Firestone, Michael Segal and Connor Doherty of Blueprint Healthcare Real Estate Advisors represented the publicly traded REIT seller and its national operator tenant on the sale, advising them on the decertification of the five beds that resulted in 297 combined licensed beds selling across the three facilities. Located in the Columbus metro area, the portfolio was built or expanded in the 1980s and renovated in the early 2000s. Each facility is also located within three... Read More »
Recent Senior Care M&A Deals, Week Ending August 2, 2019
Check out our recent senior care M&A transactions. Long-Term Care AcquirerTargetPrice Hackensack Meridian Health3 skilled nursing facilities$65 million Owner/operatorButterfly Gardens$1.5 million Welltower32 senior living communities$343 million Institutional capital partnerBenchmark Senior Living portfolio$1.8... Read More »
Local Doctor Invests in Iowa Assisted Living
Not unlike the 2020 Democratic field, Nick Cacciabando and Jeff Binder of Senior Living Investment Brokerage descended on Cedar Rapids, Iowa, to close the sale of an assisted living community. Originally built in 1910 as a private residence, the community was renovated, expanded and converted to assisted living in 1995, and now features 42 units. Currently, it operates at a 9% margin on over $1.6 million of revenues, with an occupancy around 82%. Rents could be increased, but only by so much given the community’s relative age and middle-income market. The selling entity was a group of aging, local investors looking to realize their investment objectives. They sold the asset to a local... Read More »Schedule a demo
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