Recent Senior Care M&A Deals, Week Ending October 5, 2018
Check out our recent senior care M&A deals! Long-Term Care AcquirerTargetPrice Partnership buyerCalvert County Nursing Center$11.66 million Not-for-profit organizationCottagewood Senior Communities$9.3 million Ohio-based equity providerLake Joy Assisted Living$8.5 million Regional owner/operatorLandings of Lancaster$3.72... Read More »
Genesis’ Texas Exodus
Genesis HealthCare is nearing its total exit from the state of Texas, completing the sale of 16 skilled nursing facilities (15 owned and one leased) in the state. Genesis had also previously exited the operations on another leased facility and now has just seven SNFs under operation in Texas. All are expected to be sold in the fourth quarter of 2018 as part of a greater process by Genesis to divest underperforming or non-strategic assets. Aggregate revenues and EBITDA for the entire Texas portfolio (24 facilities) was approximately $175 million and $7 million, respectively. The exit is expected to reduce indebtedness by about $94 million, a significant step for the company that is still... Read More »
Ensign At It Again
Amid the deal frenzy at the start of October, the ever-prolific Ensign Group (NASDAQ: ENSG) added another seniors housing community to its portfolio. Located in Las Vegas, Nevada, the community features 53 assisted living and 20 memory care units. Occupancy was just 74%, but that is typical for an Ensign acquisition. Its subsidiary, Bridgestone Living, acquired both the real estate and operations of the community for an undisclosed price, bringing Ensign’s portfolio to 52 assisted/independent living communities and 186 skilled nursing facilities. Read More »
Senior Living Investment Brokerage Rises This Fall
As September turned to October, Senior Living Investment Brokerage announced an impressive run of transactions. First, Jason Punzel, Brad Goodsell and Vince Viverito sold two memory care communities in California for $17 million, or $347,000 per unit, with a 9.5% cap rate. With that high price, you might assume the facilities had just opened or were fully occupied, or both. Instead, the communities were built in the mid-1980s (one was renovated in 2001) and were occupied in the mid-80s. They were small too, totaling just 49 units across the two locations (in Menlo Park and Sunnyvale). The operating margin was a solid 32% on nearly $5 million of revenues, and rents were high (close to... Read More »
Not-For-Profits Swap Minnesota Senior Living Communities
Ray Giannini and John Klement of Marcus & Millichap’s Milwaukee Seniors Housing Group represented a not-for-profit in the sale of its two senior living communities in Buffalo, Minnesota (Minneapolis MSA). The buyer? It was another not-for-profit. The portfolio includes one purpose-built memory care community with 24 units (48 beds) and one repurposed 67-unit assisted living community, both built (or repurposed) in the early-1990s, centrally located and well occupied. They sold for a combined $9.3 million, or $102,200 per unit, with an $11.6% cap rate. Read More »Schedule a demo
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