National Health Investors’ Latest Purchase Option
Executing on a purchase option, National Health Investors acquired a 32-unit assisted living/memory care community in Durham, North Carolina, for $7.6 million, or $237,500 per unit. The impetus for the deal goes back to February 2017, when NHI purchased two adjacent AL/MC communities in Hendersonville, NC (about 20 miles south of Asheville) and entered into a new operating relationship with Ravn Senior Solutions at the same time. Ravn, which stepped in to operate the two communities under a new 15-year lease (with an annual lease rate of 7.35% and annual fixed escalators), was founded by a group of industry veterans, including Steve Morton (co-founder of Southern Assisted Living, Inc. and... Read More »
Chicago Pacific Founders Acquires Jacksonville Assisted Living Community
After already buying a 124-unit assisted living community in Cincinnati, Ohio this month, Chicago Pacific Founders added another community to its portfolio in December, this time in Jacksonville, Florida. The private equity firm acquired a 189-unit senior living community, with independent living, assisted living and memory care services, in a newly developed residential section of Jacksonville, nearby dining, shopping, medical facilities and, of course, the beaches. Like in all of its transactions, Chicago Pacific Founders hired Grace Management to operate the community. Read More »
Lancaster Pollard Represents Hawkeye In Iowa Skilled Nursing Sale
Chad Elliot, Quintin Harris and Kevin Laidlaw of Lancaster Pollard represented the seller of a six-facility skilled nursing portfolio in Iowa. Owned by Hawkeye Care Centers, these six facilities total 551 beds, with three of the properties featuring a small assisted living or independent living portion. Quality mix was high (over 50%) and operating margin averaged in the low teens, which is not too bad for skilled nursing in this market. The Lancaster Pollard team sold the portfolio to Summit Healthcare REIT for $29.5 million, or about $53,500 per bed. Summit entered into a triple-net lease agreement with Accura HealthCare, an Iowa-based operator with 18 facilities across the state.... Read More »
Cushman & Wakefield Sells For Capitol Seniors Housing
Three and a half years after purchasing a 97-unit assisted living/memory care community in Silicon Valley (in the town of Fremont, to be more specific), Capitol Seniors Housing is exiting the asset, making a tidy return we imagine, thanks to Rick Swartz, Jay Wagner, Aaron Rosenzweig and Alex Petrosian of Cushman & Wakefield, who represented CSH in a competitive bidding process. Since acquiring the property from Westport Capital Partners in 2014 for $23.75 million, or about $244,800 per unit, CSH and its operating partner, MBK Senior Living, worked to improve the community’s occupancy, which sat at 81% in 2014, and margin, at just 19%. CSH invested upwards of $1.0 million to improve the... Read More »
Improvements Ahead For Irma-Affected Assisted Living Community
New ownership has changes in store for a 64-unit Florida assisted living community it acquired for $3.675 million, or $57,400 per unit, with a 9.25% cap rate. Built in 1989 in Lauderhill (located just west of Fort Lauderdale), the community, which was owned by a partnership between a local owner and a local operator, totals 105 beds in 64 rooms. Historically, its occupancy has been near full (resting at 94% at the time of the sale), but that was in part driven by its below-market rents. That in turn also affected the community’s operating margin of roughly 20% on approximately $1.77 million of revenues. It didn’t help that the facility sustained about $30,000 in damage from Hurricane Irma.... Read More »Schedule a demo
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