Third quarter posts record M&A results
There has never been a busier third quarter for mergers and acquisitions in the history of the seniors housing and care market. In Q3:15, there were a total of 87 publicly announced transactions (including both U.S. deals and a few Canadian deals), a 23% increase over the Q2:15 and a 2% increase over Q3:14. Keep in mind that the NIC Conference began at the end of the third quarter, so we have to assume that press releases on September 30 closings were delayed. The catch is that while the number of transactions has increased, the Q3:15 dollar volume of $4.1 billion is significantly down from last year’s third quarter total of $9.7 billion, a 58% drop. For more details on the third quarter... Read More »Pay up in Richmond
So far this year, there have been six announced seniors housing transactions valued higher than $300,000 per unit, compared with 16 in 2014. And of the top six deals this year, Griffin-American Healthcare REIT-III was the acquirer in two. First was the company’s acquisition of two senior living communities in Nebraska for $66 million, or $300,000 per unit, announced back in June. But more recently (and at a higher cost), Griffin-American purchased a 186-unit senior living community in Richmond, Virginia, for $64 million, or $344,000 per unit. Built 16 years ago, the community provides 108 units of IL, 60 AL units and 18 memory care apartments, and boasts a greater-than-96% occupancy. The... Read More »Historic deal in Washington State
The state of Washington saw its most expensive (on a per-unit basis) seniors housing transaction ever (according to our data going back to 1991), when a portfolio of three assisted living/memory care communities with 161 units sold for $58.5 million, or $363,000 per unit. The next closest deal value we have seen in Washington was the $298,600 per unit price for a portfolio of four assisted living communities bought by American Realty Capital Healthcare Trust back in June 2014. The Seattle properties were 84% occupied, and have the potential to expand their memory care programs. That is what the publicly traded REIT buyer plans to do at least, with the help of a national seniors housing... Read More »WESTLiving adds ninth property
Through its wholly owned subsidiary, WL Bellattini, LLC, WESTLiving acquired a majority ownership interest (approximately 95%) in a 145-unit IL/AL community in Bellevue, Washington. The community, which features 50 units licensed for assisted living, maintained a strong overall occupancy better than 98%. WESTLiving’s management company, aptly named WESTLiving Management, assumed full operational oversight at the community, the ninth in the company’s portfolio. Read More »CareTrust’s Ohio SNF portfolio deal closes
We reported on CareTrust REIT’s acquisition of a particularly large (for them) SNF portfolio in Ohio that included 16 skilled nursing facilities, of which 14 would be owned and two would be leased, for $175 million. With the deal closing, that number has dropped to 15 SNFs (14 owned and one leased), which are selling for $173 million, or about $144,200 per bed, with a 13.3% cap rate. Occupancy across the portfolio averaged 83%, with an 18% quality mix. Dan Baker of CBRE brokered the transaction, which is the fifth largest skilled nursing deal, by price, seen so far in 2015. Read More »Schedule a demo
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