• Blueprint Advises Another SNF Sale

    Blueprint Healthcare Real Estate Advisors’ Ben Firestone and Michael Segal recently facilitated the sale of Magnolia Manor, a skilled nursing facility in Inman, South Carolina. Built in 1967, Magnolia has 176 beds, which represents over 40% of the total licensed beds in the local market and twice the capacity of the next largest competitor. ... Read More »
  • The Ensign Group and CareTrust Acquire Two Texas SNFs

    The Ensign Group and CareTrust REIT have teamed up to acquire the real estate and operations of two skilled nursing facilities in the Austin, Texas metropolitan area. CareTrust purchased the facilities for $32.5 million, or about $135,000 per bed, while The Ensign Group recently took over operations effective August 1, 2021 as part of the... Read More »
  • Walker & Dunlop Originates Financings for Four Communities

    Walker & Dunlop Managing Director Kevin Giusti and Senior Analyst Brian Neal recently originated $37.47 million in financing for four assisted living and memory care facilities: Bloom at Bluffton in Bluffton, South Carolina; Bloom at Hilton Head in Hilton Head, South Carolina; Cascades of Tucson, in Tucson, Arizona; and Regency Jackson in... Read More »
  • Newmark Summer Sales Continue

    Late last week, we profiled several of Newmark’s latest closings, but we also said that we were not finished. One deal was referenced in Welltower’s recent earnings release, as the REIT’s purchase of seven senior living communities from White Oak Healthcare Partners finally closed. The communities, averaging more... Read More »
  • Welltower Announces Big Census Gains

    Welltower released its second quarter earnings results, and its growth strategy was on full display with $1.5 billion in pro-rata gross investments from April to June, at an initial yield of 8.8%. That does not even include the largest deal, which was its proposed $1.58 billion acquisition of 86 independent living communities owned... Read More »
Canadian Seniors Housing Market

Canadian Seniors Housing Market

The Canadian seniors housing market has fared a bit better than its U.S. counterpart during the past year or so, but it also started in a better place. Take the Canadian SHOP portfolio of Ventas. It currently has 74 communities that operated in the first quarter 2021 with net operating income of $171.8 million, or just over $2.3 million per community (all amounts in U.S. dollars). This compares with 364 communities with $272.7 million of NOI in the first quarter for the U.S. SHOP portfolio, or $749,000 per community. So, Canada makes up 17% of the communities but 39% of the NOI. Hmmm.  On a same-community basis, there were 68 Canadian communities in the first quarter last year... Read More »
Are More Capital Senior Living Problems Coming Due?

Are More Capital Senior Living Problems Coming Due?

Capital Senior Living released its first quarter earnings this week, and the results were sort of a mixed bag. Of course, the occupancy results were great news, with April average census rising 140 basis points from the Q1 average to 76.95%. And spot occupancy increased from 75.3% at the end of February to 78.5% by the end of April, for a 320-basis point increase. We’re not sure if we’ve seen a steeper increase. About 93% of residents are now vaccinated, COVID cases fell to zero across the 60 owned communities, and 100% of communities are open to new residents, so the runway to recovery is smoother.   Looking forward, CSU will also not be encumbered by the 39... Read More »
Celebrating 30 Years

Celebrating 30 Years

The American Seniors Housing Association has been supporting the senior living industry for 30 years now, with David Schless at the helm throughout. I fondly remember going to my first annual meeting of the American Seniors Housing Association, back when it was part of the National Multifamily Housing Council. Let’s just say it was quite smaller than it is today, and I have to say, a bit more intimate. If you attended one of those early meetings, you may remember my question to Murry Gunty of Lazard Freres, when in the 1990s he was in the middle of patching together a company that seemed very disorganized, as I outlined his various, unconnected acquisitions. I asked, “So Murry, what’s the... Read More »
National Health Investors Stabilizing

National Health Investors Stabilizing

National Health Investors (NHI) was the last of the healthcare REITs to report earnings in what was a very informative earnings season. We have already reported that the REITs and their SHOP portfolios have begun the long-anticipated turnaround as occupancy begins to rebound. Operating costs will be another matter, and it will take a few years to return to normal, whatever that is.  NHI’s three major seniors housing tenants have appeared to stabilize, at least from an occupancy perspective. Bickford Senior Living, which has been responsible for the majority of cash rent deferrals during the pandemic, boosted sequential occupancy by 180 basis points in April to 76.3%. That... Read More »
Ventas Recovery Begins

Ventas Recovery Begins

Like most companies, average occupancy for the seniors housing operating portfolio (SHOP) of Ventas declined in the first quarter of 2021. Same-community census average 76.5%, a decline of 260 basis points from the fourth quarter, but a little better than predicted by management. This represents the U.S. and Canadian portfolio combined. Net move-in trends started improving during the quarter as well, and move-ins during April totaled 1,880 residents, the highest number since June 2019.  Average weekly spot occupancy for the U.S. portfolio hit bottom in the week ended March 11 at 69.9% and then steadily rose 170 basis points to average 71.6% during the last week of April. But from the... Read More »
Sabra Health Care REIT Sees SNF Improvement

Sabra Health Care REIT Sees SNF Improvement

As we all know, the skilled nursing sector was battered during the pandemic, and not only by the media. But optimism is in the air, at least at Sabra Health Care REIT. Its top seven skilled nursing providers, making up 63% of its skilled nursing rental income, saw an average increase in occupancy of 431 basis points from a late-December low to the end of April. In addition, its skilled mix census in its skilled nursing/transitional care portfolio at the end of April 2021 was 148 basis points higher than in February 2020, before the pandemic.  Just like other owners of seniors housing, its senior housing managed portfolio occupancy bottomed out in the first half of March and has... Read More »