• Sonida Senior Living Grows For The Future

    The last to report 2024 earnings in our sector, Sonida Senior Living turned in a decent fourth quarter, but maybe not as good as they were hoping for. They are looking to the future, however, and not past performance, and are gearing up for growth.  While the same-community occupancy of 86.6% in the fourth quarter is certainly above average... Read More »
  • 60 Seconds with Swett: The Demand for SNFs

    We had a fantastic webinar last week that covered our recently published valuation statistics from The Senior Care Acquisition Report but also how valuations, the lending environment and M&A strategies are changing in 2025, so far. Jason Punzel of Senior Living Investment Brokerage, Steve Munn of VIUM Capital and JP LoMonaco of CBRE joined me... Read More »
  • NHI Acquires in New Jersey

    National Health Investors invested $46.3 million, or $386,000 per unit, inclusive of transaction costs, for the acquisition of a seniors housing community in Bergen County, New Jersey. Juniper Village at Paramus comprises 98 assisted living and 22 memory care units. The community has been operated by Juniper Communities since February 2021. The... Read More »
  • Growing Owner/Operator Acquires Illinois SNF/SLF

    Andrew Montgomery of Montgomery Intermediary Group announced a couple of transactions in Illinois and Mississippi. First was for a skilled nursing/supportive living facility in a small, rural Illinois market. The facility features over 130 SNF beds and SLF units and sold to a large owner group that invested alongside a growing owner/operator in... Read More »
  • Berkadia’s Recent Activity

    Berkadia Seniors Housing & Healthcare handled two separate transactions in Michigan and Tennessee. First, Berkadia sold and secured financing for Clinton Creek Assisted Living and Memory Care. The community is in the Detroit MSA and was 90% occupied at closing. It was financed with a bridge-to-HUD loan, representing 67% of the purchase price.... Read More »
Occupancy Growth Slowing?

Occupancy Growth Slowing?

Historically, the third quarter is always the best quarter for census growth, and it has generally been a good quarter for most senior living providers. But September has seen a bit of a slowdown, which does not bode well for the fourth quarter. The summer jump in COVID cases may have something to do with it, but also adapting to an influx of new residents may not be easy with the labor shortages nationally. Capital Senior Living just announced that its September average occupancy increased by 20 basis points from the August average, reaching 81.4%. That is also a 610-basis point increase from the pandemic low of 75.3% in February. But it is a much smaller increase than the 80-basis point... Read More »
The Battle Continues for Capital Senior Living

The Battle Continues for Capital Senior Living

The saga continues for Capital Senior Living. Days after CSU announced that it had entered into an amended and restated agreement with Conversant Capital, a vocal opponent to the deal (and 12.7% stockholder of CSU) Ortelius Advisors, L.P. issued a letter to stockholders urging them to vote against the amended transactions at the October 22 special meeting. Ortelius made it clear that they thought the CSU Board’s deals with Conversant have been flawed from Day One. They called it exceedingly costly, highly dilutive, and only stood to benefit a few parties, including management, two large investors (Arbiter and Silk) and Conversant. Let’s get to the details. First, Ortelius made clear that... Read More »
The Battle Continues for Capital Senior Living

Capital Senior Living Postpones Vote

With so much activity around some alternative restructuring opportunities being offered for Capital Senior Living, it is no wonder they decided to postpone the shareholder meeting to vote on the Conversant Capital proposal. The new date is October 22, 10 days later than the original date of October 12. Previously, Ortelius Advisors (which owns about 13% of Cap Senior) disclosed their own recap proposal with terms that were cheaper than those of Conversant Capital. Now, Invictus Global Management has announced they too can arrange up to $150 million of new capital for Cap Senior, also at better terms for the company, and current shareholders, than the current Conversant Capital deal. ... Read More »
Families Taking Care of Families

Families Taking Care of Families

Family-run senior living communities have had a long history in our industry, but perhaps not many as long as the Rauls family in Georgia. Going back to their grandfather, who owned and operated one of the first nursing homes in Georgia more than 60 years ago, for John Rauls and his sister Ashley, you can say taking care of the elderly runs in their blood. Their father has also been in the business, and is in fact the Chairman of Rauls Living Inc., with John as CEO and Ashley as COO. Rounding out the C-Suite is the CFO, Jimmy Hill, a non-family member, but no one is holding that against him. John was recently vice president at Southeastern Retirement Management, which had several Rauls... Read More »
New Proposal for Capital Senior Living

New Proposal for Capital Senior Living

As we get closer to the voting date for shareholders to approve of the recapitalization proposal of Capital Senior Living by Conversant Capital, with the full support of Cap Senior’s management and board, at long last an alternative plan has been put forward. We didn’t think that Ortelius Advisors had much of a leg to stand on in their proxy fight without any alternative for shareholders to consider. Now we have one, as loosey-goosey as it may be.  Ortelius has proposed a new equity rights offering, which they will backstop and subscribe to well beyond their current pro rata holdings of about 12.7%. They believe that raising up to $70 million of new... Read More »