• Greystone Closes Large CLO

    Greystone closed a large collateralized loan obligation (CLO) composed solely of healthcare assets. Greystone CRE Notes 2025-HC4, LLC is a $451.6 million commercial real estate CLO backed exclusively by bridge loans provided by Greystone. The transaction marks the firm’s eighth overall CRE CLO and the industry’s fourth-ever CRE CLO composed... Read More »
  • Fortress Investment Group Divests Arizona Asset

    JLL Capital Markets has closed the sale of Inspira Arrowhead, a 165-unit seniors housing community in Glendale, Arizona. The community was under the ownership of Fortress Investment Group funds for just 18 months, but in that time occupancy rose from 89% to 94% and NOI improved by 35%. Fortress bought the asset in April 2024 in a joint venture... Read More »
  • Stacked Stone Makes Another Acquisition

    Stacked Stone Ventures, a real estate investment firm founded by Kent Eikanas, followed up on its October acquisition in Oklahoma with the purchase of two assisted living/memory care communities in Illinois, near the St. Louis MSA. Similar to the Oklahoma deal, Stacked Stone has made Illinois acquisition in a joint venture with the private equity... Read More »
  • Blueprint Handles Large SNF Deal in Pennsylvania

    Not-for-profit to for-profit are not easy, and it took a two-year process for Blueprint to successfully close the sale of a 250-bed skilled nursing facility in Philadelphia, Pennsylvania. The property appears to be Cheltenham Nursing & Rehabilitation, one of three skilled nursing facilities owned by Dublin, Ohio-American Health Foundation... Read More »
  • JDI Realty Buys Alpharetta Asset

    A partnership recently acquired Chapters Living of Alpharetta, a 79-unit assisted living/memory care community in Alpharetta, Georgia (Atlanta, MSA). Built in 2013, the high-quality community was previously known as Addington Place of Alpharetta. JDI Realty, in partnership with Purity Strategies and Chapters Senior Living, bought the community... Read More »
New Senior Care M&A Data

New Senior Care M&A Data

Assisted living per-unit prices rise for the latest four quarters, while skilled nursing remains the same. It was a relatively slow first quarter with regard to publicly announced seniors housing and care acquisitions, other than some old large deals announced last year that finally closed in the quarter. On a rolling four quarters basis, the average price for assisted living jumped to $210,300 per unit for the period ended March 31, compared with $193,650 per unit for calendar year 2016. The average cap rate remained at 8.5% but with an obvious wide range. Meanwhile, independent living did the reverse, dropping to $208,900 per unit for the four quarters ended March 31 compared with... Read More »

Sizing Up the Seniors Housing Market

In 2016, buyers paid up for larger seniors housing communities (including independent living and assisted living) compared to 2015. We observed in the 22nd Edition of The Senior Care Acquisition Report that once again, the largest properties, with 150 units or more, still beat out smaller properties in price, averaging $226,200 per unit, 16% higher than 2015’s $195,600 per unit. Here is where the high-priced independent living communities that sold in 2016 exerted their influence in the overall market, representing a clear majority of the largest properties and pushing up the price. Communities with between 100 and 149 units came with a lower price than 50- to 99-unit communities,... Read More »

An Optimal Size for Skilled Nursing?

As the skilled nursing market evolves, lengths of stay and occupancy decline, and new entrants like Mainstreet change the way we view skilled nursing/post-acute care facilities, what is the ideal size of facility now? Based on 2016 sales according to the 22nd Edition of The Senior Care Acquisition Report, the average size of skilled nursing facilities sold dropped for the first time in three years to 122 beds, and was closer to the historical norm of 120 beds. That fell from 130 beds in 2015, and is the lowest since 2013, when facilities averaged 121 beds. The smallest facility sold in 2016 was 40 beds, compared with 30 beds in 2015, while the largest facility sold in 2016 was 744 beds,... Read More »
The Audience Has Spoken

The Audience Has Spoken

On April 27, The SeniorCare Investor’s Steve Monroe moderated a webinar entitled “Investing in the CCRC and Independent Living Market,” with panelists Breck Collingsworth of Resort Lifestyle Communities, Adam Kane of Erickson Living and Rick Swartz of Cushman & Wakefield. During the wide-ranging 90-minute discussion, which you can listen to here, the panel tackled CCRC valuations, cap rates, the IL/CCRC development market, whether these property types will suffer in the next recession as much as the last one. We also brought in the audience a few times to get their insight. First, we asked which property should have a higher cap rate, 100% independent living or a mix of IL, assisted... Read More »

The Price of Age in Skilled Nursing

We have covered the demise of the 40-year-old skilled nursing facility in articles and webinars over the past few years, and the acquisition market has taken notice. In 2015, 52% of the properties sold were 40 years old and older, which made sense since nearly half the entire U.S. inventory of SNFs are this old. By 2016, however, 52% of the properties sold were between 20 and 40 years old, which in many cases are considered to be relatively “new.” This helps explain why the average and median price per bed jumped so much in 2016. The percentage in the newest category (less than 20 years old) remained relatively similar from 2015 (22%) to 2016 (20%). With the newer skilled nursing... Read More »

Pay Up, Up North

Once again on the seniors housing side, the Northeast region has topped the charts for the seventh year in a row (per the 22nd Edition of The Senior Care Acquisition Report), rising to new heights at $292,900 per unit, up 46% from $201,100 per unit in 2015 and even up 4% from 2014’s average of $281,700 per unit. With its high land values and construction costs, it is not surprising that the Northeast has the highest prices. Plus, the Northeast properties are generally in heavily populated, wealthier areas, driving rents up. The West, dominated by sales in expensive markets such as Los Angeles, San Francisco and Seattle, not surprisingly was valued second-highest among the regions,... Read More »