60 Seconds with Swett: Watch the Quarterly Investor Call 2.0
Today, Wednesday July 24th at 1pm ET, we are hosting our second Quarterly Investor Call, and it comes at a time of record-high M&A activity and no slowdown in sight. How are dealmakers doing it with all of the hurdles and higher costs associated with closing transactions these days, not to mention low valuations not inspiring many potential sellers to get off the sidelines. It turns out that need is trumping desire to sell for many owners right now, with few believing that the capital markets environment will improve dramatically, and quickly. So, rather than wait a year, they are facing the music, and often a loss on their books, to move on from a property that was either struggling... Read More »
Owner/Operator Purchases in Nevada
Senior Living Investment Brokerage facilitated the sale of a cash-flowing seniors housing community in Las Vegas, Nevada. The seller, a private equity firm, is divesting to exit its fund and the seniors housing industry. The purchase price was $9.5 million, or $77,900 per unit. Built in 1974 and continually renovated as recently as 2023, Sterling Ridge Living comprises 22 independent living units (24 beds), 74 assisted living units (76 beds) and 26 memory care units (52 beds), with a 91% occupancy rate. The community sits on 2.37 acres and spans 89,719 square feet. Revenues were $5.6 million, and EBITDAR was $994,000, resulting in a cap rate of 10.5%. During the marketing period, the... Read More »
SVN Senior Living Advisors Grows Its Team
There’s a new, and sizable, team in the seniors housing and care brokerage world. And luckily, as we are in the middle of the busiest period of M&A activity ever, there should be enough transactions to go around for everyone to welcome the competition. Torey Riso, an industry veteran with more than 30 years of legal, business and real estate experience, including holding the CEO roles at Care Investment Trust and Blueprint, joined SVN Senior Living Advisors in February 2024 to help expand the firm’s reach into the seniors housing and care sector. He is partnering with Tony Yousif of SVN, an experienced commercial real estate professional who will serve as a “single point of contact”... Read More »
Not-For-Profit Divests to Another Not-For-Profit
National Church Residences acquired a 99-year ground lease interest on an affordable seniors housing community in Atlanta, Georgia. This acquisition expands NCR’s affordable seniors housing portfolio to 17 communities in the Atlanta metro area, making it the second largest affordable seniors housing owner in the city. Built in 1979, Cathedral Towers comprises 195 units and will be rebranded as Parish Grove. NCR plans to begin making modest improvements to the community. The seller, Episcopal Cathedral of St. Philip, operated the community for 45 years and will use the proceeds from the transaction to create a fund dedicated to improving access to and the affordability of housing and the... Read More »
Equity Consultants Acquires California Active Adult Asset
Coldwell Banker Commercial West was engaged by a local mom & pop in the divestment of an active adult community in Huntington Park, California. The community is under a building covenant that mandates it be used as 55+ housing with 20% of units rented to low-income seniors until 2038. Built in 1989 with renovations done on 50 of the units in 2005, Seville Gardens Apartment Community comprises 225 units, sits on 1.09 acres and stands four stories tall. Occupancy was hovering around 65%. The community was not stabilized at the time of sale and rents were 25% to 30% below market value. It was making around $675,000 at the time of the sale. Tom Papoulias of Coldwell handled the... Read More »
Private Equity Firm Divests SNF in Pennsylvania
Blueprint was engaged by a nationally recognized institutional private equity firm in its divestment of a skilled nursing facility in Philadelphia, Pennsylvania. Built in the early 2000s with significant renovations in 2022, the facility is certified by CMS for Medicare only. Following the completion of renovation, census continuously climbed towards stabilization. The incumbent operator was a seniors housing-focused manager also providing lower acuity senior care services on the adjacent campus. Michael Segal, Jacob Gehl, Dillon Rudy and Daniel Waldhorn handled the transaction, targeting East Coast investors and skilled nursing-focused owners/operators with existing footprints in... Read More »
Grace Management Expands Management Portfolio
Grace Management announced the addition of three seniors housing communities to its management portfolio. The communities include The Pointe at Meridian, Snow Canyon Retirement Community, and Cave Creek Assisted Living. Each will continue to be owned by Gold Stream Retirement Communities. Built in 2022, The Pointe is in Meridian, Idaho, and features 60 independent living, 30 assisted living and 10 memory care units. Occupancy is currently hovering around 90%. Snow Canyon is in Santa Clara, Utah, and is set to open in Fall 2024. It will offer 59 independent living, 43 assisted living and 15 memory care units. Cave Creek is in Cave Creek, Arizona, and is scheduled to open late 2024.... Read More »
Christian Horizons is Restructuring
Midwest Christian Villages, dba Christian Horizons, and its related companies filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code. Christian Horizons is one of the nation’s largest not-for-profit, faith-based organizations delivering skilled nursing, assisted and supportive living, independent living, and pharmacy services to seniors in Illinois, Iowa, Indiana and Missouri. The organization will continue to operate as usual throughout the restructuring process. Its investment bank has been and continues to solicit and receive bids from going concern buyers in a marketing process. A series of events has put significant pressure on the... Read More »
Berkadia’s Recent Sales and Financing Activity
Berkadia was engaged by a publicly traded REIT in its divestment of an 85-unit assisted living/memory care community in Alpharetta, Georgia. The property, part of a three-property portfolio, was purchased by a regional owner/operator. The first two properties in the portfolio closed in May and comprise 146 assisted living/memory care units in Atlanta and Marietta, Georgia. The buyer was also a regional owner/operator. Dave Fasano, Ross Sanders, Cody Tremper and Mike Garbers handled both transactions. Berkadia has completed over $1.7 billion in sales and financings across 49 transactions in the first half of the year. That impressive volume has continued into the second half of the year,... Read More »
Case Studies & Conversation at the 2nd Quarterly Investor Call
The second edition of the Quarterly Investor Call, hosted by The SeniorCare Investor, scheduled for July 24th, is coming at a pivotal time in the seniors housing and care industry as the M&A market is on track to set a record for transaction activity in any given year, and by a healthy margin. It may shock some of you that we are witnessing the busiest M&A period in the history of the industry. It may be shocking because the effective federal funds rate is above 5% and the 10-year Treasury rate has been hovering above 4% for much of the previous year. Also shocking because of the many roadblocks to transactions in place today, from extended due diligence to financing difficulties... Read More »Schedule a demo
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