Chartwell Retirement Residences: One Big Step Forward
Trying to increase occupancy for many providers has been a game of two steps forward and then one step backwards. This is usually because of the flu season in the winter months. The hope is always that the recovery will exceed the decline, year after year. The pandemic obviously through a wrench in that one. For Canada-based Chartwell Retirement Residences, the largest operator in Canada with nearly 200 communities in four provinces, the step forward after the winter months will be quite a big one, according to their forecasts. The good news is that their step backwards was much smaller this year than in 2022. Back in 2022, the company lost 130 basis points of census from December 2021 to... Read More »
Montgomery Intermediary Group Handles Residential Care Deal
A couple of small residential care facilities traded in the Ozarks region of Missouri, with their mom & pop owner/operator exiting the senior care business as a result of the deal. Andrew Montgomery of Montgomery Intermediary Group handled the transaction on behalf of them. One community in Cole Camp, built in the 2000s, featured 20 units of residential care (RCFI). The other building, in the town of Warsaw, was a Department of Mental Health residential care community, classified as an RCF II, that had 21 units and 35 beds. The Warsaw building was on the older side but both had a history of high occupancy. Combined, the properties sold for around $40,000 per unit, and there... Read More »
Forbright Bank and HJ Sims Provide Acquisition Financing
Forbright Bank, a full-service bank, and HJ Sims, a private investment bank and wealth management firm, provided financing for the acquisition of two skilled nursing facilities in California. Located in two strong submarkets, the facilities total 150 beds, with occupancy above 95% at the time of marketing. The buyer was a regional skilled nursing owner/operator who plans to renovate both facilities. Forbright and HJ Sims closed a unitranche loan product totaling $13.9 million at attractive leverage, with that loan product acting as a single debt obligation with one set of loan documents and one monthly mortgage payment. Together, over the past 12 months, the partnership has financed over... Read More »
Greystone Monticello Provides Large Bridge Financing
Greystone Monticello, a bridge lending platform that provides capital finance products and services for the multifamily and seniors housing sectors, provided a bridge loan to finance the $150 million acquisition of a portfolio of eight supportive living facilities (SLFs) located across Illinois. Greystone Senior Managing Director Eric Rosenstock worked with both the buyer and the seller on the transaction and originated the bridge financing. The deal was financed with a two-year bridge loan that is intended to transition to long-term, fixed-rate financing with Greystone. Comprising 921 total beds, the facilities are located in Elk Grove, Melrose Park, Country Club Hills, Bartlett, Vernon... Read More »
Is Remote Work Really Impacting Occupancy?
There was an interesting article in the Wall Street Journal last week that claimed there is a relationship between soft occupancies in seniors housing and more people working from home. The gist of it was that with more people working remotely full time, or even part time, they are better able to check on mom or dad who might otherwise be thinking about moving into seniors housing, and postponing the move because the kids are more involved. The first problem is that this assumes that the kids live nearby, and the reality is that many of their parents have already moved to warmer climates. The second problem is that it is much more than the need to “check” in on them. If they really need a... Read More »
Prevarian Senior Living Divests Community in Oklahoma
JLL Capital Markets arranged the sale of Prairie House, a 105-unit assisted living/memory care community located in Broken Arrow, Oklahoma. Located on the Ascension St. John Broken Arrow campus, which is affiliated with Ascension St. John Hospital, the community was built in 2017 and has 73 assisted living and 32 memory care units. The seller, represented by JLL’s team, which was led by Managing Director Charles Bissell with support from Analysts Zach Brantley and Hope Brunner, was Prevarian Senior Living. The buyer was Wichita, Kansas-based Legend Senior Living, with Prairie House being Legend’s fourth Tulsa-area community and 11th community in the state. Managing Directors Chris Cain... Read More »
BWE Secures Freddie Mac Refinance
BWE, a national commercial and multifamily mortgage banking company, arranged a $1.28 million loan through Freddie Mac’s Targeted Affordable Housing program to refinance an 81-unit affordable housing community for seniors. Cottonwood Senior Apartments in Placerville, California, restricts all units in the building to residents earning at or below 40% of the area median income (AMI). The fixed-rate loan has a 15-year term with three years of interest-only payments and a 30-year amortization. The borrower intends to use the loan to pay off an existing line of credit. Jon Killough, Executive Vice President in BWE’s Alabama office, and John Roberts, Vice President in the firm’s Dallas, Texas,... Read More »
SLIB Announces Two More Seniors Housing Sales
Brad Clousing and Dan Geraghty of Senior Living Investment Brokerage announced a couple of seniors housing closings in Georgia and Michigan, selling to two separate owner/operators. The Georgia deal involved a 77-unit assisted living/memory care community in the town of Buford in the outer ring of Atlanta suburbs. Built in 2012, the community was previously owned by a private REIT that had purchased the asset as part of a larger portfolio. However, it was an operational outlier and was slated for sale. A Florida-based owner/operator emerged as the buyer with a plan to invest in cosmetic upgrades to the community and improve overall performance through continued lease-up and expense... Read More »
New Active Adult Community Refinances Its Construction Debt
JLL Capital Markets arranged $47 million in financing for Amaranth at North Brunswick, an active adult community in North Brunswick, New Jersey, that was recently constructed. The community has 222 units, and experienced strong lease-up. It is a luxury community with amenities such as a demonstration kitchen, yoga room, dog park and dog day spa. To retire the property’s existing construction loan, Nuveen Real Estate provided the seven-year, fixed rate loan for the borrower, Kaplan Companies. JLL’s team was led by Michael Klein, Matthew Pizzolato and Michael Meisner. Read More »
Institutional Sellers Divest Three Tennessee Properties
Tennessee has been a popular acquisition destination in seniors housing in the last couple of months, with six deals featuring nine properties since mid-May. Brooks Blackmon of Blueprint Healthcare Real Estate Advisors took part in a couple of recent Tennessee transactions. He and Kyle Hallion teamed up on the sale of a 48-unit assisted living community in Chattanooga, working on behalf of a repeat institutional REIT seller. Originally built in 2000, the community had historically operated strongly and showed well. Blueprint conducted a targeted marketing campaign and received several competitive offers within 30 days of initial marketing. An undisclosed party acquired the property as part... Read More »Schedule a demo
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