60 Seconds with Swett: Overturning Chevron and the Effects on M&A
There has been a lot of news to analyze from Washington, D.C. in the last couple of weeks, and the result of the 2024 election will certainly impact the operational and investment landscape in senior care. But we are still wrapping our heads around perhaps the most consequential news of late for the industry, which was the Supreme Court’s overruling of the Chevron doctrine, the 40-year judicial standard that had given a lot of leeway for administrative bodies to interpret statutes and implement regulations across the country. The case overturning Chevron is known as Loper. Now, it is up to the courts to determine those administrations’ regulatory powers, and ultimately Congress will... Read More »
Regional Owner/Operator Acquires Ohio SNF (with HUD Debt)
Blueprint was brought in in the divestment of a skilled nursing facility in Ohio. Purpose-built in 2015 as a transitional care facility in a northeastern suburb of Akron, the SNF comprises 80 beds and presents numerous paths to stabilization with strong fundamentals and attractive in-place HUD financing. Both regional and national acquirers were targeted, resulting in offers from five credible groups. The selected bidder was a regional owner/operator with significant experience in northeast Ohio, allowing for a quick HUD Transfer of Physical Assets Approval. The transaction closed before the end of June, enabling the facility to remain eligible for the Quality Incentive Payment... Read More »
Operator Retains Management After IL/AL/MC Divestment
Berkadia was engaged by Indianapolis-based Leo Brown Group in its divestment of two Class-A seniors housing communities in strong submarkets in Indiana and Ohio. The properties demonstrate robust operating performance with impressive margins, top-line revenue and high occupancy rates. Each being the newest vintage in their respective submarkets, built in 2020 and 2021, the communities comprise 247 independent living, assisted living and memory care units. The communities were developed by Leo Brown Group and operated by Traditions Management. Dave Fasano, Ross Sanders, Cody Tremper and Mike Garbers handled the transaction. Berkadia ran a competitive process that ultimately allowed... Read More »
Ziegler Closes Acquisition Financing for CCRC Group
Ziegler announced the closing of New Jersey-based FellowshipLIFE’s Series 2024 bonds and taxable term loan in an aggregate par amount of $42.5 million for the Senior Living Finance Practice. FellowshipLIFE, a not-for-profit provider of seniors housing, has an obligated group (subject of this financing) that currently consists of only Fellowship Village and is rated “BBB-” by Fitch Ratings. In connection with this financing, the obligated group will purchase a CCRC in Freehold, New Jersey, and bring it into the obligated group, which will result in no change to the current rating. Before the acquisition, the obligated group only included the Fellowship Village CCRC in Basking Ridge, New... Read More »
Sunrise Expands Horizon with 13 Added Communities
Sunrise Senior Living added 13 communities to its growing North American portfolio, with more community additions to follow in the third quarter. Sunrise now operates more than 240 seniors housing communities in the United States and Canada, serving more than 20,000 residents. First, Sunrise assumed a new joint venture ownership interest in two, high-quality assisted living/memory care communities in the suburbs of Chicago, expanding its AL/MC services in a high-performing market. Next, Sunrise assumed management of a portfolio comprising eight independent living communities in the greater Rocky Mountain area. Three additional communities are anticipated to close in the coming weeks. ... Read More »
Owner/Operator Expands in Missouri
Andrew Montgomery of Montgomery Intermediary Group represented a buyer that was not disclosed in its purchase of a skilled nursing facility in St. Louis, Missouri. Built in the late 1990s, the SNF comprises 120 beds. Current operations were not disclosed, but the facility was considered to be a “value-add” opportunity. Its previous owner, a local mom & pop, was exiting the sector with the sale. They were represented by Matt Bukhshtaber of CBRE. Meanwhile, Montgomery represented the buyer, a growing owner/operator that was expanding their existing footprint in the state of Missouri. The purchase price was not disclosed. Read More »
PE Firm Divests in Philadelphia
Blueprint was engaged by a real estate private equity firm in its divestment of a seniors housing community in Philadelphia, Pennsylvania. Built in 1988, the community comprises 114 units of assisted living and memory care. The PE firm acquired it in 2018 with a plan to execute a capex investment and repositioning strategy, subsequently investing significant capital to renovate and modernize the community, materially elevating its FF&E, common areas and resident units to a quality on par with a newer vintage product. Kory Buzin, Steve Thomes and Ben Firestone handled the transaction, marketing the opportunity as one with upside upon respositioning it to better serve the local,... Read More »
Sonida Expands Through the Addition of 10 Properties
Sonida Senior Living announced it added eight seniors housing communities and two management contracts to its portfolio. Sonida’s portfolio now consists of 70 communities. Including the two new management contracts, Sonida’s operating portfolio is now comprised of 82 communities. The growth also comes on the heels of the 160% increase in its share price in the first six months of 2024. The company executed two separate joint venture investments acquiring eight seniors housing communities in attractive submarkets within Sonida’s geographic footprint. The transactions include 790 independent living, assisted living and memory care units. The acquired assets consist of private-pay communities... Read More »
CA-Based National Owner/Operator Expands in Idaho
The Zett Group was engaged by a regional owner/operator based out of Oregon in the sale of its seniors housing community in Nampa, Idaho. The buyer was a California-based national owner/operator looking to expand their footprint in the state. Streamside Assisted Living and Memory Care features 79 units. The transaction navigated through various fire, life and safety needs that arose from the licensure inspection. Blake Bozett handled the transaction. The approach was targeted: upon securing the listing agreement, Bozett made one strategic call to the right buyer. Read More »
Local TX Owner/Operator Assumes HUD Loan for Distressed Asset
Senior Living Investment Brokerage facilitated the sale of a distressed senior care community in Houston, Texas. The seller was a regional owner/operator exiting the community due to operational challenges over the past few years. Vince Viverito, Matt Alley, Jason Punzel, Brad Goodsell and Jake Anderson handled the transaction, which generated multiple offers. Built in 1974, Treemont Health Care Center offers 70 skilled nursing beds and 42 assisted living units. The community sits on 1.28 acres and comprises 39,058 square feet. The buyer is a local owner/operator expanding its presence in the Houston market. They were able to leverage the HUD loan assumption, add the facility to the Texas... Read More »Schedule a demo
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