National Developer/Investor Divests in Oklahoma
A national developer/investor, which engaged Blueprint in a large portfolio divestment of senior living communities that were purchased in a portfolio transaction pre-pandemic, sold an asset in Oklahoma. Built in 2000, the seniors housing community features 52 units of assisted living and memory care in a northern submarket of Oklahoma City. The community was 99% occupied and generated meaningful EBITDAR at the time of marketing, however, it would benefit from a refresh. Blueprint targeted operators and investors with an existing footprint in Oklahoma and surrounding states, procuring multiple competitive offers from regional owner/operators that were looking to expand within... Read More »
First Citizens Refinances Class-A Community
First Citizens Bank’s Healthcare Finance business provided a term loan to refinance a Class-A senior living community in a desirable location. GenCare Lifestyle Tacoma at Point Ruston comprises 159 units across six stories in Tacoma, Washington. The borrower is a joint venture led by Harrison Street. The same joint venture with PMB LLC served as the facility’s original developer in 2020, with GenCare Lifestyle, another joint venture partner, as the operator. Read More »
Brookdale Posts Census Increase…Finally
We are now beyond this year’s muted flu season, and Brookdale Senior Living posted a small increase in occupancy for May, which should be the beginning of the peak summer selling period. If they don’t see larger increases in the next three months, it may be a rough start to next year. May average occupancy increased by 20 basis points over April, to 78.1%, while month-end occupancy increased by 30 basis points over April to 79.5%. Second quarter-to-date weighted average occupancy increased by 160 basis points to 78.0% compared with 76.4% in the comparable 2023 period. Unfortunately for Brookdale, this significantly underperforms the market. Using Welltower’s same-community SHOP... Read More »
Colorado SNF Gets New Owner (and Tenant)
Evans Senior Investments was engaged by an independent owner/operator in the sale of a skilled nursing facility in Aurora, Colorado. Evans targeted a select pool of prospective buyers, ensuring a competitive bidding environment and ultimately procuring 10 offers for the facility. Built in 1972 with a 2018 renovation, Summit Rehabilitation & Care Community features 110 beds on 2.44 acres across 44,630 square feet. It maintained an occupancy rate of 95% and generated over $11.9 million in annual revenue, leading to substantial profitability. The recent Medicaid rate increases in the state, with approved future increases in 2024 and 2025, made it an attractive opportunity for prospective... Read More »
SLIB Sells in Washington State
Senior Living Investment Brokerage facilitated the sale of a seniors housing community in Mercer Island, Washington. Built in 1990, the community features 50 units of assisted living and memory care and is situated in Lake Washington, east of Seattle and west of Bellevue. The seller was a private real estate fund, and the buyer is a Northwest-based regional owner/operator with a strong presence in Washington. The buyer is looking to expand further within the state. Their intent is to remodel the community and leverage operating systems. According to a local news source, the purchase price was approximately $5.5 million, or $110,000 per bed. The same source named an affiliate of... Read More »
Blueprint Closes Behavioral Health Deal
Blueprint’s Behavioral Healthcare team advised a national behavioral healthcare real estate investor in the re-tenanting of a substance abuse treatment center in the Norfolk, Virginia MSA. The existing asset had a previously strong operating history, though was not able to be conveyed with the license intact. Despite this challenge, multiple operators showed interest, with Blueprint procuring multiple LOIs. Blueprint identified and negotiated lease terms with behavioral healthcare-focused operators. Ultimately, a national substance abuse operator that Blueprint had previously closed with, was selected based on lease terms and execution capability. Andrew Sfreddo, Shane Harmon and Gunnar... Read More »
60 Seconds with Swett: WSJ’s Private Equity Analysis in Health Care
Last week, The Wall Street Journal published an article examining private equity activity in the healthcare M&A market, specifically that its activity was down compared with 2023 because of increased regulatory scrutiny and higher interest rates. The article cited Pitchbook transaction data, and some of the numbers left our editors at our sister platform LevinPro HC, which exclusively covers the healthcare M&A market, scratching their heads. According to Pitchbook, as cited in the article, there were 180 PE add-on deals, or when a PE firm buys a company through a portfolio company, through May 28. Our numbers are higher, as LevinPro HC recorded 193 deals from a PE-backed company,... Read More »
Ventas Purchases AL/MC Portfolio
Walker & Dunlop announced the closing of the Magnolia Springs portfolio consisting of seven communities across Ohio, Kentucky and Indiana. The seller appears to be a joint venture between LCS Real Estate and Nuveen Real Estate, which acquired the portfolio in 2018 and financed the deal with CBRE (before refinancing part of the portfolio in 2020). The average year built of the communities is 2014, and each had strong operating margins at the time of closing. The communities comprise more than 690 assisted living and memory care units, with average occupancy hovering in the low to mid-80s. Josh Jandris, Brett Gardner and Alex Vice handled the transaction. There were multiple offers... Read More »
Ventas Acquires AL/MC Community in Oregon
Newmark facilitated the divestment of a seniors housing community in Bend, Oregon. Built in 2013 and 2016, Mt. Bachelor Assisted Living and Memory Care comprises 156 assisted living and memory care units. Ventas revealed that it acquired this community for $55 million, or $352,600 per unit. This announcement comes shortly after Newmark facilitated the sale of a seniors housing portfolio featuring assets spread across three states. Dubbed Project Stone, the four-community portfolio includes Class-A communities at irreplaceable locations in strong Ohio, Kentucky and Missouri submarkets. Together, they comprise 460 independent living, assisted living and memory care units. The... Read More »
Blueprint Finds Buyer/Operator for Vacant Seniors Housing Asset
Blueprint’s Behavioral Healthcare team advised a seniors housing investor to both obtain specialized zoning entitlements for a vacant seniors housing asset and to sell the asset as a potential behavioral healthcare conversion following the re-zoning. Andrew Sfreddo, Shane Harmon and Gunnar Raney handled the transaction. Upon the investor securing the specialized zoning entitlements for inpatient behavioral use, Blueprint took the asset to market and procured an offer from a behavioral healthcare owner/operator which originally planned to purchase the asset, deploy capital improvements and license the building as an inpatient substance abuse facility. However, during escrow, Blueprint was... Read More »Schedule a demo
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