CareTrust REIT Funds SNF Portfolio Acquisition
CareTrust REIT funded $90 million of a senior mortgage loan in connection with the borrower’s acquisition of a eight-facility skilled nursing portfolio in the southeastern United States. The portfolio, comprising 1,011 skilled nursing beds and 150 assisted living beds, has been acquired by an experienced, regional health care real estate owner/operator. The loan is secured by a first priority lien on the borrowers’ ownership interest in the real estate and carries a five-year maturity with two, six-month extension options and a starting annual effective yield of 10.7%. CareTrust’s $90 million loan is part of a $165 million senior mortgage term loan with an interest rate of SOFR plus... Read More »
Ensign Adds Two Western Facilities
The Ensign Group acquired the real estate and operations of Wellsprings of Gilbert, a 32-bed skilled nursing facility in Gilbert, Arizona. The real estate was acquired by a subsidiary of Standard Bearer Healthcare REIT, Inc. In a separate transaction, Ensign acquired the operations at The Springs at St. Andrews Village, a 58-bed skilled nursing facility in Aurora, Colorado. It will be operated by an Ensign affiliated operator. These latest additions bring Ensign’s portfolio to 312 healthcare operations, 29 of which also include senior living operations, across fourteen states. Read More »
60 Seconds with Swett: How Serious Is the Minimum Staffing Mandate?
We conducted a survey of our readers, asking some questions on the skilled nursing M&A market. Most of the results will be featured in the June issue of The SeniorCare Investor, released later this week, but here are a couple of takeaways from it. First, we asked whether the threat of the minimum staffing mandate (as it currently stands) would impact buyer demand for SNFs. The majority, or 72%, said “somewhat” while 21% said “not at all.” Only 7% thought that there would be a significant impact. Posing the same question, but how lenders’ ability to lend for SNFs would be impacted, also saw the majority, or 64%, of respondents say “somewhat” and 14% believed it would have no impact.... Read More »
Marcus & Millichap Handles Sacramento Sale
After more than twenty years of ownership, a family owner/operator decided to sell its senior apartment community in Sacramento, California. The partnership chose to engage Rob Reis and Jon Holmquist of Marcus & Millichap to quietly market their property for sale. Built in 1971, the 103-unit community consists entirely of one-bedroom apartments. It is a hybrid between independent living and senior apartments, as the previous owner contracted in a meal service for two to three meals per day, and had a prep kitchen, not a full commercial kitchen. Common area amenities include a community room, game room, meal plan service and exercise classes. Plus, unit amenities include hardwood... Read More »
Newmark Handles Class-A Portfolio Deal
Newmark announced 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 communities had positive leasing and operating margin trends, as well as strong recent rental and care increases. The portfolio was being offered at a discount to replacement cost, but the purchase price was not disclosed. Read More »
Two ARFs Trade in California
Sherman & Roylance sold two Level-3 Adult Residential Facilities (ARFs) in Fresno County, California, representing a well-regarded, long-time owner-operator seller in the deal. Chris Minnery and Michael Belcher of S&R found a seasoned buyer eager to expand their portfolio and build upon the established legacy of care. The two ARFs, each housing six residents, have been operating since 2003 under the management of the original owner. The facilities have consistently enjoyed 100% occupancy. They sold for $1.09 million, or $90,800 per bed. Sherman & Roylance facilitated a seamless handover process, with all residents and staff remaining on board to maintain continuity of... Read More »
Haven Senior Investments Handles Kansas Closing
Haven Senior Investments facilitated the sale of two seniors housing communities in eastern Kansas that total 59 assisted living and memory care units. The purchase price was $3.4 million, or $57,600 per unit. The seller, MorningStar Care Homes, divested one of its seniors housing assets a few years ago and is now exiting the sector to retire with the divestment of these two communities. The communities were built in the mid-90s and are located about an hour apart. They are in good shape, with not much capex needed. Both struggled during the pandemic, but were stabilized at the time of sale with around 85% average occupancy and positive cash flow. They are mostly private-pay, with some... Read More »
Insignia Divests Georgia Standalone Memory Care Community
Senior Living Investment Brokerage facilitated the sale of a standalone memory care community in Alpharetta, Georgia, that benefits from strong on-site leadership and a great reputation in the local market. The seller, Insignia Senior Living, is selling its United States-based assets to focus on its core geographic markets in Puerto Rico and Latin America. Built in 1991 and renovated in 2016, Tapestry House Memory Care features 42 units across one story. The community sits on 1.93 acres in Fulton County and comprises 28,266 square feet. SLIB created a national, yet confidential market for this transaction. There were multiple offers from both regional and local buyers. The eventual... Read More »
Inspired Healthcare Capital Acquires in Texas
JLL Capital Markets arranged the sale of a Class-A seniors housing community in San Marcos, Texas. The seller was a joint venture between Bow River Capital and Investcor, and the buyer was Inspired Healthcare Capital. Built in 2020, Sage Spring Senior Living comprises 90 units of assisted living and memory care. The community was stabilized at the time of sale. Jay Wagner, Rick Swartz, Aaron Rosenzweig and Dan Baker handled the transaction. Read More »
SLR Healthcare ABL Provides Financing
SLR Healthcare ABL provided a $3.0 million asset-based revolving credit facility to a skilled nursing operator based in the upper Midwest. The management team has a combined 40 years of long-term care experience. It recently took over the operations of three skilled nursing facilities that total 230 beds in Iowa. Proceeds of the loan were used to provide working capital to support growth initiatives which include development of a memory care unit and expansion of a behavioral health unit. Stacy Allen handled the transaction. No additional details were disclosed. Read More »Schedule a demo
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