VIUM Capital Closes Four Acquisition Loans
The acquisition loans keep coming from VIUM Capital, which closed out September with four closings totaling more than $120 million in volume. The largest bridge loan, reaching $47.73 million, financed an East Coast-based owner/operator’s purchase of seven skilled nursing facilities in Colorado. Built between 1957 and 2017 (averaging 1999), the portfolio comprises seven skilled nursing facilities and a total of 558 beds in the southwestern part of the state. Before the pandemic, the portfolio was 77% occupied and produced nearly $6.2 million in annual NOI. But throughout the pandemic, occupancy decreased to 65% and NOI dropped. In the end, the portfolio sold for $51.5 million, or $92,300... Read More »Health Care M&A On Pace for Record Year
Despite a volatile market, healthcare investors are undeterred. Inflation, significant labor issues and declining stock value are major headwinds that should be slowing down activity, but the past few quarters have shown the resilience of the healthcare M&A market. Nearly 1,800 healthcare deals were announced through the end of September, a steep increase from the 1,560 sales reported in the same period in 2021. This year will break records if activity continues at this pace. Investors and dealmakers announced 686 deals in the third quarter, representing a 5% drop from the 731 transactions reported in the second quarter. With all the headwinds hitting the industry, we expected a more... Read More »KeyBank Returns to Waltonwood Lake Boone
KeyBank Real Estate Capital secured a $53.1 million permanent loan from Fannie Mae for Singh Development, a real estate developer, for its Waltonwood Lake Boone senior living community in Raleigh, North Carolina. Built in 2018, the Class-A community comprises 181 total independent living, assisted living and memory care units. In 2019, Peter Trazzera of KeyBank originally provided a bridge loan for the community, but the new Fannie Mae financing will allow Waltonwood to recapitalize the community with a 10-year fixed rate loan and provide additional capital for future growth within their portfolio. Singh Development currently has 13 communities operating under the Waltonwood brand in... Read More »SLIB Sells in Texas and Kentucky
Senior Living Investment Brokerage announced a couple of seniors housing transactions this week, starting with the sale of an assisted living/memory care community in Farmers Branch, Texas (Dallas MSA). Built in 1998, The Avenues Of Park Forest comprises 86 units and was sold to a private equity firm for a purchase price of $8.2 million, or $95,000 per bed. Previously owned by a large investment manager and operated by a third-party manager, the community held an occupancy of 45% with revenues just north of $2 million at the time of market, but it was losing more than $500,000 a year. Matthew Alley and Jason Punzel of Senior Living Investment Brokerage found the buyer, which specializes in... Read More »Novellus Living Enters Colorado Market
A large East Coast private equity firm divested its 66-unit assisted living community in Cherry Creek, Colorado, hiring Evans Senior Investments to handle the sale. Evans also helped secure debt for the buyer through its joint venture with Carnegie Capital. That buyer was California-based Novellus Living, which is making its first acquisition in the state after already acquiring facilities in California and Arizona. Built in 2002, the Colorado community sits just outside of Denver and comprises 66 assisted living units. While operating at 67% occupancy at the time of marketing and losing money, the community was able to increase occupancy to 79% throughout the transaction process while... Read More »60 Seconds With Swett: Q3 Ends on a Down Note
We recorded 133 publicly announced seniors housing and care transactions in the third quarter, for an average of over 44 deals a month. That is the fourth-highest quarterly deal total ever recorded by LevinPro LTC, but is lower than the each of the last three quarters. What is very interesting though is that the rolling-12-month deal total has never been higher. In the period from October 1st, 2021 to September 30th, 2022, we have recorded 553 publicly announced transactions, down just one deal from the previous 12-month span ending August 31st, 2022, and that total has crept up steadily throughout the year. It’s also a preliminary total that is bound to rise. To put it in perspective, the... Read More »Jonathan Rose Acquires Two Affordable Seniors Housing Communities
Jonathan Rose Cos. announced it has acquired two affordable seniors housing communities, Lakeland Place Apartments and Bowin Place Apartments in Detroit, Michigan, for a combined purchase price of $16.2 million, or $41,200 per unit. The two communities comprise a total of 393 units and sit within 20 miles of each other. Capital One provided HUD financing for both communities. Rose Community Management will manage the assets, and Rose Community Builders will oversee more than $15 million of renovations. Built in 1978 and comprising 200 units with one- and two- bedroom floorplans ranging between 550 and 760 square feet, Lakeland Place Apartments of Waterford sold for $8.2 million to a joint... Read More »CareTrust REIT Sells Seven SNFs in Ohio
CareTrust REIT completed its sale of seven skilled nursing facilities in Ohio. Totaling approximately 600 skilled nursing beds and 100 seniors housing beds/units, the portfolio sold for $52 million, or around $72,000 per bed/unit. In connection with the sale, CareTrust’s master lease with affiliates of Trio Healthcare was terminated. The deal was the first closing of an announced plan in February 2022 to sell or re-tenant 32 properties. The remaining 25 seniors housing communities currently held for sale or re-tenanting are moving along and should be resolved in the coming months. Read More »The Ensign Group Announces Three SNF Purchases
The Ensign Group kicked off the fourth quarter with three separate acquisitions of skilled nursing facilities across the country. The largest deal featured the operations of six SNFs in Texas: four in Austin and two in San Antonio. Totaling 729 beds, the facilities will be operated by Ensign’s Texas-based subsidiary, Keystone Care LLC, under a long-term. triple-net lease. Next, Ensign acquired the operations of two skilled nursing facilities in South Carolina: the 132-bed Oak Harbor Healthcare in Mount Pleasant and the 190-bed Oak View Health and Rehabilitation in Conway. Hopewell Healthcare LLC, Ensign’s South Carolina-based subsidiary, will assume management of the facilities. Finally,... Read More »Takeaways from Skilled Nursing: Is There A Market Disconnect?
On September 29th, 2022, Ben Swett, Editor of The SeniorCare Investor, spoke with two expert panelists on the skilled nursing M&A market, and why values continue to skyrocket. Mr. Swett was joined by Laca Wong-Hammond, Managing Director and Head of M&A at Lument, and Toby Siefert, Managing Director of Senior Living Investment Brokerage, to make sense of this market, the opportunities within it and the risks. Mr. Swett kicked off the webinar by asking the panelists if the average price per bed, which currently sits at $118,000 per bed, will continue to rise as it has during the previous four quarters. Ms. Wong-Hammond discussed how inflation has caused everything to increase in... Read More »Schedule a demo
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