VIUM Capital’s Active August
VIUM Capital announced a plethora of transactions in the month of August, totaling approximately $200 million across six financings. The firm first closed a bridge acquisition loan for a pair of skilled nursing facilities in Arkansas. The loan totaled $19.9 million. VIUM next closed a bridge refinance with an earn-out structure for a 50-bed assisted living community in the state of Florida. Arranged for 428 Healthcare, which wanted to take equity out of a well-performing asset that it had purchased in 2019, the loan totaled $7.7 million ($3.7 million of initial funding with $4 million in earn-outs). After a two-year seasoning process, the loan will be submitted to HUD. To close out the... Read More »Knapp-Stahler Group Closes Oregon Transaction
Nick Stahler and Michael Mooney of The Knapp-Stahler Group of Marcus and Millichap sold a37-unit residential care facility in Oregon that specializes in traumatic brain injuries and other cognitive disorders. The property sold for $9.25 million or $250,000 per unit. It maintained strong occupancy and financial performance throughout the pandemic. Plus, the regional owner/operator buyer which has a presence in the state sees upside in revenues and margin, which we imagine helped the deal pencil out for them. The sellers developed and operated the facility over the past 20 years and were able to secure multiple offers on the property. Read More »Lloyd Jones Gets Bigger in Texas
Lloyd Jones continues to march across the country acquiring senior living communities that have included trophy properties and value-add opportunities, alike. The investment firm just bought a 75-unit senior living community in Granbury, Texas (Dallas-Fort Worth MSA) from Living Care Lifestyles for an undisclosed amount. JLL Capital Markets’ Charles Bissell and Dean Ferris represented the seller in the transaction. Quail Park of Granbury consists of 41 independent living, 15 assisted living and 19 memory care units across a 30-acre campus. On the property, there are also 20 acres available for future development, which was appealing to Lloyd Jones. At the time of closing, the community was... Read More »60 Seconds With Swett: A Bad Inflation Report and Its Effects on M&A
The Labor Department’s latest inflation report was certainly not the news that everyone was hoping for, and that many were expecting. According to the report, the core consumer price index, which excludes energy and food, rose 6.3% in August from a year earlier, up from 5.9% in both June and July. That was the real shock of the report, and the Dow plummeted by more than 1,100 points at one point on Tuesday. Crucially, this is the last report released before the Fed meets on September 20 and 21, which only increases the chances of another 75-basis point increase to the federal funds rate. M&A has already been affected by the rise of interest rates this year, so another jump (along with... Read More »The Prestige Group Announces Assisted Living Sale
The Prestige Group announced the sale of an assisted living community in Georgetown County, South Carolina. The 48-unit community sits on 8.2 acres just north of Charleston, and just south of Myrtle Beach. Joe Shallow and Richard Natow handled the transaction. Both the seller and buyer of the community were not disclosed. Read More »Resthaven Breaks Ground on The Farmstead
Resthaven broke ground on a $72.5 million development project called The Farmstead, an independent and assisted living community in western Michigan. The community will serve greater Ottawa County, and will be situated on 40 acres just southwest of Grand Rapids, Michigan. The Farmstead will comprise 24 single-family homes/duplexes, 24 assisted living and memory care units and 80 independent living apartments. Filling a high demand for seniors housing in the area, all the stand-alone homes are already reserved, but there are still a few apartments that have yet to be pre-leased. The community also comes with a clubhouse. Resthaven is a not-for-profit healthcare and senior living... Read More »LTC Properties Acquires Three Skilled Nursing Facilities
LTC Properties, Inc. announced a joint venture investment for the purchase of three skilled nursing facilities in northern Florida, to be operated by a partner new to LTC. The REIT will be the majority owner in this transaction with a $62 million contribution to the joint venture, while PruittHealth, Inc. will operate the facilities under a 10-year master lease, with two five-year renewal options. Built between 2018 and 2021, the three skilled nursing facilities comprise 299 beds in primarily private rooms. LTC expects to receive net rent of approximately $777,000 during the second half of 2022, and approximately $4.6 million during 2023. Read More »Brookdale Continues to Roll, But Maybe not Rock
Brookdale Senior Living just announced its August occupancy results, and it continues to rollon with the increases, but not quite rockin’. The third quarter for the industry has always, and wemean always, been the one quarter with decent occupancy gains year after year, so if Brookdaledid not post gains for the first two months, we would be concerned. The provider posted its seventh straight month of an increase in month-ending occupancy.August ended at 77.9%, up 80 basis points from the end of July, which itself was 50 basis pointshigher than the end of June. This is not too shabby, but the absolute levels are still way too lowfor a solid financial recovery. Month-end occupancy year over... Read More »Will They Never Learn?
First it was the Class Act, that part of the Affordable Care Act (ACA) that was, in actuality, a Ponzi scheme where “long-term care” premiums were going to be used to fund other aspects of the ACA, but they did not come clean on this little fact. The money was never going to be there when it would be needed. It was eventually removed a few years after the ACA was passed when even the Democrats pushing through the ACA admitted the Class Act was not going to work as originally touted. Then came the WA Cares Fund in 2019, with its payroll tax of 58 cents on every $100 earned. It doesn’t sound like too much, but the benefits were not too much either, if any funds were there when you needed... Read More »MidCap Financial Closes Acquisition Loan
MidCap Financial recently closed a $37.8 million floating rate first mortgage that funded the purchase of a 223-uint retirement community. Located in ChampionsGate, Florida, near Orlando, the community has 114 independent living units, 73 assisted living units and 36 memory care units. The loan amount comes to $169,300 per unit. The transaction was funded by entities managed by Fortress Investment Group, and was arranged by Alanna Ellis of Jones Lang LaSalle on behalf of Fortress. The $37.8 million loan amount was used for the acquisition as well as for future capital improvements. The community, The Glades at ChampionsGate, will be operated by Watermark Retirement... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
