Not-For-Profit Owner/Operator Divests in Texas
Plains Commercial facilitated the sale of a skilled nursing facility on behalf of a not-for-profit seller looking to consolidate its operational footprint closer to its home office in Lubbock, Texas. The buyer is a Dallas-based owner/operator looking to grow its footprint. Built in 1965, Senior Village Nursing Home comprises 60 licensed beds in the rural town of Perryton in the panhandle of Texas. At the time of sale the facility was struggling from low census with around 20 occupied beds, and it was cash flow negative. The facility offers the buyer, Capstone Healthcare, significant upside through further lease-up and operational changes. Daniel Morris handled the... Read More »
SLIB Sells Chicagoland Portfolio
Fresh off an active 2023, Ryan Saul of Senior Living Investment Brokerage kicked off 2024 with a large closing in Chicagoland. A private, family-run company was looking to exit the skilled nursing space, prompting the sale of its three SNFs with 491 total beds for $51.2 million, or $104,300 per licensed bed. On a functional bed basis, the per-bed price rises to $111,500. The portfolio consists of Wauconda Care (149 beds), Fairmont Care (186 beds) and Oak Brook Care (156 beds). They are the premier nursing homes in the area and hold five-star ratings from CMS, plus JCAHO (Joint Commission on Accreditation of Healthcare Organizations) accreditation. Occupancy was healthy at 84%, with... Read More »
Carnegie Capital Secures Acquisition Financing
JD Stettin, Managing Partner of Carnegie Capital, helped finance the acquisition of a non-performing senior care campus in Dallas, Texas. The debt will also help cover around $9 million in planned renovations at the 119-bed campus. Built in 2001 with a recent 2018 renovation, Crystal Creek at Preston Hollow features a range of care levels including skilled nursing, assisted living and memory care. At the time of marketing, occupancy in both the seniors housing and skilled nursing was rapidly declining. Due to the skilled nursing component not being licensed to accept Medicaid, the campus consistently struggled to lease up the beds with Medicare & private pay residents, which resulted... Read More »
Shealy Launches Grace Hill Capital
Ziegler alum Adam Shealy founded Grace Hill Capital in December 2023, building upon nearly two decades of experience as a senior banker at leading investment banks in the United States and Europe. GHC is a specialized capital markets advisory firm dedicated to seniors housing and health care, headquartered in Sarasota, Florida. It currently offers tailored capital solutions for senior living investors, ranging from bridge and permanent debt for acquisition, refinance, recapitalization, construction and rehabilitation. GHC services also include specialized underwriting, capital structure advisory and debt placement services for skilled nursing, assisted living, memory care and independent... Read More »
BWE Secures Financing For Four Seniors/Affordable Housing Communities
BWE announced the closing of four financings totaling over $26 million to refinance, build and preserve four seniors and affordable housing properties in California, Massachusetts, Ohio and Florida. First, Max Sauerman originated a loan on behalf of Goldrich and Kest, two privately owned, family-run real estate companies, for Palm Court Senior Independent Living. The community was built in 1991 and is in Culver City, California. Next, Taylor Mokris and Ryan Stoll originated a five-year, $13.15 million fixed-rate, non-recourse Freddie Mac loan on behalf of an institutional owner for acquisition financing. The loan has a five-year term. Operated by Benchmark Senior Living, Branches of... Read More »
Colliers Closes Tampa Deal
Ken and Damien Carreiro of Colliers International closed out 2023 with a closing in Tampa, Florida. The pair sold Family Extended Care Of Central Tampa, a 57-unit assisted living community that was built in 1967 and completely renovated in 2005. The community was 80% occupied, but financials were not disclosed. Best Care Senior Living, an operator of seven seniors housing communities in Florida, emerged as the buyer. They paid $6.5 million, or $114,000 per unit, for the community. The seller provided financing with 20% down. Read More »
Ensign Expands Management Portfolio
The Ensign Group acquired the operations of two separate skilled nursing facilities to kick off its year. First, Ensign acquired the operations of Hearthstone Health and Rehabilitation, a 125-bed skilled nursing facility in Sparks, Nevada. The acquisition is subject to a long-term, triple-net lease. Next, Ensign announced that its affiliate acquired the operations of TriState Health and Rehabilitation Center, a 116-bed skilled nursing facility in Harrogate, Tennessee, also subject to a long-term, triple-net lease. This is Ensign’s first SNF in the Volunteer State, and its Tennessee-based subsidiary, Rocky Top Healthcare LLC, will take over operations. These acquisitions bring... Read More »
JLL Capital Markets Finances Minnesota Acquisition
JLL Capital Markets arranged acquisition financing for three seniors housing communities in the greater Minneapolis-St. Paul MSA. The borrower, represented by JLL, was an affiliate of The Inland Real Estate Group of Companies. The Waters Senior Living will continue to manage the communities for Inland, and this transaction expands their relationship to four communities together. The portfolio comprises The Waters of Edina, The Waters of Plymouth and The Waters on 50th. Built in the past 10 years and demonstrating strong operations, they consist of 321 units total, with 223 dedicated to independent living/assisted living and 98 to memory care. The JLL Senior Housing Capital Markets team was... Read More »
60 Seconds with Swett: 2023 M&A Totals Higher Than Expected
Happy New Year everyone, and we think most are very happy to put 2023 behind them. It was a difficult year for dealmakers, having to adapt to quickly changing capital markets, sometimes fickle lenders, buyers and sellers, and lower overall inventory of facilities to sell or finance. It would be hard to imagine a more challenging year, barring some catastrophe yet unknown to us. Sorry for putting that out there. And yet, believe it or not, seniors housing and care M&A transaction totals in 2023 only failed to surpass 2022’s total of 556 deals, which blew the previous record out of the water. We recorded 489 publicly announced deals in 2023, which is still a preliminary number that... Read More »
2023 U.S. Deal Activity Nears 450 Transactions
The preliminary numbers are in, and the 2023 senior care M&A market ended up healthier than most would have predicted at the start of the year. U.S. transaction volume, based on deals that have been publicly announced but not necessarily closed (although most deals are completed by the time they are disclosed to us), reached 441 deals in 2023. That is 15% down from 2022’s domestic volume of 517 transactions, but it surpasses 2021’s deal volume of 427 transactions by 3%. Given the pullback in liquidity, the rapidly changing capital costs, economic uncertainty and collapse in cash flow at communities across the industry, a more precipitous drop in M&A volume could have been... Read More »Schedule a demo
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