Not-For-Profit Divests in Minnesota
Senior Living Investment Brokerage was brought on by a large, national not-for-profit in its divestment of a seniors housing community in Coon Rapids, Minnesota. The seller was looking to consolidate its portfolio to focus on core communities. The buyer was a joint venture between an in-state owner and an in-state operator trying to grow its footprint in Minnesota. Built in 1999, The Homestead at Coon Rapids has 53 assisted living and memory care units, with occupancy at 69%. The community sits on three acres and comprises 31,195 square feet. The purchase price and financials were not disclosed. Jason Punzel, Brad Clousing and Jake Anderson of SLIB handled the transaction. Read More »
CBRE Refinances Two Coastal Communities
CBRE National Senior Housing arranged a couple of refinances for Class-A assets in major metro areas. The first was closed for Chelsea Senior Living of New City, an 80-unit assisted living/memory care community located 30 miles north of New York City in a high-barrier-to-entry, affluent market. Built in 2021, the community features 56 AL and 24 MC units. It is owned by Capitol Seniors Housing, which brought in Chelsea Senior Living to operate the community. Aron Will and Adam Mincberg of CBRE originated a $21 million bridge loan through Ohana Real Estate Investors, a national debt fund. The loan featured an interest-only term and a floating rate. Will and Mincberg also teamed... Read More »
Seniors Housing Asset Divested for Behavioral Health Conversion
Blueprint’s Behavioral Healthcare team advised an owner in the sale of an existing seniors housing/memory care community in Indianapolis, Indiana, to be converted to an inpatient residential substance use disorder clinic. The asset was underwritten as both seniors housing and a behavioral healthcare conversion candidate. Blueprint deployed a behavioral healthcare marketing campaign given the undersupply and strong demand from behavioral providers to operate within the state. There was strong initial interest within the first few weeks of marketing and the buyer ultimately selected has an existing footprint within the state. The buyer also intends to deploy significant capital improvement... Read More »
Non-Performing Loan up for Grabs
A non-performing mezzanine loan on a newly built seniors housing community in Upper Marlboro, Maryland, is up for auction, with Newmark leading the process. The associated property was built in 2021 with 282 units of independent living, assisted living, memory care and active adult. The three separate buildings are interconnected via a skybridge with large glass windows. Common area space totals 134,642 square feet across the community. The fixed-rate construction loan was originated in December 2019 in the amount of $22.5 million to fund the project. It carried an interest rate of 12% (6% current and 6% Paid-in-Kind). The loan was later modified in October 2020 to increase its... Read More »
SNF Portfolio Trades in California
A portfolio of six skilled nursing facilities in California was finally sold in multiple phases, with the two last facilities closing after the completion of HUD debt assumption and state regulatory approvals. The facilities sold for $154 million in total, and while the combined beds were not disclosed, pricing was reportedly strong on a per-bed basis and possibly a record for any portfolio SNF deal in the state, again on a per-bed basis. Gideon Orion of Walker & Dunlop facilitated the sale, his third over $150 million closed in the last 12 months. Located in Southern California, the facilities were on the older side (typical of the state), having been built from the 1960s to the... Read More »
Monarch Sources SNF Acquisition Debt
Mission Health Communities, a private multi-state operator of senior care facilities, recently engaged Alec Blanc of Monarch Advisors to source acquisition debt for the purchase of a 78-bed skilled nursing facility in Topeka, Kansas. The behavioral-focused facility was already operated by Mission Health, making for a seamless transition. Occupancy hovered between the high-80s and low-90s, and the facility was profitable, benefiting from a significant rate increase in Kansas effective July 1, 2023. Mission Health had taken over operations after the facility entered into receivership. Mission Health obtained a $2.1 million senior loan from a local bank to fund the deal. Monarch structured... Read More »
Marcus & Millichap Closes Two SNF Deals
The Knapp-Stahler Group at Marcus & Millichap closed a couple of skilled nursing deals on the eve of the eCap conference in Miami, so a celebratory pina colada by the pool sounds appropriate. First, Nick Stahler and Austin Diamond sold an 85+ bed facility in East Texas to a regional owner/operator that was selected for its proven track record and ability to close “all cash” in an expedited time frame. The facility had historically struggled with occupancy (it was in the mid-50% range at the time of closing), and rising expenses due to inflation created further challenges. There was clearly room for improvement in those areas, plus in the payor mix and in additional revenue via... Read More »
Scribner/Cascadia Join in Oregon Purchase
Scribner Capital and its institutional capital partner announced its involvement in the purchase of The Village at Keizer Ridge in Keizer, Oregon. The acquiring joint venture also included Foundry Commercial and its affiliated operating partner, Cascadia Senior Living. The transaction marks Scribner’s fourth transaction with Foundry and second with Cascadia. This also marks the 15th seniors housing equity investment by Scribner to go along with three debt investments. Built in 2016, Keizer Ridge is a 126-unit assisted living/memory care community that faced challenges through COVID. Operations were stabilizing, and the community was nearly 90% occupied at the time of closing, which was... Read More »
CIBC Helps with Portopiccolo Refinance
The Portopiccolo Group secured a refinance on 15 of its skilled nursing facilities from a diverse group of lenders, including CIBC Bank USA, which, along with other co-lenders, provided a $220 million senior secured credit facility. Located in Virginia, the facilities total 1,675 skilled nursing beds and 34 assisted living units. They have been operated by a third-party tenant for several years and boasted strong historical operations. Occupancy has been approximately 85%, with an EBITDAR margin around 25%. That is strong. In addition to the senior debt, CIBC provided a $13.0 million revolving line of credit to support the ongoing operations of the third-party tenant. The financing... Read More »
Struggling Ohio CCRC Changes Hands
In a swift transaction, Blueprint’s Connor Doherty, Ryan Kelly and Dan Mahoney closed the sale of a CCRC in Richmond Heights, Ohio (Cleveland area), just 55 days from offer acceptance to closing. That fast track, helped by the buyer paying all cash, got the deal completed before year-end, enabling the new owner to benefit from Ohio’s improved reimbursement environment. The property, Richmond Heights Place, may need that, as it was losing money at the time of the sale. Nearly 25 years old, the 138-unit community was previously owned by a West Coast-based owner/operator that was making a strategic exit. A well capitalized private owner/operator looking to expand and increase its scale in the... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
