Private Investment Firm Buys Two Turnaround Assets
A Dallas-based private investment firm purchased a couple of seniors housing communities in Texas and Oklahoma. Both 1990s-built communities were losing nearly $1 million at the time of the sales, so they offered significant upside. The Carrollton, Texas, community was built in 1996 and renovated in both 2009 and 2016. In addition, it received a memory care expansion in 2014 and currently features 62 units. Occupancy was under 30%, and the community generated nearly $900,000 in revenues. Its private equity group seller with a regional seniors housing portfolio looked to divest the community. The buyer partnered with a local operator to take over management of the community. Matthew... Read More »
Spokane Active Adult Community Sells
Whispering Pines Apartments, a Class-A active adult community located in Spokane, Washington, was divested in the first quarter of 2023 in a 1031 exchange event. Built in 2016, the community has 31 units with long-term tenants and sits on two acres. According to the rent roll, in 2022, revenues were roughly $657,060. SVN Cornerstone’s Nate Gant and Guy Byrd were brought on to represent the seller, Whispering Pines LLC. Lee & Associates’ Levi Sterley represented the buyer, Seven Lakes Development, an investor/developer. The purchase price was $10.15 million, or approximately $327,400 per unit. Read More »
National Health Investors Sees Improvements
National Health Investors turned in a mixed second quarter but appears to see more tailwinds than headwinds as it approaches 2024. They are not out of the woods with some of their providers yet, and deferrals are still a bit of a problem, but census levels are rising, margins are increasing and they are seeing some coverage ratios increasing. Investors, however, focused on a slight decrease in earnings guidance for the rest of the year and rent deferrals, sending the share price down by 6.4% after the release. The REIT’s small SHOP portfolio (15 properties) posted a nice $200,000 increase in NOI from the first quarter to $2.1 million. The operating margin increased by 170 basis points from... Read More »
SLIB Arranges Two Southeast Deals
Two Senior Living Investment Brokerage teams sold a couple of senior care facilities in the Southeast. Jeff Binder and Nick Cacciabando first represented a local owner/operator in their exit from the skilled nursing industry by selling their 130-bed facility in Hollister, Missouri, near Branson. The facility was built in 1984 on top of a hill and offers views of Lake Taneycomo. It maintained consistent revenue and occupancy throughout the last three years, most recently (in 2022) generating about $6.45 million of revenue, with an 8% margin and 75% occupancy. Emerging from multiple offers, the eventual buyer was a Missouri-based owner/operator of skilled nursing facilities with one of... Read More »
Grandbridge Completes REIT’s Non-Core Portfolio Disposition
Grandbridge was brought on to sell three older seniors housing communities in Florida that were distressed: The Grande, Balmoral and Forest Oaks. The Grande is a 144-unit community in Brooksville with independent living, assisted living and memory care services, and Balmoral is a 125-unit AL/MC community in Lake Placid. Forest Oaks is an 80-unit AL/MC community in Spring Hill. The Grande and Balmoral sold in June to TJM Properties, a regional Florida-based owner/operator. In a separate transaction in August, Forest Oaks sold to a Florida-based buyer that was not disclosed. A national REIT sold the communities, and this sale completed its disposition of a portfolio that consisted of... Read More »
Ziegler Prices Ohio Living Bonds
Ziegler announced that it priced Ohio Living’s Series 2023 bonds to be used to refund existing bank debt, terminate an interest swap agreement, fund a debt service reserve fund and fund approximately $3 million of capital expenditures across the organization’s portfolio. The not-for-profit owns and operates 12 communities throughout Ohio, making it the second largest not-for-profit provider in the state. The bonds consist of tax-exempt fixed interest rate serial and term bonds with an 18-year final maturity. They feature a three-year interest only period with annual principal amortization starting in 2026. Ohio Living decided to utilize fixed interest rate bonds to refund a portion of its... Read More »
NIC’s Brian Jurutka Lands at IMA Financial Group
The former President and CEO of NIC, Brian Jurutka, will be taking his seniors housing knowledge and talents to IMA Financial Group, a Denver-based insurance brokerage firm specializing in risk management, insurance, wholesale brokerage and wealth management. IMA is employee owned with more than 2,000 associates across the United States. Jurutka has joined as Vice President of seniors housing with the mandate to grow IMA’s presence in seniors housing. His rolodex will certainly help him with that task. We enjoyed working with him over the years when he was CEO of NIC and wish him continued success in our industry. Read More »
Foundry Commercial Acquires White Springs Senior Living
White Springs Senior Living, a 90-unit assisted living/memory care community built in 2020 in Warrenton, Virginia, was acquired by Foundry Commercial, marking Foundry’s 30th senior living community purchased since its establishment in 2020. Spring Arbor Senior Living, Foundry’s in-house seniors housing operating company, will manage the community going forward. White Springs Senior Living is the newest community in the operator’s portfolio. Acquisition financing was arranged by Capital Funding Group, but no other details were disclosed. Read More »
Evans Senior Investments Sells Colorado SNF
Evans Senior Investments was brought on by an independent owner/operator to arrange the sale of a skilled nursing facility that was built in 1968 and is in Fort Collins, Colorado. The seller owned and operated the facility for about 20 years, with it as their only SNF. Like so many other independent owner/operators, they were impacted by the difficulties of today’s operating environment as well as a lack of economies of scale. Making the decision to exit the long-term care industry, the owner/operator divested. There was a competitive marketing process, and at the time of marketing, occupancy was 68%. The facility was generating over $7.5 million in annual revenue, with a loss of over... Read More »
Brookdale Senior Living Projects Growth
Brookdale Senior Living released its second quarter 2023 earnings and seemed to gush with optimism. But remember the old saying, under promise and over perform. While there was some positive news in the quarter, they still have a long way to go. The first big news was that Adjusted EBITDA increased by 60.5% over the year-ago-quarter to $81.4 million. The bad news was that this was an 8% decline from the first quarter when it was $88.6 million. Revenues increased year over year by 10.9% while facility operating expenses increased by only 3.4%. In this inflationary environment that is quite good. The company is now cash flow positive after lease and interest expense, but before capex. Other... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
