McFarlin Group Buys Value-Add Florida Community
Institutional Property Advisors (IPA), a division of Marcus & Millichap, announced the sale of Parkside Assisted Living and Memory Cottage, a three-story 65-unit/94-bed seniors housing community in Port Charlotte, Florida. The community was developed by a local neurologist and managed by his family upon his untimely death in early 2017. Nevertheless, it opened in October 2017 and reached 62% occupancy prior to the pandemic. However, occupancy decreased through 2020 and reached its low at the end of 2021. The buyer is an affiliate of Dallas-based McFarlin Group, which develops, owns, and asset manages senior housing communities throughout the Sun Belt. For an undisclosed price,... Read More »
Lument Closes Nearly $1.5 Billion in 2021 Seniors Housing Transactions
Lument announced today that it closed 137 seniors housing and care transactions in 2021 totaling $1.49 billion, a record for the company, representing financings in 31 states. The volume included 18 HUD 232/223(f) transactions totaling $154.4 million, eight HUD 223(a)(7) refinances totaling $114.4 million, two HUD 223(f) refinances totaling $30.5 million, and a new construction loan from HUD for an assisted living community in Illinois. The firm closed deals across the country, with 21 transactions for clients based in Ohio, 17 in Indiana, 12 in Illinois, eight in Virginia, and six each in California, Minnesota and Oklahoma, among others. In all, Lument also originated 92 rate... Read More »
Walker & Dunlop Provide Funds to SNF Portfolios Struggling During COVID
Walker & Dunlop, Inc. announced that it structured a little over $77 million in financing for two skilled nursing portfolios totaling ten properties and 848 units. The Cascades Portfolio, located throughout Utah, totals seven properties and 693 units. The Rollins-Nelson Portfolio includes three properties and 155 units located in Englewood, Long Beach, and Perris, California. Walker & Dunlop’s Kevin Giusti, Brian Neal, and Andrew Westling arranged financing from HUD, a regional bank and a finance company to provide for the Cascades portfolio. For the Rollins-Nelson portfolio, the team refinanced the existing HUD loan, capitalizing on a low interest rate and extending the term... Read More »
60 Seconds with Steve Monroe: The Right Place, Right Time
Are you tired of your sales and marketing staff wasting precious time with leads who either aren’t going to move in, or just plain don’t know what they want? Then have them read Ryan Frederick’s new book Right Place, Right Time: The Ultimate Guide to Choosing a Home for the Second Half of Life. Ryan is the CEO of SmartLiving 360. The book was actually written for the consumer to help them better navigate the choices of where and how to live later in life. But, it can serve as a very useful guide for senior living sales staff to consider what people are going through and to better formulate some of their questions for the prospects. The book’s various chapters cover such topics as: are you... Read More »
LPCs/CCRCs Do It Again
According to a new report from investment banking firm Ziegler, based on information provided by NIC, the LPC/CCRC market is on the rebound. Not that it had too far to rebound from, however. Not-for-profit and entrance-fee LPCs/CCRCs (we will refer to them all as CCRCs) had average occupancy between 90% and 92% in the 99 primary and secondary markets for the 10 years prior to the pandemic. Rental CCRCs were not too far behind but started to diverge (trend lower) between 2014 and 2015, according to the data. With the onset of the pandemic, all forms of CCRCs, whether not-for-profit, for-profit, rental or entrance fee, saw similar drops in census that were seen across the industry and all... Read More »
Low Census SNFs Trade Hands in Illinois
CIBC Bank USA closed on a $12.44 million acquisition loan for two skilled nursing facilities totaling 253 beds in northern and central Illinois. An absentee manager had operated the facilities for several years, and occupancy was low as a result. Both facilities had an effective age of roughly 20 years, which is not too old in the SNF market. So, the borrower/buyer saw an opportunity to reduce expenses and bring occupancy to a stabilized level, thereby generating a margin in the mid-teens. One facility will be owner-operated, and the second will be leased to a regional operator. CIBC’s financing included a three-year term loan arranged at 80% loan-to-value, with earn-out... Read More »
BMO Harris Provides $380 Million Credit Facility for Institutional Investor
BMO Harris Bank’s Healthcare Real Estate Finance group announced its role as lead arranger and administrative agent on a portfolio term loan refinancing facility in excess of $380 million for 15 seniors housing communities throughout the United States. The properties are managed by five regional operating partners and include over 1,700 units of independent living, assisted living, and memory care. BMO partnered with Capital One, N.A., which served as joint lead arranger, to form the syndicate for the facility, which will be offered at a floating rate. The properties’ owner is a national senior housing real estate investor. Read More »
New SNF Sells in Texas
A brand-new skilled nursing facility changed hands in central Texas, with the help of Nick Stahler and Austin Diamond of The Knapp-Stahler Group at Marcus & Millichap. Opened in 2019, the 88-bed facility was built as a replacement property by its regional owner. The pandemic took a toll on operations. Occupancy was 50%, and there was some positive cash flow, but the facility was heading towards stabilization. Given its newer vintage and lack of new competition in the area, we imagine once stabilized, it could operate at a healthy margin. The facility is also enrolled in QIPP, which should help. Another regional owner with a presence in the state bought the facility for $7.0 million,... Read More »
Sonida Makes First Purchase Since 2016
We learned last month of Sonida Senior Living’s first acquisition since November 2016, when it purchased two independent living communities around Indianapolis, Indiana. But, a few more details have come out on the deal since then. First, it was revealed that Walker & Dunlop Investment Sales’ Alex Vice was the lead broker on the deal. He represented the seller, Core Redevelopment, a local multifamily developer/manager that acquired the communities (in distress) in 2019. Core embarked on a significant renovation to the community’s interior and exterior in addition to rebranding and repositioning the communities. Totaling 157 units, the IL communities were not well occupied at the time... Read More »
Sabra and Sienna Senior Living Join Up In Canada
Sienna Senior Living has announced a strategic joint venture with Sabra Health Care REIT to purchase a $243 million (C$307.5 million) portfolio of eleven private-pay retirement residences in Ontario and Saskatchewan. This will be Sienna’s first venture into the Saskatchewan retirement market, with four of the 11 properties located in the province. The other seven properties are in various cities in the Greater Toronto Area of Ontario, where Sienna already maintains properties. Extendicare Inc. is the seller, and the portfolio represents all of its currently owned private-pay retirement properties in Canada. Both Sienna and Sabra will have 50% ownership of the high-quality, entirely... Read More »Schedule a demo
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