Midcap Financial Acquires Most of Sector Financial’s Healthcare ABL Portfolio
MidCap Financial, a leading commercial finance company focused on middle market transactions, completed an acquisition of a significant portion of Sector Financial’s managed Healthcare Asset Based Lending portfolio, totaling over $500 million in commitments and over $300 million in funded assets. Garrett Fletcher, Product Head of Asset Based Lending at MidCap Financial, had this to say: “We are pleased to expand our portfolio and forge meaningful new partnerships with borrowers in one of our core verticals, serving as a leading capital provider to the healthcare industry and the middle market overall.” Included in the $500 million in commitments were revolving credit facilities with... Read More »
Carnegie Capital Finances Massachusetts SNF Acquisition
JD Stettin of Carnegie Capital financed the acquisition of a 130-bed skilled nursing facility in the Springfield area of Massachusetts with a $7 million first mortgage and a $2 million line of credit for a sponsor and the operator. Built in the late-1980s and renovated in 2005, the facility was around 82% occupied but was underperforming. This is the second opportunistic acquisition between the two entities, and the operator owns another facility nearby. The loan covered 70% of the $10 million, or $76,900 per bed, purchase price. It came with a fixed interest rate of 6.5% and a term of seven years, with two years of interest only. Read More »
Lument Arranges Acquisition Loan and Three Refinances
Lument closed four bridge loans totaling more than $78 million to acquire and/or refinance four memory care communities totaling 311 units in Texas and Wisconsin. Managing Directors Doug Harper, Chris Mauger, and Casey Moore led the transaction for Lument. The deal’s sponsor was Silverado, a large and experienced owner/operator of dedicated memory care communities in California, Kansas, Nevada, Maryland, Texas, Illinois, Virginia, Washington, and Wisconsin. Silverado had been managing Barton Springs, a 56-unit community in Austin, Texas, and was able to acquire the property with an $18.6 million loan (which includes the initial principal and an earn out). Lument also secured $21.1 million... Read More »
CBRE Refinances San Diego-Area IL Community
CBRE’s National Senior Housing team refinanced an independent living community in California. Built in 2021, The Plaza at Lantern Crest comprises 113 units and sits on 3.8 acres in Santee (San Diego MSA). The four-story community features a plethora of amenities including an indoor swimming pool, fitness center, physical therapy office, outdoor theater, a restaurant and 1950’s diner, a bowling alley, a full-service bar and a tea room. Aron Will, Bill Chiles, Matt Kuronen and Michael Cregan of CBRE arranged a $38.3 million, 10-year loan with five years of interest only through its Freddie Mac Optigo lending platform on behalf of the borrower, The Grant Companies. Founded in 1989, The Grant... Read More »
2022 M&A Results and Valuation Statistics
Listen to The SeniorCare Investor and a panel of experts to get a sneak peek of the 2022 M&A valuation statistics and a preview of what is to come in the market. Read More »
Sabra Health Care REIT Sees Occupancy Increases
Sabra Health Care REIT is still working through some portfolio issues, like every other REIT, and it will take until at least next year to wind through them. But from an occupancy perspective, at least with its largest segments, things are looking up. And the transition of 20 additional skilled nursing facilities to The Ensign Group is now complete, bringing the total operated by Ensign to 31 buildings representing 8.5% of annualized NOI. This is important because not only is Ensign one of the strongest SNF operators in the country, but its EBITDARM coverage with Sabra is 1.69x. Also not too shabby from a financial perspective is Avamere Family of Companies, which now leases 29 SNFs from... Read More »
Cushman & Wakefield’s Chicago Transaction
Cushman & Wakefield sold an independent living community in the state of Illinois. Partially occupying a 1939-built hospital, River Glen of St. Charles comprises 106 units of independent living, (including townhomes) assisted living and memory care in St. Charles (Chicago MSA). Selling the community was Salt Lake City, Utah-based Bridge Investment Group. River Glen was then purchased by Citrine Senior Communities in a joint venture with Jaybird Capital for a purchase price of $20 million, or $188,700 per unit. Jaybird Senior Living will manage the community. Historically, the community was fully-leased with its AL and MC units in a mansion-style building and multiple amenities such as... Read More »
Shuttered Connecticut SNF Sells
A vacant skilled nursing facility sold in Wallingford, Connecticut, with the help of Michael Segal, Connor Doherty, Steve Thomes and Ryan Kelly of Blueprint Healthcare Real Estate Advisors. Built in 1984 and formerly operated by Genesis HealthCare, Quinnipiac Valley Center comprises a total of 180 beds and sits on 11 acres just north of New Haven. The facility was closed in March 2022 after a Department of Public Health investigation found “repeated and ongoing failure to correct serious and widespread health and safety issues.” Emerging as the buyer was a Florida-based developer with local ties to Wallingford. The transaction closed less than 50 days after the LOI... Read More »
Grandbridge Facilitates Florida Transactions
Grandbridge Real Estate Capital’s seniors housing investment sales team announced it has sold three assisted living/memory care communities in the state of Florida. The three communities included Bradenton Oaks in Bradenton, Renaissance Retirement Center in Sanford and Bayside Terrace in Pinellas Park. Built in 1973 and 1988, Bradenton Oaks comprises 112 units just south of Tampa Bay. Built in 1894, Renaissance Retirement Center comprises 94 units just north of Orlando. Built in 1986, Bayside Terrace comprises 145 units north of St. Petersburg. All of the communities were operating at low occupancies and operational losses. A national REIT was the seller, after deeming the properties to be... Read More »
National Health Investors Continues To Acquire
As we keep saying, the recovery from the pandemic is going to be a long slog for many, but most investors, lenders and operators understand that and have been able to deal with it. Take National Health Investors, which would have liked to turn in a better fourth quarter, but nonetheless continued making acquisitions in February. First, NHI bought two memory care communities from Silverado Senior Living, a new customer, for $37.5 million, or $312,500 per unit. They both opened in 2022 and both are 60 units. One is located in Summerlin, Nevada, and the other in Frederick, Maryland. Silverado will lease them back from NHI for 20 years with a first-year lease rate of 7.5% plus 2% annual... Read More »Schedule a demo
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