Cain Brothers Handles Massachusetts SNF Bond Financing
Cain Brothers, a division of KeyBanc Capital Markets, has announced the closing of a $24.6 million Massachusetts Development Finance Agency Revenue Bond on behalf of D’Youville Senior Care in Lowell, Massachusetts, and its sponsor, The Carmelite System. Proceeds from the bonds were used to refinance two existing bank loans, fund capital improvements on the D’Youville’s campus and pay costs of issuance. The refinancing addressed future interest rate risk by avoiding future expensive call premiums on the prior loans and providing near-term cash flow relief to D’Youville. In addition, Cain Brothers served as swap advisor to the sponsor on a long-dated, fixed-pay interest rate swap with a... Read More »
Ziegler Handles CCRC Sale to Pacifica Senior Living
California-Nevada Methodist Homes, a California-based not-for-profit owner/operator, sold two of its entrance-fee CCRCs in the Golden State after filing for bankruptcy in March 2021. Lake Park, a 215-unit CCRC in Oakland, and Forest Hill, a 135-unit CCRC in Pacific Grove, experienced declining performance in recent years, which was amplified during the pandemic. Occupancy had dropped to around 60%, and monthly operating losses were significant. Pacifica Senior Living emerged as the winning bidder at the bankruptcy auction for $34 million, or $97,000 per unit. Pacifica also assumed all entrance fee contracts and associated entrance fee liabilities of approximately $20 million. Dan Revie... Read More »
Kandu Capital Refinances Its Turnaround Property in Indiana
Kandu Capital, LLC, a real estate and health care-focused family office, and its seniors housing operating company, Bloom Senior Living, refinanced its 78-unit assisted living/memory care community in Kokomo, Indiana. Bloom at Kokomo was acquired in May 2019 from Capital Senior Living Corporation (now Sonida Senior Living) for $5 million, or $64,000 per unit. At the time, occupancy was 80%, revenue was just over $3 million, and the community was losing money. However, Bloom management projected EBITDA could grow to at least $750,000. And we profiled the turnaround late last year in a story called “A Successful Turnaround, Twice.” Long story short, in just over three years and during the... Read More »
Lloyd Jones Announces Handful of Acquisitions
After a busy year with at least seven acquisitions made in the seniors housing space, Lloyd Jones finished 2022 with the purchase of four seniors housing communities in the states of Ohio, Texas, and Massachusetts. Its operating company AVIVA Senior Living will operate all four locations and rebrand them as AVIVA communities. Built in 1992, Glendale Assisted Living comprises 50 units and 70 beds in Toledo, Ohio. The other Ohio community was Canton, Ohio-based The Landing of Canton, which comprises 80 units of assisted living and memory care. The community offers one and two bedroom residences with 60 assisted living units and 20 memory care units, the community offers 91 beds and is... Read More »Cushman & Wakefield Refinances IL/AL Portfolio
Cushman & Wakefield announced it has arranged a $51 million refinance of an independent living and assisted living portfolio on behalf of Kisco Senior Living. The three-property portfolio comprises 477 units and spans across the states of California, Texas and North Carolina. The communities within the portfolio are Cypress Court in Escondido, California, Villa de San Antonio in San Antonio, Texas, and Heritage Woods in Winston-Salem, North Carolina. The new loan, which was provided by a national bank, is retiring existing debt. Cushman & Wakefield’s Rick Swartz, Jay Wagner, Aaron Rosenzweig, Dan Baker and Sam Dylag represented the borrower in the transaction. Read More »
Rockwood Capital and Doyenne Healthcare Capital Announce Joint Venture
Rockwood Capital and Doyenne Healthcare Capital have announced a new seniors housing joint venture to invest up to $100 million of equity in seniors housing assets across the United States. Doyenne Healthcare Real Estate is a women- and minority-owned real estate investment firm that was established in August 2022 and is headquartered in Chicago, Illinois. Rockwood Capital is a real estate investment management firm founded in 1995 that provides debt and equity capital combined with real estate operating expertise for the repositioning, development, redevelopment and recapitalization of residential, office, retail and hotel space in key markets throughout the United States. Financial terms... Read More »
58-Twelve Acquires Active Adult Community in Georgia
Clairmont Crest Inc. has announced the sale of its 55+ active adult community in Decatur, Georgia. Clairmont Crest Senior Living Community comprises 213 units and sits on four acres in the greater Atlanta area. The acquisition was funded by a $30.5 million first-priority mortgage loan from Miami-based real estate lender BridgeInvest. The loan will go towards both the acquisition of the property and its renovation into a class-A luxury midrise. The buyer of the community is 58-Twelve, which announced plans to spend $20,000 per unit, or $4.26 million in renovations. Rent for the community is also expected to increase by 45% once all the renovations are complete. Clairmont Crest Senior Living... Read More »
Standard Communities Acquires Affordable Seniors Housing in Illinois
Standard Communities announced the acquisition of two affordable seniors housing communities in Chicago, Illinois. Built in 1926, Commonwealth Apartments comprises 145 units in the Lincoln Park area of Chicago. The other affordable seniors housing community is Greenleaf Apartments, which was built in 1981 and comprises 321 units in three stories. Community amenities include community rooms, libraries, sitting areas, on-site laundry facilities, multiple elevators, ground floor retail and hair salon, plus healthcare and convenience stores within walking distance. The two acquisitions have a combined total capitalization of $146 million, excluding $46 million in planned renovations for the... Read More »
60 Seconds With Swett: Not-For-Profits Could Have a Tough 2023
The pandemic adversely affected all senior care companies in the last three years, but not-for-profits seem to have been hit the hardest. First seeing their occupancies decline, they were then hit by inflation and soaring wages, which, when you generally have expense management issues in good times, is a devastating combination. The generosity to support several years of losses at these organizations is noble, but their boards can’t sustain those struggling businesses forever, especially when their mission could be better served in other capacities. We recently saw the debacle at the not-for-profit ProMedica where Welltower let the health system off the hook with its underwater leases for... Read More »
Baier’s Brookdale Butcher Block
On Friday the 13th (kind of cute, isn’t it), Brookdale Senior Living announced some major C-Suite changes, including the removal of Steven Swain as EVP and CFO effective February 24th, with the current Chief Accounting Officer taking over those roles while remaining the CAO. In addition, Kevin Bowman is out as EVP of Community Operations (basically the COO) effective January 12th. The two division VPs for the East and West will now report directly to CEO Cindy Baier. We are not sure what happened, but this seems a little like blaming these two senior executives for the 50% plunge in Brookdale’s share price as a result of the recent dilutive equity raise. We don’t know where this equity... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
