Evans Senior Investments Sells Vacant Community in Indiana
The team at Evans Senior Investments sold a vacant seniors housing community in Valparaiso, Indiana for $9.15 million, or $93,000 per unit, which at first glance is a strong value for an empty building. After opening its doors in March 2018, the community struggled to lease up and went through two different management companies. The pandemic only made things worse, and ownership decided to shutter the community in September 2020. It currently features 98 units that were set aside for assisted living and memory care. A regional private equity group was able to buy the property at below replacement cost and hired Priority Life Care to operate and oversee the leasing of it. Before Priority... Read More »
Blueprint Sells SNF in Erie, Pennsylvania
Blueprint Healthcare Real Estate Advisors handled the sale of a 120-bed skilled nursing facility in Erie, Pennsylvania. Connor Doherty, Michael Segal and Ryan Kelly handled the deal on behalf of the seller. Located in a competitive submarket, the facility was originally built in 1950 and underwent a major expansion in 1982. It had been steadily improving its operations and census prior to the pandemic, reaching about 85% occupancy. However, like at many facilities across the country, census dropped to around 60% by the time of closing. Its regional owner/operator owner deemed the facility to be non-core to its long-term growth plans and hired Blueprint to handle the marketing and sale... Read More »
Greystone Handles HUD Refinance of Wisconsin SNF Portfolio
Fred Levine of Greystone arranged a total of $34.96 million in HUD loans for a portfolio of five skilled nursing facilities spread across southeastern Wisconsin. Totaling 558 beds, the facilities are located in Antigo, Burlington, Manitowoc and Kenosha. The in-state borrower, Champion Care, purchased them in 2017 and will continue with ongoing property improvements. So, to refinance existing debt and help support those improvements, they obtained 30-year debt with a low fixed interest rate from HUD. Read More »
Bloom Senior Living Sells Two South Carolina Communities
Kandu Capital and its operating affiliate Bloom Senior Living just sold two of their South Carolina assisted living and memory care communities. Bloom at Hilton Head and Bloom at Bluffton have been part of the Bloom family of communities since they were purchased from Brookdale Senior Living in 2013 for $7.2 million, or $61,500 per unit. They were struggling at the time with just $3.5 million of revenues and Bloom turned them around and grew revenues and EBITDA significantly, with EBITDA reaching $1.2 million in 2016. Then, several new communities were opened in the market and COVID-19 appeared. Occupancy dipped but the communities remained very cash... Read More »
Construction Costs Go Up for Indiana Senior Living Project
Rising construction costs have stymied a number of senior living construction projects (much to the relief of thousands of operators looking to quickly recover their occupancies), but one development is still going ahead, albeit with a $3 million increase in financing. Evergreen Real Estate Group is building a 120-unit Medicaid assisted living community in Goshen, Indiana, which will feature 49 studio and 71 one-bedroom units, with Gardant Management Solutions serving as operator. Development costs were originally estimated to be $28 million, or $233,300 per unit. The plan was approved in late 2019, and the Goshen City Council approved the issuance of up to $22 million in tax-exempt... Read More »
Recent Senior Care M&A Deals, Week Ending May 21, 2021
Senior care M&A activity is still plodding along, so here is our recent deal chart. Long-Term Care AcquirerTargetPrice Chicago Pacific FoundersThe Shores at Clear LakeN/A Not disclosedThe Homestead at Lakewood$8.3 million Regional owner/operatorThe Parks Senior LivingN/A WindRiver CompaniesBloom at Hilton Head and Bloom at Bluffton$12.25... Read More »
Ziegler Closes “Green Bond” Financing
Ziegler announced that it will soon issue the first ever “Green Bond” financing for a senior living development. And it is for quite a sum. Enso Village, located in Healdsburg, California, is set to open in 2023 with 221 independent living units, 30 assisted living units and 24 memory care units on a 16-acre campus. It is being sponsored by the San Francisco Zen Center, a network of affiliated Sōtō Zen practice and retreat centers in the Bay area, and The Kendal Corporation, a national not-for-profit provider of senior living services. Greenbrier Development is building the campus, which has already achieved 94% reservations two years out from opening. Quite impressive. Enso Village will... Read More »
Welltower Making Investment In 55+ Market
Welltower is diving into the active adult market with its new investment relationship with Treplus Communities, a Columbus, Ohio-based developer of high-quality 55+/active adult communities. Currently, there are three Treplus communities already open in central Ohio, and there are more in the works for 2021. Treplus also has eyes on expanding in the Midwest, and this partnership with Welltower will certainly help those ambitions. Treplus’ communities consist of 90 to 150 units that range from 1,200 to 1,600 square feet. Each community also features resort-style amenities such as a fully equipped gym, café, business center, billiards, liquor lockers and catering kitchen. The communities... Read More »
Blueprint Sells Entrance-Fee CCRC in West Texas
An entrance-fee CCRC in Odessa, Texas, with a major turnaround opportunity at its on-campus skilled nursing facility, just sold to a regional owner with the help of Amy Sitzman, Jacob Gehl, Giancarlo Riso and Humair Sabir of Blueprint Healthcare Real Estate Advisors. Originally built in 1987 with additions made in 1992 and 1997, the Type-C community features 55 independent living units, 23 high-acuity assisted living units and a 90-bed SNF, although just 71 beds were in operation. The independent living portion was almost always fully occupied (or close to it, even during the pandemic), but the SNF struggled with census in the last year, starting in the high-80s and eventually falling... Read More »
Monarch Advisors Sources Financing for Monterey Community
Alec Blanc of Monarch Advisors continues his Spring activity with the closing of a bank refinance for a small assisted living community in Monterey, California. Featuring 33 beds in 20 units, the community is owned by Songbird Care Homes, a locally-based family owner/operator. Built in 1992, it typically operates at full capacity. There was both SBA debt and a seller note on the property, and the borrower wished to reduce its debt service costs. So, to refinance the company’s debt and provide additional growth capital, Mr. Blanc sourced a $4.6 million senior loan from a local bank. It came with a seven-year term and competitive fixed interest rate. Proceeds from the loan will provide... Read More »Schedule a demo
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