Bloom Senior Living Blossoms Again
Last week we disclosed that Bloom Senior Living and its affiliate Kandu Capital hit a home run with its sale of a 94-unit assisted living and memory care community in St. Petersburg, Florida. They purchased it for $5.5 million in 2017 and just sold it for $12.5 million. Not too shabby. Well, it looks like they did it again, this time selling a 91-unit assisted living community in Lakewood, Ohio for $11.8 million, or nearly $130,000 per unit. While that price per unit will not be breaking any records, Bloom had purchased the community in 2010 for just $3.1 million out of the Sunwest Management bankruptcy. Do the math, and that is a 380% return... Read More »
SLIB Secures Three Sales on Two Coasts
Jason Punzel, Brad Goodsell and Vince Viverito of Senior Living Investment Brokerage announced a couple of closings out West. Starting in rural central Oregon, the trio sold a 27-unit/35-bed assisted living community in the town of Maupin for $1.6 million, or $59,300 per unit. Built in 2005, this community was fully occupied, but with a 60% Medicaid census. It was operating at a 20% margin on over $1 million of revenues, which is solid but presents an opportunity for a new owner. The current regional owner/operator chose to focus on its larger communities in major West Coast MSAs and decided to sell the community to an Idaho-based regional owner/operator that does focus on these... Read More »60 Seconds with Ben Swett: A Strong M&A Start to August
Transcript We know the market really turned a corner this June when 45 deals were announced after a rather tepid Spring, including three of the largest transactions seen in multiple years. And we’ll be talking about the importance of that month in the upcoming issue of The SeniorCare Investor. Even July, when many of us hit the beach, or would like to, an impressive 35 transactions were publicly disclosed. But it appears that strength will continue into August, as 18 separate transactions have been announced in just the last few days. And we know of a couple of confidential transactions that could have boosted that number even more. August’s M&A total will only grow as public companies... Read More »
Meridian Capital Group Reports Busy July
In the month of July, Meridian Capital Group’s Senior Housing and Healthcare team has closed $863.4 million in transaction volume for a combined 60 skilled nursing and assisted living properties in 13 states. That brings the year-to-date total to $3.6 billion in volume, or already surpassing the $3.2 billion in transactions closed in 2020. Well done to Ari Adlerstein, Ari Dobkin, Josh Simpson, Matt Lesnik, Jesse Rauch, David Gottlieb and Jacob Scott who negotiated the deals. Meridian’s largest deal of the month was a $324.7 million acquisition financing provided by a commercial bank and mezzanine lender for 21 skilled nursing facilities with 2,643 total beds in New Jersey,... Read More »
Blueprint Advises Another SNF Sale
Blueprint Healthcare Real Estate Advisors’ Ben Firestone and Michael Segal recently facilitated the sale of Magnolia Manor, a skilled nursing facility in Inman, South Carolina. Built in 1967, Magnolia has 176 beds, which represents over 40% of the total licensed beds in the local market and twice the capacity of the next largest competitor. The seller was a partnership that had leased the facility to a large East Coast-based provider that also operates another facility in the area. That operator will continue to manage the facility following stable and consistent operational performance. Not only that, but the operator also emerged as the buyer, beating out four other competing... Read More »
The Ensign Group and CareTrust Acquire Two Texas SNFs
The Ensign Group and CareTrust REIT have teamed up to acquire the real estate and operations of two skilled nursing facilities in the Austin, Texas metropolitan area. CareTrust purchased the facilities for $32.5 million, or about $135,000 per bed, while The Ensign Group recently took over operations effective August 1, 2021 as part of the acquisition. This deal brings Ensign’s growing portfolio to 242 healthcare operations, 22 of which also include senior living operations, across thirteen states. The facilities are Sedona Trace Health and Wellness Center, a 119-bed skilled nursing facility located in Austin, Texas; and Cedar Pointe Health and Wellness Center, a 122-bed skilled... Read More »
Walker & Dunlop Originates Financings for Four Communities
Walker & Dunlop Managing Director Kevin Giusti and Senior Analyst Brian Neal recently originated $37.47 million in financing for four assisted living and memory care facilities: Bloom at Bluffton in Bluffton, South Carolina; Bloom at Hilton Head in Hilton Head, South Carolina; Cascades of Tucson, in Tucson, Arizona; and Regency Jackson in Jackson, Tennessee. The Bloom Portfolio consists of two assisted living and memory care homes in South Carolina with 117 total units that sold in May for $12.25 million to WindRiver Companies for a cap rate around 5.7%. Built around 20 years ago, the communities had seen occupancy decline to 70% due to the pandemic and several new communities opening... Read More »
Newmark Summer Sales Continue
Late last week, we profiled several of Newmark’s latest closings, but we also said that we were not finished. One deal was referenced in Welltower’s recent earnings release, as the REIT’s purchase of seven senior living communities from White Oak Healthcare Partners finally closed. The communities, averaging more than 20 years in age and featuring a mix of 41 independent living, 214 assisted living and 176 memory care units, sold for $49.8 million, or $108,700 per unit. Frontier Management will take over operations of the portfolio, which is spread out across California (three locations), Georgia, Tennessee, Washington and Texas. The firm also... Read More »
Welltower Announces Big Census Gains
Welltower released its second quarter earnings results, and its growth strategy was on full display with $1.5 billion in pro-rata gross investments from April to June, at an initial yield of 8.8%. That does not even include the largest deal, which was its proposed $1.58 billion acquisition of 86 independent living communities owned by Holiday Retirement (and Holiday’s owner, Fortress Investment Group). That deal is set to close in the third quarter at a 6.2% initial cash cap rate. Welltower will also enter into a RIDEA-based management contract with Atria Senior Living, which acquired Holiday’s operating business. Welltower completed another notable... Read More »
The Mogharebi Group Closes Its Second Sale in a Week
The Mogharebi Group (TMG) has closed its second seniors housing sale in a week, despite being mostly focused on the multifamily investment sales market. Last week, the firm arranged the sale of an independent living community in San Bernardino, California. This week, Otto Ozen and Alex Mogharebi represented a Los Angeles-based private investment group, Crystal Asset Management, in its $18 million sale of Country Club Apartments, a 79-unit seniors housing community, also in San Bernardino. Built in 1986, the two-story community features two-bedroom apartments with floor plans averaging 903 square feet. Schuler Investment Corp. bought the property from Crystal and secured $9.8 million in... Read More »Schedule a demo
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