People’s United Bank Funds Connecticut CCRC
Bridgeport, Connecticut-based People’s United Bank headed upstate to refinance a CCRC in Bloomfield, just north of Hartford. Duncaster, Inc. opened in 1984 as a not-for-profit CCRC that now includes 193 independent living units, 19 assisted living units, 24 memory care units and 60 skilled nursing beds. The pandemic led to a drop in occupancy (who didn’t experience that?) and slower IL unit sales. But the property did receive a healthy amount of stimulus funds to offset the drop in revenues, and recent IL unit sales reportedly have been strong. There was about $9.2 million of maturing bond debt held by Citizens Bank on the property, plus... Read More »
Bank Leumi Refinances Prestige Care
Bank Leumi USA announced that it has booked and funded a $23.5 million refinance for Prestige Care, a third-generation family operator of 80 seniors housing and care properties across eight states in the West. The transaction will refinance one of Prestige’s asset-based lending revolvers and a real estate term loan secured on a portfolio of four skilled nursing facilities in Oregon and Washington, plus one assisted living community in Arizona, all combining for 356 operating beds. The deal also gives New York-based Bank Leumi a significant treasury management relationship on the West Coast. Read More »
Buyers Paid Premium For Strong Operations in 2020
In 2020, there was yet again a perfect correlation between the average price per unit paid for seniors housing communities and their operating margins. Throughout 2020, as occupancy and cash flow at senior care facilities dropped and costs of financing rose, we wondered exactly how the pandemic would affect the pricing of these assets. Would it have a disparate effect on skilled nursing versus seniors housing properties, older properties versus new ones, or on stabilized facilities versus non stabilized. We are almost done compiling all these statistics in the 26th Edition of The Senior Care Acquisition Report, but we wanted to highlight a historical trend that continued even through... Read More »
Newmark Arranges Acquisition Financing For Harrison Street
Harrison Street has been on an acquisition tear of late, recently acquiring a portfolio of 12 seniors housing communities operated by Atria Senior Living and owned by Healthpeak Properties. But the firm also picked up a 90-unit community in Watertown, Massachusetts (Boston MSA), thanks to acquisition financing arranged by Sarah Anderson, Ryan Maconachy, Chad Lavender, Ross Sanders and David Fasano of Newmark. Built in 2014 at a cost of nearly $28 million, the community features 19 independent living, 46 assisted living and 25 memory care units about 10 miles west of downtown Boston. Three years later, Cushman & Wakefield arranged a... Read More »
JLL Handles Healthpeak’s SHOP Sale
Mike Garbers and Cody Tremper of JLL Capital Markets announced their involvement in Healthpeak Properties’ sale of 16 of its SHOP communities operated by several provider partners. White Oak Healthcare REIT joint ventured with Discovery Senior Living to acquire the portfolio for $230 million, or roughly $128,000 per unit. However, Healthpeak didn’t exit entirely, providing the buyer with $150 million in financing to fund the deal. With 14 locations in Texas and one each in North Carolina and New Mexico, the communities totaled around 1,800 units of assisted living and independent living, split between majority- or all-IL... Read More »
LCS’ Westchester Development Hits 60% Presales
A massive independent living development in the works on the campus of Purchase College SUNY in Purchase, New York is already 60% presold. And the ground has yet to be broken. Set on a 40-acre neighborhood, the development is expected to cost around $320 million. That’s nearly $1.5 million per unit. This isn’t Manhattan real estate, but building on a college campus in Westchester County must come at a cost. It was originally conceived back in 2008, when the state legislature approved a plan for the college to lease some of its land for senior living purposes. The governor at the time, David Paterson, vetoed the bill, but current Governor Andrew Cuomo signed the bill into law in... Read More »
Greystone Refinances Indiana CCRC
A not-for-profit CCRC in Elkhart, Indiana received a HUD refinance courtesy of Greystone. Lisa Fischman originated the $23.9 million loan, which came with a 30-year term and amortization. Bringing on the refinance was a recent expansion of the 220-unit property that offers independent living, assisted living, skilled nursing, short-term rehab services and, most recently, memory care services. The community was founded in 1977 and features amenities such as a wellness center, chapel, two restaurant-style dining venues and a two-acre landscaped park. The new memory care expansion comprises four houses, with nine units in each, all surrounding a central atrium. There was a previous... Read More »
Avanath Capital Management Moves Into Orange County
Avanath Capital Management, an investment firm that acquires, owns, renovates and operates affordable housing across the country, added another property to its portfolio in California, and its first in Orange County. Originally built in 1959 in the town of Garden Grove, the target features 85 units in four stories. It is located adjacent to the Garden Grove Hospital and Medical Center, and that probably helps the property’s popularity, as it has been consistently 100% occupied. The seller, Los Angeles-based Meta Housing, originally developed the building but has now sold it for $19.85 million, or $233,500 per unit. Read More »
Fairstead Acquires Naples Senior Community
Fully-integrated real estate firm Fairstead secured several sources of financing to fund its purchase of a 250-unit affordable senior apartment community in Naples, Florida. Chicago-based developer Full Circle Communities sold the 45-year-old community for $59.5 million, or $238,000 per unit. Currently, there are a variety of supportive services including health and wellness programs, on-site meals, van transportation to doctor’s appointments, pharmacy visits, education programs and other activities. Fairstead is also planning a $25 million renovation of the property, which will include improvements made to common areas and every residential unit, with a... Read More »
Recent Senior Care M&A Deal Chart, Week Ending February 12, 2021
The senior care M&A market keeps chugging along, here is our most recent deal chart. Long-Term Care AcquirerTargetPrice Private investorSachem Adult Home & South Bay Adult Home$9.0 million Avanath Capital ManagementThe Grove Senior Apartments$19.85 million Hill Valley Healthcare3 skilled nursing facilitiesN/A Tryko Partners, LLCRegina Community Nursing... Read More »Schedule a demo
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