The Ups and Downs of Genesis Healthcare
Two weeks ago, we reported on the restructuring that is taking place at Genesis Healthcare, with the infusion of new capital that will eventually take this new investor to a fully diluted ownership interest in excess of 40%. That news sent the share price tumbling 47% to a low of $0.43 per share. Trading volume over two days was more than 59 million shares, or more than 53% of the total float. Then, a week later, the share price jumped by 48% mid-day to a high of $0.74 per share, ending the day at an increase of “just” 20%. Trading volume on that day? A mere 73 million shares, or about two-thirds of the float. The day before and the day after that momentous day, another 26... Read More »
Senior Care Centers Saga Continues
LTC Properties sent a notice of default to Senior Care Centers (SCC) and ABRI Health Services after they failed to pay the March rent due as well as additional charges under the master lease. LTC will make draws under SCC’s letter of credit to cover the payments, which are a minimum of $1.2 million per month. The lease covers 11 skilled nursing facilities in Texas with approximately 1,400 beds operated by SCC. Many of SCC’s properties have already been transferred to other operators, and it appears as if these 11 will be added to the total. LTC Properties expects to transition these 11 to Texas-based HMG Healthcare by the end of the second... Read More »
Newmark Handles Receiver Sale In Mississippi
After a long bankruptcy process, a senior living community in Southaven, Mississippi (Memphis area) found a new owner. Newmark represented the receiver in the transaction. Opened in 2008, the community has 76 assisted living and memory care units. Occupancy averaged 65% in 2020, and there was no positive cash flow at the time of the sale. The sale process yielded multiple offers, with a regional owner/operator emerging as the winning bidder for a price near $6 million. They expect to invest in renovations and physical plant updates, plus use its scale to support the onsite team and improve operations. Read More »
Recent Senior Care M&A Deal Chart, Week Ending March 12, 2021
Senior care M&A activity keeps chugging along, here is our recent deal chart. Long-Term Care AcquirerTargetPrice Joint ventureThe WillowsN/A CareTrust REIT, Inc.Buena Vista Care Center$15.86 million Partnership buyerBeach House Assisted Living & Memory CareN/A Regional owner/operatorMemory care community in Portland, OR$25... Read More »
Joint Venture Makes Second Acquisition
Fundamental Advisors LP’s joint venture with Foundry Commercial, which launched in the summer of 2020, has yielded a couple more acquisitions, with partners Scribner Capital and Foster Senior Living participating in the deals yet again. First, the venture acquired an 84-unit assisted living/memory care community in Jacksonville Beach, Florida for an undisclosed price. Bradley Clousing, Jeff Binder and Matthew Alley of Senior Living Investment Brokerage represented the seller in the deal. Built in 2014, the well-maintained community has mostly private rooms, with six semi-private units. The seller had reached the end of their... Read More »
NIC Acquires VisionLTC
The National Investment Center for Seniors Housing & Care (NIC) announced March 11 that it has acquired VisionLTC, a North Carolina-based data analytics platform serving the senior care industry. Together, they are creating a new company called NIC MAP Vision, which will be a for-profit affiliate of not-for-profit NIC and will be majority owned by NIC, with the VisonLTC investors owning the remainder. NIC MAP Vision will be led by VisionLTC’s CEO Arick Morton, while Brian Jurutka will remain as CEO of NIC. The two organizations are complementary, as NIC MAP’s product deals with the supply side of seniors housing... Read More »
Regions Bank Announces Several Loan Closings
Loan requests keep pouring into Regions Bank, and the team has been for the most part obliging. Of course, the bank has to be discerning on which projects or deals to fund, and most likely more conservative in its terms, but we’re happy to see a continuous flow of activity from them. We know most lenders would like to be closing more deals, if it were not for the slower third-party approvals and inspections these days. Jack Boulder of Regions Bank completed a two-part financing to support Trilogy Health Services’ acquisition of four skilled nursing and assisted living properties. Located in Kentucky, Ohio and Michigan, the properties all provided a mix of... Read More »
Cushman & Wakefield Sells Oregon Memory Care Community
Cushman & Wakefield’s Senior Housing Capital Markets team completed the off-market sale of a 99-unit memory care community in Oregon for $25 million, or $252,500 per unit. The seller, a California-based national operator, had acquired the property as part of a larger portfolio of non-core assets that a public REIT was divesting in 2019. This community also did not fit into that buyer’s plans moving forward, hence the current sale. So, a growing Portland area-based owner/operator with a local and regional presence stepped in to acquire the well-run property. Cushman’s Rick Swartz, Jay Wagner, Aaron Rosenzweig and Dan Baker handled the deal. Read More »
Joint Venture Acquires The Villages-Adjacent Senior Living Community
The Seniors Housing and Healthcare Group at Berkadia arranged the sale of a 126-unit assisted living/memory care community in Oxford, Florida. Tim Cobb and Brooks Minford handled the transaction on behalf of the undisclosed seller. Built in 2015, the high-quality community has 134 beds and is set on a four-acre campus adjacent to The Villages. It was formerly operated by Leisure Care. A joint venture between Inspirit Senior Living (which will operate) and two New York City-based investment and asset management firms, Venue Capital and Drake Real Estate Partners, acquired the property for $15 million, or $119,000 per... Read More »
KeyBank Refinances Two Bickford Senior Living Properties
Bickford Senior Living refinanced two of its seniors housing communities in Iowa through HUD, with the help of John Randolph of KeyBank Real Estate Capital’s Commercial Mortgage Group and Grant Saunders of KeyBank’s Healthcare Finance Group. Bickford received $17 million in combined HUD financing, with fully amortizing 35-year terms. Both communities were built in 1998, with the Davenport location including 35 assisted living and seven memory care units and the Marion campus comprising 31 assisted living and seven memory care units. They are two of Bickford’s 65 seniors housing operations in 11 states. In addition to visiting physical, occupational and speech... Read More »Schedule a demo
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