SLIB Sells Two More ALPs in New York
Senior Living Investment Brokerage’s Dave Balow has been crisscrossing the state of New York lately, selling an upstate ALP (Assisted Living Program) facility last week and represented the seller of two ALP facilities just this week on Long Island. CIBC Bank USA also provided $6.75 million in acquisition financing to support the purchase. CIBC’s Fritz Kieckhefer arranged the debt. Located in Holbrook and Center Moriches, the two properties combine for 85 beds in 46 units. The private seller had owned them for over 40 years and was able to produce consistently strong cash flow over the years. In fact, it operated at a roughly 40% margin on more than $2.56 million... Read More »Tryko Partners Adds Pennsylvania SNF to Portfolio
Tryko Partners acquired a 121-bed skilled nursing facility in Norristown, Pennsylvania, in the greater Philadelphia region and is planning a significant capital investment project to the 40-year-old building. Set on five acres, the four-star facility is located about 12 miles from downtown Philadelphia and is within a 10-mile radius of nine short-term acute-care hospitals. It had been previously owned by a faith-based not-for-profit for 50 years, and Timothy Bonjo has been the facility’s administrator for 36 years. It’s not often you see that kind of tenure in this industry. Planned upgrades to the three-story building, which should cost around $2.5 million,... Read More »
Hill Valley Healthcare Announces Tidewater Transaction
The team at Meridian Capital Group consisting of Ari Adlerstein, Ari Dobkin and Josh Simpson secured acquisition financing for a portfolio of three skilled nursing facilities in Virginia. Located along the Chesapeake Bay coast in Warsaw, West Point and Hampton, the facilities feature 80, 60 and 130 beds, respectively. Built between 1975 and 2001, they were all previously owned and operated by Riverside Health System, a not-for-profit based in Newport News, Virginia. Hill Valley Healthcare, a national skilled nursing operator, was able to acquire the facilities with the help of a $21.7 million loan from a commercial bank, plus a $3.5 million A/R line and... Read More »
Boosting Your Census Now
Occupancy levels continue to decline, yet demand seems to be increasing as customers are coming back to take a look. There is a disconnect between the seller and the buyer that needs to be fixed now. The public companies are about to start releasing their earnings and census reports, and it may not be pretty. But, it does not have to stay that way. My gut tells me that a lot of sales staff have been blaming the virus on their inability to sell and fill units. Makes sense, right? But what if how they are selling, and communicating, or not communicating with customers, is the real problem? Do you think management and salespeople have adapted to the new environment, the new mentality of... Read More »
Healthpeak Properties Completes More Sales
As the healthcare REITs start their quarterly reporting season, of course all eyes will be on the occupancy trend, which for most of them will not be so great. But one aspect about what is happening, and often little noticed, is that the news is showing that the demand for seniors housing assets is still quite strong, pandemic be damned. Obviously, Healthpeak Properties would rather not be selling off its seniors housing portfolios, especially if they had been performing well, since in years past they provided the highest yield to support the REIT’s dividend and growth. But performance had suffered, and the decision was made to sell. No one is crying for them,... Read More »
Welltower Still Sees Opportunity
We all know that Welltower has been selling a few billion of seniors housing assets just like Healthpeak Properties has. But the difference is that Welltower is still buying. Not only that, they picked up a 790-unit portfolio operated by Harbor Retirement Associates for $132 million, or $167,000 per unit. The seller? Healthpeak (see story above). Even though the portfolio had negative lease coverage, we are sure Welltower is looking at that well-below-replacement-cost pricing. But Welltower needs to pay attention to its own operating portfolio, where occupancy continues to decline. The average census was 77.3% in November, falling to 76.3%... Read More »
Redwood Senior Living Doubles Its Golden State Portfolio
Redwood Senior Living, a growing assisted living provider based in the Bay Area and run by Anthony M. Barbato, announced that it doubled its portfolio in one day, closing escrow on two properties at the start of February to bring its total portfolio to four communities. Redwood secured lease-option-to-purchase agreements from two separate mom & pop sellers in California. The Santa Rosa property was built in the 1970s before being taken over by the current seller in the late-1990s. It features 22 beds in 11 units, including a hospice waiver on five beds. Another mom & pop acquired the 21/unit/41-bed Bakersfield community (also built in the 1970s) in the early 2000s. The... Read More »
Berkadia Refinances Wisconsin Seniors Housing Community
Berkadia took out bank debt on a seniors housing community in Appleton, Wisconsin with a new Freddie Mac financing. Chris Cain arranged the transaction on behalf of the community’s Oregon-based owner/operator, Touchmark. In operation for around 40 years, the community provides independent living, assisted living and memory care services, which were added in a recent $25 million, 48-unit expansion project that also saw renovations made to the existing building. The bank loan that helped bank roll that project has now been replaced with a $32.3 million Freddie Mac loan, with a 10-year term and five years of interest only at 70% loan-to-value. Touchmark was also able... Read More »
Heavenrich & Company Sells Texas Memory Care
Heavenrich & Company recently announced the sale of Pathways Memory Care, a 60-unit skilled nursing memory care facility that is licensed for 94 beds. It was built in 2014 on an 80-acre medical campus in Northwest Houston, Texas. The campus includes a 120-bed skilled nursing facility that Heavenrich sold in 2020. As part of the current sale, the new owners will transition the community away from its skilled license to a private pay memory care setting. Some of the residents of Pathways Memory Care will be transferred to Villa Toscana, the adjacent skilled nursing facility on the campus. As part of the transaction, one wing of the Pathways building will be... Read More »
Callison Moves To Sunrise Senior Living
Jack Callison Jr. has been named the new CEO of Sunrise Senior Living, after the December announcement that current CEO Chris Winkle was leaving effective April 1. Ferguson Partners led the executive search effort. Mr. Callison has spent the last seven and a half years as CEO of Enlivant, taking over the role concurrent with TPG’s take private acquisition of the company. However, he will remain Chairman of the Board of Directors at Enlivant, and current president and COO Dan Guill will take over as CEO. Before that, Mr. Callison spent five years in the CEO position at Holiday Retirement, some of which were a bit tumultuous. Running two different national seniors housing operating... Read More »Schedule a demo
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