National Health Investors: What Pandemic?
It seems that National Health Investors is doing just fine during this pandemic, as are its operators, apparently. The Tennessee-based REIT reported that it has collected 99.7% of its contractual rent in April, 100% in May, and so far, 99.4% in June. That should make shareholders feel pretty good right now. On the occupancy front, excluding communities that have been open less than 24 months, it was not quite as rosy but nothing they can’t handle. For 41 same-community properties operated by Bickford Senior Living, occupancy has dropped 240 basis points, from 86.6% in March to 84.2% in May. The first quarter averaged 87.3%. Senior Living... Read More »
Cadence Living and Dylan Investments Acquire Oregon Community
The M&A market is trudging along, and we suppose that is all we can hope for given the new risks facing the senior care industry and new hurdles for closing deals today. Scottsdale, Arizona-based owner and operator Cadence Living joint ventured with Dylan Investments, a boutique real estate investment firm based in Los Angeles, to acquire an assisted living/memory care community in an affluent suburb of Portland, Oregon. All parties involved had help on the deal, with Orix Securites representing the seller and Amy Sitzman and Giancarlo Riso of Blueprint Healthcare Real Estate Advisors advising the buyers. Built in 1998 and having undergone a memory care conversion in 2016, the... Read More »
Greystone Secures HUD Refinance for Three Centers Health Care SNFs
Greystone got back in the game with a HUD refinance for three skilled nursing facilities in upstate New York. Fred Levine originated the transactions on behalf of the borrower, Bronx, New York-based Centers Health Care. The facilities include Ontario Center for Nursing and Rehabilitation in Canandaigua, Steuben Center for Nursing and Rehabilitation in Bath, and Corning Center for Nursing and Rehabilitation in Corning, all between Rochester and Elmira. They total 323 beds. Centers acquired the Bath facility from Steuben County in 2014 for $11 million, or $104,800 per bed, but it was built in 2008 for a total cost of $19.5 million. Centers Health Care also took over the 45-year... Read More »
Ziegler Arranges “Cinderella” Bank Bond Refinance for Tennessee CCRC
Working on behalf of a large CCRC in Germantown, Tennessee, Ziegler successfully closed a series of bank bonds for the not-for-profit sponsor. Incorporated in July 2000, the community has grown on its 27.5 campus to include 230 independent living units, of which there are 202 apartments and 28 patio homes, 32 assisted living units, 16 dementia units and 50 skilled nursing beds, along with plenty of common areas and amenities. The one-, two- and three-story buildings are also interconnected with enclosed, air-conditioned hallways. Ownership was looking to refinance its 2012 bonds using a Cinderella Refunding structure, which consists of taxable bank debt that then converts to non-bank... Read More »
Elevation Financial Group Announces Tennessee Acquisition
Real estate private equity firm Elevation Financial Group acquired a senior living community in Memphis, Tennessee with plans to make it a more affordable option in the area. Originally built in 1989, the property featured 155 units of independent living and assisted living. All of the AL units were vacant at the time of the sale, so Elevation will renovate, add kitchens and convert them. However, the entire community will be converted to an affordable senior apartment community. There will be no income limit for residents, but rents will range from $735 per month for a one-bedroom, one-bath apartment to $860 per month for a two-bed, two-bath unit, including utilities. Before, rents... Read More »
Oppidan and Ebenezer Open New Senior Living Development in Minneapolis
Oppidan Investment Company, a national development firm, and Ebenezer Management Services announced the opening of their brand-new seniors housing community in Minneapolis, Minnesota. The large community features a 10-story building with 283 total units of independent living, assisted living and memory care. An additional 1,900 square feet is available for a retail tenant, although who that tenant will be is not known yet. Plus, another 6,230 square feet is designated for a childcare center serving 105 children. These other uses of the space are just part of the intergenerational living plan for the community, as seniors will be able to engage with the children at the daycare center by... Read More »
United Community Bank Back to Business
The Senior Care Lending Group of United Community Bank, led by Vice President Dennis Rowlen, has been hard at work this quarter, closing four transactions for clients in the senior care industry. Not only that, but the bank is also actively underwriting several loans, and the rest of the pipeline has been described as robust. These days, that is very promising. The second quarter activity has included three construction loans and one mini-perm refinance, combining for nearly $60 million in total commitments. Each loan was closed for a different client, and all financed properties in the Southeast. Read More »
Recent Senior Care M&A Deals, Week Ending June 12, 2020
Check out our recent senior care M&A deal chart. Long-Term Care AcquirerTargetPrice Elevation Financial GroupKennington Pointe$2.2 million Kayne Anderson Real Estate AdvisorsThe Watermark at TrinityN/A Best Care Senior Living at St. Pete, LLCLoving Care of St. PetersburgN/A Strawberry Fields REITCharleston Health Care Center$5.4... Read More »
Shifting Sales and Marketing Strategies in Seniors Housing: A Q&A with Joe Roche
The COVID-19 pandemic has likely changed the way seniors housing operators do business for some time to come, So, how do social distancing measures and a new threat to resident safety impact the sale and marketing strategies of these communities? We asked Joe Roche of The Roche Associates for answers. We’re more than a couple of months into the COVID-19 crisis, and the seniors housing industry has experienced a bit of a PR problem. Given the virus’ effect on the frail and elderly, the media’s coverage of outbreaks at communities (mostly unfair, but also sometimes fair), and some people’s comingling of skilled nursing facilities with seniors housing, what would you say to a potential... Read More »
Brookdale and Capital Senior Volatile
During the course of this pandemic, the entire stock market has been extremely volatile. The quick 35% plunge was followed by a nearly as quick return, with the NASDAQ hitting new highs this week. This happened despite more than 40 million people recently hitting the unemployment lines. This week, however, we saw volatility reaching new highs in the senior living sector. As an example, Brookdale Senior Living hit a near-term low of $2.66 per share on May 13. By June 5, it jumped by 64% to $4.37 per share. Maybe the turnaround was coming around. But by June 11 (just four trading days later), it plunged by 35% to $2.82 per share. After all that volatility, between May 13 and... Read More »Schedule a demo
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