Northland Networks Funds Louisville-Area Construction Project
Northland Networks announced that it provided construction debt for a seniors housing project in an Indiana suburb of Louisville, Kentucky. We learned a couple of weeks ago of Monarch Advisors’ involvement in the deal, with Alec Blanc sourcing the loan. Denton Floyd Real Estate Group is responsible for developing the community, which is one of several senior living projects it has planned in the Louisville area. This community will feature 115 assisted living and 16 memory care units, all private pay. Rents are expected to range from $3,970 per month for one-bedroom units, $5,000 per month for two-bedroom units, and $5,138 per month for memory care. Vitality Senior Services, an... Read More »
Avanath Capital Management Adds Another Orange County Community
Private investment firm Avanath Capital Management made its second acquisition of the year in the senior apartments sector, adding another Orange County, California property to its roster. The deal included a 261-unit community in Anaheim that was built in 2001 with seven garden-style buildings. Occupancy was near 100%. Seattle-based Security Properties purchased the property in 2015 for $52 million, or $199,200 per unit, and 2020 financial documents show net operating income of $3.4 million. Now, they are selling the community for $87.5 million, or $335,250 per unit. Avanath plans on investing in capital improvements, including renovating the clubhouses and community... Read More »
Promising Census Signs From National Health Investors Update
We are still waiting for that first sign that the seniors housing and care recovery has truly begun. There were some encouraging signs from Welltower’s SHOP portfolio when its census started to rise in the later weeks of March. But so far, that is it. Earlier this month, NIC reported that average occupancy at seniors housing communities fell to a new record low in the first quarter, to 78.8% from 80.6% in the fourth quarter. National Health Investors also recently provided an update regarding its average occupancy and monthly contractual cash collections. Even though the REIT did not report an increase in census at its three major seniors housing operators, the decline has slowed... Read More »
Centra Health Sells Virginia Senior Care Portfolio
After deliberation by its board and senior leadership, Centra Health plans on selling its five Virginia senior care facilities. The Lynchburg, Virginia-based not-for-profit healthcare system decided it was time to focus on its core services and hand over its senior care operations to a more senior care-focused operator. Cascade Capital Group agreed to purchase the four skilled nursing facilities and have its subsidiary, Hill Valley Healthcare, operate them going forward. Then, Centra Health sold its CCRC to not-for-profit LifeSpire of Virginia, which owns and operates four CCRCs in Virginia. All parties have signed letters of intent and plan to close the sale around August... Read More »
Standard Companies Acquires Again
Standard Companies, an apartment and affordable housing real estate investment firm, has been on an acquisition roll lately in the low-income senior apartments sector. The company followed up its acquisition of a large senior apartment building in Chesapeake, Virginia with the purchase of another community located up the coast in Atlantic City, New Jersey. Built in 1982, the community’s 169 units are supported by Section 8 Housing Assisted Payment (HAP) contracts. Standard paid roughly $28 million, or $165,700 per unit, for the property and plans to spend an additional $10 million to renovate it. The project will update the residents’ units, upgrade the common areas and amenity spaces,... Read More »
ORIX Secures Bond Financing for Minneapolis-Area Acquisition
ORIX Corporation USA secured a bond financing to support the acquisition of five seniors housing communities in the Minneapolis, Minnesota metro area. The transaction consisted of both tax-exempt and taxable debt and totaled $44.8 million. Coventry Properties of Minnesota, a fully integrated real estate development community that focuses on high-acuity seniors housing in Minnesota, was the borrower, adding 153 units of assisted living and memory care to its portfolio. ORIX’s Municipal and Infrastructure Finance business, which is led by Rob Wetzler, handled the transaction. Read More »
Walker & Dunlop Represents WindRiver in Seniors Housing Deal
Duncanville, Texas-based WindRiver Companies sold an active adult community in its hometown with the help of the seniors housing team at Walker & Dunlop. Jordyn Berger, Joshua Jandris, Mark Myers, Brett Gardner and Nick Hall worked on the deal and found the buyer, Dallas-based multifamily real estate investor Edison Equity Management Corp. (Edison). WindRiver originally developed the property in 2004 and has managed it ever since. They seem to have been ahead of the game in the growing active adult market. The community features 150 units, with rents ranging from $1,200 for one-bedroom units to nearly $2,100 per month for two-bedroom options. Occupancy was close to 100% throughout... Read More »
Blueprint Ventures into MOBs
After a busy year of closing seniors housing and care transactions (with 72 separate sales announced in 2020), Blueprint Healthcare Real Estate Advisors is now expanding its services into the medical office building brokerage world. They have brought on medical office veterans Eric Lee and Chris Lashmet to lead the practice. The market for MOBs certainly showed plenty of activity in 2020, and that doesn’t seem to be slowing down in 2021. According to search results in our Healthcare Deals Database, there have been at least 19 transactions publicly announced since January 1, driven primarily by announcements from Montecito Medical Real Estate, which reported nine of those deals. MOBs... Read More »
The Prestige Group Closes Two Senior Care Sales
Joe Shallow of The Prestige Group went up and down the East Coast to sell a couple of senior care communities. First, Mr. Shallow worked with President Richard Natow to arrange the sale of a vacant personal care facility in Philadelphia. Originally built in 1920 as a rest home for retired actors, the community featured 51 beds in 24 units. Several years ago, the family owner/operator decided to close and renovate the community, while transferring all of the residents to its sister facility in Philadelphia. However, the owner decided to sell and enlisted Prestige to run the process after the brokerage firm originally sold them the property. A local contractor with a number of apartment... Read More »
JLL Capital Markets Does Double Duty
JLL Capital Markets successfully sold and arranged acquisition financing for a large independent living community in the northern Detroit suburb of Southfield, Michigan. Featuring 298 units, the community is also primed to be converted into active adult, but we will wait and see if the new regional owner/operator (who is focused on that market) will do that. They paid $17 million, or $57,000 per unit, for the property and received $25.35 million in non-recourse financing to cover both the purchase and planned renovations. JLL’s David Gaines, Joel Mendes and Dav Macdonald worked on behalf of a private investor seller to complete the sale, while Trent Niederberger and Stephen Van Leer... Read More »Schedule a demo
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