Recent Senior Care M&A Deal Chart, Week Ending March 19, 2021
M&A has certainly slowed in the senior care market, but here are the recent transactions in our weekly deal chart. Long-Term Care AcquirerTargetPrice Joint ventureThe WillowsN/A Aedifica SA4 care homes$31.62 million (approx) Not disclosedPark Center Health and Rehabilitation CenterN/A Cedar CommunitiesMulberry Grove Senior... Read More »
Cedar Communities Acquires Georgia Seniors Housing Community
Daniel Geraghty, Bradley Clousing and Dave Balow of Senior Living Investment Brokerage have sold a seniors housing community in the Georgia town of Statham, which is located in between Atlanta and Athens. A family owner/operator originally developed the community in 1997 and decided early in 2020 to divest their only asset and retire from the business. They are leaving behind a strong operation, as the property has consistently maintained occupancy between 90% and 100% across the 46 personal care units, all of which were studios. There is an opportunity to convert some of those units into two-bedroom options, as well as improve the operating margin. That is what... Read More »
Blueprint Arranges Complicated SNF Transaction
A struggling skilled nursing facility in Dayton, Ohio that has gone through survey issues and financial insolvency in recent years found a new owner with the help of Connor Doherty and Ryan Kelly of Blueprint Healthcare Real Estate Advisors. The 108-bed facility, which was built in 1975 and has been relatively well maintained, was previously owned by a not-for-profit. Operations had been relatively consistent in the past several years, and even during COVID, but there are certainly many improvements to be made to both census and cash flow. The HUD loan on the property was eventually turned back to the agency, and the fair market value of the asset was determined to be less than the HUD... Read More »
Ziegler Secures Bond Closing For Ohio Not-For-Profit
The Ziegler team closed a bond issuance for Community First Solutions to fund an expansion and capital improvements project across its senior living operations in Ohio. A not-for-profit company operating in Butler County, Community First Solutions (CFS) operates two CCRCs and a post-acute rehabilitation center in Hamilton, Ohio, plus an array of behavioral health services, pharmacy services, meal delivery service and other community-based supports in the state. There were a number of individual bank notes that had various rates and maturities across CFS’ operation, so Ziegler consolidated that debt by issuing two series of bonds through the Butler County Port Authority, including $15.31... Read More »
Lument Arranges Bank Loan For Watercrest Community
Lument arranged bank financing for Watercrest Senior Living’s newly built senior living community in Tarpon Springs, Florida. Steve McGee, managing director at Lument since joining the team in 2020 to head its debt syndication group, led the transaction, which took out construction debt at the property. Opened in 2018, Market Street East Lake has 64 units of memory care and joined Watercrest’s growing portfolio, which currently numbers 13 properties across the Southeast. The new bridge-to-agency loan totals $12.3 million and covers about 70% of the property’s value. That puts the community at around $275,000 per unit in value. The debt came with a floating interest rate for a five-year... Read More »
Cain Brothers Finances CCRC Repositioning Project in Wisconsin
A not-for-profit CCRC in Dousman, Wisconsin is following the will of its patients and converted a number of its skilled nursing beds to community-based residential facility-licensed beds and secured financing with the help of Cain Brothers to fund it. Three Pillars Senior Living Communities, a not-for-profit founded in 1905 and affiliated with the Masonic Grand Lodge of Wisconsin, owns and operates the campus. Occupancy was consistently above 96% across its independent living and assisted living units, but census at its 84-bed skilled nursing facility began softening in 2018 due to the lack of private rooms. Management also took notice of higher acuity residents’... Read More »
Can Skilled Nursing Be Reformed?
The American Health Care Association and Leading Age have proposed a reform agenda for skilled nursing. As usual, the problem is Medicaid. The American Health Care Association and Leading Age have proposed a policy “agenda” to address some of the problems that exist in skilled nursing facilities today, which were obviously highlighted by the impact of the pandemic. As part of the reforms, they want enhanced infection control practices, 24-hour RNs, 30-day minimum supply of PPE, better recruiting and retention of staff, improved oversight systems, and a shift to all private rooms. There is little here to disagree with, except that they expect Medicaid to pick up most of the $15... Read More »
Joint Venture Refinances Midwest Seniors Housing Portfolio
CBRE’s National Senior Housing team refinanced three seniors housing communities in the Midwest. Owned by a joint venture between CA Ventures and Partners Group, the communities were built in 2016 and 2017 in the Chicago (two locations) and Kansas City metro areas. They consist of 210 assisted living and 98 memory care units as well as numerous high-end amenities. Anthology Senior Living, CA Ventures’ wholly owned senior living operating platform, manages the Illinois communities, while Senior Lifestyle operates the Kansas location. To refinance debt they had previously placed with another debt fund, Aron Will, Austin Sacco and... Read More »
Ziegler Arranges Bond Financing For CCRC Expansion
Ziegler placed and closed a $38 million revenue bond series for Christian Retirement Homes to finance an expansion of its CCRC campus in Lincoln, Nebraska. Opened in 1968, the not-for-profit community has grown over the years to now include 121 independent living units, 53 assisted living units and 22 skilled nursing beds in four residential buildings. In 2017, Transforming Age affiliated with the not-for-profit to provide governance, management and financial support of the campus. Management decided to expand with a new four-story building that will house 50 independent living units. Plus, they wanted to convert 10 assisted living units into five penthouse independent living units.... Read More »
Walker & Dunlop Arranges HUD Financing For Wisconsin Acquisition
To support the acquisition of a 50-unit assisted living community in Green Bay, Wisconsin, Walker & Dunlop structured a HUD loan assumption for the out-of-state buyer, Senior Opportunity Funds Holding Company. We covered the deal in January when Ray Giannini of Marcus & Millichap announced he represented the seller, a husband-and-wife team who have worked diligently to maintain census and keep the community COVID-free throughout 2020. Contrary to many seniors housing communities today, this property was fully occupied, with a 100% private pay census at the time of closing. It also reported strong cash flow and was relatively new construction, having been built in phases from 2009... Read More »Schedule a demo
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