WOW! Sonida Senior Living Goes BIG
Sonida Senior Living just announced what can only be described as a transformational acquisition. Since new management came in, CEO Brandon Ribar and CFO Kevin Detz, Sonida has been on an upward path of improved operations and a balance sheet that has grown stronger. Occupancy has been increasing (87.7% in Q3) and NOI and EBITDA are rising. Spot occupancy on October 31 was 89.0%. The company was still relatively small despite a series of acquisitions in the past 12 months, but none of them were transformational. Now, the company has agreed to purchase CNL Healthcare Properties (CNL), a public non-traded REIT, in a cash and stock transaction valued at $1.8 billion. CNL owns 69 seniors... Read More »
60 Seconds with Swett: October Smashes M&A Record
We were predicting a record-breaking end to the year in terms of M&A activity, but we are not sure we expected a 100+ deal month, with 110 transactions and counting. Just to put that in perspective, the previous record for any month was 77 deals in October of last year, and only four months had previously broken the 70-deal barrier. So this October beat the previous record by 43%, and it’s still just a preliminary total. That is out of this world. There were nearly 100 separate buyers, according to the individual deal data available in LevinPro LTC, the most prolific being, unsurprisingly, Welltower. But Welltower’s activity is actually understated in the figures, as a significant... Read More »Newmark Ends October with Portfolio Closings
Newmark announced a flurry of transactions at the end of October involving various institutional firms. The largest was a portfolio of seniors housing communities in the Northeast known as “Stars and Stripes.” Word on the street is that the portfolio sold for north of $800 million, and that a sub-portfolio was valued at more than $1 million per unit. The deal consisted of nearly 900 units in New York, Connecticut, Massachusetts and New Hampshire, with the communities built between 2017 and 2022. One group of properties were considered to be value-add, while the other was classified as core (we imagine that was the $1 million+ per unit deal). Newmark also sold two assisted living/memory... Read More »Stacked Stone Acquires Missouri Portfolio
Stacked Stone Ventures announced the purchase of a seven-community assisted living/memory care portfolio in Missouri for $71 million, or $212,600 per unit. Totaling 334 units and 405 beds, the Oak Pointe portfolio was developed between 2015 and 2020 by an investor group called ClearPath Senior Housing, which included Jeff Binder of Senior Living Investment Brokerage. Binder is from Missouri and was knowledgeable about each community’s local market. Provision Living operated the portfolio. The communities were operating well, with occupancy rising from 84% at the time of PSA to 92% at close, and EBITDAR growing from $6 million to $6.7 million in the same period. Like its other recent... Read More »Blueprint Sells Georgia Community to LTC Properties
LTC Properties divested seven skilled nursing facilities through two separate deals for $122 million in October. In those transaction announcements, the publicly traded REIT noted that it intended to redeploy proceeds for the acquisition of newer, stabilized SHOP assets. It looks like that’s what the publicly traded REIT did in Georgia at the start of November. LTC Properties used those proceeds to fund a $23 million, or $261,400 unit, purchase of an 88-unit assisted living and memory care community in Marietta, Georgia. The community is currently stabilized at 90% occupancy and is expected to deliver a year-one yield of approximately 7%. The Arbor Company, a new LTC operating... Read More »MIG Announces Two Closings
Montgomery Intermediary Group announced a couple of transactions at the end of October. First, Andrew Montgomery sold a 120-bed skilled nursing facility in southern Illinois in a value-add deal. Built in the 1960s and 1970s, the facility had a roughly 50% Medicaid census, with between 30% and 35% private pay and 5% to 10% Medicare. It was losing money. Jeremy Warren of MIG helped finance the deal, as well, arranging 80% loan-to-cost financing with a 20-year term and a variable rate in the low-7s. He secured the loan from a regional lender, and this was the fifth building that Warren financed in the past 45 days. Then, Montgomery sold a 38-unit assisted living community in a small Missouri... Read More »Senwell Facilitates Bed Transfer Deal
Brandon Bohland and Collin Hempfling of Senwell Senior Investment Advisors facilitated the transfer of 80 adult care home bed licenses in Wake County, North Carolina. A national institutional assisted living owner/operator engaged the firm after the community suffered significant damage from a fire and ultimately closed. There was a highly competitive bid process that generated multiple strong offers from qualified buyers, with the result maximizing the seller’s exit value. After working with attorneys, regulatory bodies and stakeholders, Senwell completed the transfer of the licenses to a large regional owner/operator. Read More »Protea Capital Partners Finances Florida Development
JLL Capital Markets assisted a developer, Protea Capital Partners, in arranging $34.5 million in financing for the construction of HarborChase of Beachwalk, a 172-unit seniors housing community in St. John’s, Florida. Multiple bids were generated, and Protea was ultimately able to secure a five-year construction loan with a regional bank on favorable terms. JLL’s Capital Markets team representing the borrower was led by Olga Walsh, Aaron Rosenzweig and Dan Baker. Slated for completion in October 2027, HarborChase of Beachwalk will offer 82 independent living, 66 assisted living and 24 memory care units across multiple three- and four-story buildings. Floor plans will range from studios to... Read More »Colorado CCRC Expands with Bond Financing
Ziegler announced the closing of Frasier’s $44.14 million Series 2025A bonds through the Colorado Health Facilities Authority. Frasier Meadows Manor, Inc. (Frasier) is a Colorado not-for-profit founded in 1956 in Boulder. Frasier is the only CCRC in Boulder offering the full continuum of care and is also the oldest retirement community in Boulder. Today, the CCRC offers 303 independent living units, 19 assisted living units, 19 memory care units and a 54-bed skilled nursing facility. Frasier offers a “Type B” entrance fee contract to its independent living residents, offering a discounted rate to higher levels of care if needed. The community maintains a 742-household waiting... Read More »Omega Invests in Saber Healthcare Joint Venture
Omega Healthcare Investors released its third quarter earnings and made some news when it disclosed the acquisition of a 49% equity interest in a joint venture with Saber Healthcare. The JV will own and lease 64 skilled nursing facilities that were previously wholly owned by affiliates of Saber, which will retain a 51% equity interest in the JV and is responsible for day-to-day operations. Omega issued approximately 5.5 million Omega OP Units with a fair value of $222.4 million in exchange for a 49% equity interest in the JV. Plus, Saber will need Omega’s approval for any investments, dispositions, financings and major capital expenditures. The 64 facilities held by the JV are subject to... Read More »Schedule a demo
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