JLL Handles Youngstown, Ohio Sale
A large senior care campus in Youngstown, Ohio sold earlier this year in a deal handled by Mike Garbers of JLL Capital Markets. Previously owned by a not-for-profit, it was built in stages and now features approximately 300 units spanning the whole senior care spectrum. It was considered a value-add opportunity with some capex needs, and private ownership can usually come in and make some quick expense adjustments at a former not-for-profit operation. Indeed, a for-profit owner stepped in to buy the property at an undisclosed price. This was their first acquisition, but the principal does have experience in seniors housing operations. The deal apparently closed pre-COVID, so some... Read More »
From Atria Senior Living to Elegance Living
Baltimore, Maryland-based Elegance Living, LLC recently named Josh Krull as its CEO. After 13 years at Atria Senior Living. Most recently serving as Senior Vice President – Operations Chief of Staff, Krull worked closely with Atria’s COO to oversee operations of communities across North America. He will be taking over leadership of a company with 46 communities under management in 16 states and approximately 4,150 units, which include 750 units under development. The new developments are located in California (587 units), Washington (73 units) and Virginia (90 units). Two of the communities in California (in Dublin and Novato) are set to open later this year, as... Read More »
CIBC Bank Closes Two Cash-Out Refinances
CIBC Bank USA announced a couple of cash-out refinances for skilled nursing clients, both deals closing last week. The first was arranged for Strawberry Fields REIT to recapture equity at its 72-bed skilled nursing facility in Muncie, Indiana, which the REIT acquired in November 2019 for $3.15 million in cash. Built in 1972, the facility was operating at the time of the sale at 72% occupancy, with a 72% Medicaid, 19% private pay and 9% Medicare census. It is also part of an Indiana county hospital UPL tie-up with Henry County Hospital and is being consulted by Infinity Healthcare Management. Strawberry Fields REIT had been leasing and subletting the property from the seller since... Read More »
Ziegler Secures Short-Term and Long-Term Debt for CCRC Client
The bank bond placements keep coming from Ziegler, and the specialty investment bank has already announced several in the last few weeks for not-for-profit CCRC clients. The latest was arranged for a 362-bed/unit CCRC in Manheim, Pennsylvania, that is sponsored by the not-for-profit Pleasant View Communities. Just like Ziegler’s refinance of a CCRC in Texas announced last week, Truist was involved in the deal, as was Fulton Bank, to provide both short-term and long-term debt. A couple of planned expansion projects spurred the refinance. Opened in 1954 and growing to include 152 independent living apartments and cottages, 95 personal care (assisted living) units and 115 skilled nursing... Read More »
Recent Senior Care M&A Deals, Week Ending June 26, 2020
It was a slow week, but some senior care deals were still announced. Check out our latest senior care M&A deal chart. Long-Term Care AcquirerTargetPrice Hampstead Development PartnersJackson ApartmentsN/A Tryko PartnersHarlee Manor/Springfield CommonsN/A Cadence Living/Dylan InvestmentsTanner... Read More »
Carnegie Capital Secures Acquisition Financing For Washington State Portfolio
JD Stettin of Carnegie Capital is at it again, returning to the Pacific Northwest to close on acquisition financing for a portfolio of assisted living communities in Washington State. This closing comes just a couple of weeks after Mr. Stettin arranged $7.74 million in acquisition financing for four assisted living communities in rural Oregon. The details of that deal can be found here. Back to Washington State, where the four other assisted living communities are located. Previously owned by Enlivant, they totaled 185 units, but the new owner, a private fund based in Arizona, will initiate a conversion project resulting in 193 units, split between 87 for assisted living... Read More »
KeyBank Arranges Financing For Low-Income Seniors Housing
Working on behalf of Hampstead Development Partners, a San Diego-based real estate company that focuses on developing and preserving affordable housing, KeyBank Community Development Lending and Investment secured acquisition, construction and permanent financing for a new affordable senior apartment community in Salt Lake City, Utah. Originally built in 1916, the four-story building features 80 units and will be renovated by Hampstead. The unit mix features studios and one-bedroom floorplans averaging 416 square feet, and all units cater to residents earning 60% of the area’s median income. In addition, 20% of the units are reserved for non-seniors, while the rest will be restricted to... Read More »
Monticello Announces Memphis-Area Refinance
A couple of skilled nursing facilities located around Memphis, Tennessee found first lien debt financing through MONTICELLOAM, LLC and its affiliates (Monticello). These facilities averaged around 50 years in age, and totaled 336 beds. No details were released on their operating performance or census. Their owner, an experienced owner/operator with a portfolio of more than 8,750 licensed beds across the county, had worked with Monticello multiple times in the last several years to fund other skilled nursing acquisitions, and turned to them again to refinance the two facilities with $41.0 million in first lien debt, or $122,000 per bed. Read More »
New Perspective Opens New Wisconsin Community
New Perspective Senior Living is operating a new community in Franklin, Wisconsin (Milwaukee MSA). It’s certainly a tough time to open your doors, but apparently initial move-ins have already started and even exceeded initial expectations. We hope it continues throughout the summer. Featuring 149 units, the community caters to independent living, assisted living and memory care residents on its six-acre campus, which is directly adjacent to the Milwaukee Milkmen baseball stadium. Games start early next month, in case you were wondering. The two-story lobby and reception area include fireplaces, water features and natural stone appointments. There are also several... Read More »
Employee Raises at No Cost?
One academic believes it won’t cost nursing homes a dime to raise wages. Okay, here I go again about The New York Times. This time, it is not about a reporter, but a contributing academic who is an economics professor at Northwestern University, Seema Jayachandran. Last weekend she wrote about how higher hourly wages can increase productivity, which can translate into higher-quality service. She based her conclusions on two studies looking at department stores and nursing homes. I will talk about the latter one. The study she cites suggests that if every county increased its minimum wage by 10%, there could be 15,000 fewer deaths in nursing homes each year. While I am sure an extra... Read More »Schedule a demo
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