JLL Sells Chicago Senior Care Campus
Mike Garbers and Cody Tremper of JLL Seniors Housing Capital Markets represented Lutheran Life Communities in its sale of a 171-licensed bed senior care campus in Chicago, Illinois. Originally built in 1921 with additions of the East Wing in 1956 and the West Wing 1970, the property features 55 sheltered care units and a skilled nursing portion that operates with 96 beds. It is situated on a 2.38-acre site in Chicago’s Irving Park neighborhood just northwest of downtown. The buyer ended up being an experienced operator of long-term care facilities in Illinois. They paid an undisclosed price and have renamed the building to Paul House and Healthcare Center. After the deal, Lutheran Life... Read More »
PM Advisors Refinances Oregon AL Community
KC Peterson of PM Advisors successfully closed a HUD refinance of a 30-unit/36-bed assisted living community in Sutherlin, Oregon. Built in 1996 and in good condition, the community was owned and operated by an established group in the state. They had originally financed the community with bonds that contained an affordability period for 20% of the resident population through 2032. Those units could be occupied by Medicaid residents as well as private pay residents who had spent down their wealth. In addition, ownership had two additional layers of IOI promissory notes on the property. However, the bonds came with a high interest rate of 7.375%, leaving the owners to look for a refinancing... Read More »
Cambridge Closes Slew of HUD Financings
Cambridge Realty Capital Companies has been quite prolific this month in the HUD market. Just last week, the firm closed two loans totaling $24 million for two senior care campuses in Ohio. Then, in Merced, California, Cambridge provided a $16.3 million HUD loan to refinance a 72-bed transitional care facility. The property offers units with private restrooms, nutrition services, therapy, and physical therapy services, a physical therapy center, two restaurant-style dining venues, courtyard dining facilities plus an on-site beauty salon. The California limited partnership borrower received a fully amortizing 35-year loan. Finally, Cambridge headed across the country to refinance a 104-bed... Read More »
Blueprint Handles Large Alabama Deal
Brooks Blackmon of Blueprint Healthcare Real Estate Advisors arranged the sale of a portfolio of seven skilled nursing facilities located in Alabama. The properties presented an opportunity for a buyer to expand an existing footprint in the state, as well as to improve the operations across the portfolio. Totaling more than 800 beds, the facilities averaged close to 50 years old. Two campuses were renovated in the late-1990s, and one more recently in 2018. They were cash flow neutral at the time of the sale. A long-term care operator in the state stepped in the buy them. Having closed plenty of deals in Alabama, Mr. Blackmon utilized his knowledge of the local market and of the state’s... Read More »
Lancaster Pollard Refinances Oregon Memory Care Community
Giza Development successfully refinanced its new 45-unit/bed memory care community in McMinnville, Oregon (45 miles south of Portland), with the help of Ross Holland of Lancaster Pollard. Managed by Senior Development Resources, the community is located across the street from McMinnville’s full-service hospital and between two medical office parks. Sounds pretty ideal. It was initially refinanced with a bridge loan provided by OREC Structured Finance Co., which allowed Giza to buy out investors in the property and refinance construction debt. It was also immediately eligible for a permanent refinance. So, Lancaster Pollard secured a $4.9 million loan though HUD with a favorable, long-term... Read More »
Recent Senior Care M&A Deals, Week Ended January 24, 2020
Check out our recent senior care M&A deals! Long-Term Care AcquirerTargetPrice Experienced owner/operatorSkilled nursing facility in Rural Retreat, VAN/A Illinois-based SNF operatorSt. Pauls HouseN/A Private equity owner/operatorSkilled nursing/assisted living facility in OH$8.5 million Not disclosedElmcroft of... Read More »
Brookdale Buys Eight NHI-Owned Communities
Brookdale Senior Living exercised its purchase option on eight assisted living communities that it operated on behalf of the owner, National Health Investors. The transaction was hinted at in NHI’s third quarter earnings report, which noted the properties as being held for sale. And Eric Mendelsohn, President and CEO, confirmed in the Q3 earnings call that the purchase price would start at a base of $37 million, with a fair market value component as high as $5 million which NHI and Brookdale would split 50-50. In the end, Brookdale paid $39.26 million, or $116,845 per unit. The eight communities, which were located in three states and totaled 336 units, contributed 2019 GAAP revenue of... Read More »
Blueprint Handles Large Louisiana Portfolio Deal
So, it begins. Brooks Blackmon and Steve Thomes of Blueprint Healthcare Real Estate Advisors announced the firm’s first 2020 closing, selling a portfolio of five seniors housing communities in Louisiana. Representing the Georgia-based owner/operator who had originally developed the communities, the pair found a buyer in a joint venture between Griffin-American Healthcare REIT IV and Georgia-based Senior Solutions Management Group (SSMG). Built in the late-1990s, the communities boasted a good reputation in their local markets and historically stable operations. However, the previous owner was looking to refocus on development in their home state, so a sale was pursued. SSMG entered the... Read More »
Tryko Partners Picks Up Another Philly-Area SNF
Private equity firm Tryko Partners added to its Philadelphia-area skilled nursing portfolio with the acquisition of a 240-bed facility in the city’s Lexington Park neighborhood. Situated on a 1.8-acre site about five minutes from the 133-bed Nazareth Hospital, the SNF provides post-acute, short-term rehab and long-term care. Occupancy at closing was 89%. The purchase price was not disclosed, but Tryko will invest millions to renovate the facility, including updates made to the patient rooms and common spaces, while also adding a state-of-the-art therapy gym. Read More »
Cambridge Realty Capital’s Two HUD Closings
Cambridge Realty Capital Companies provided two HUD loans totaling $24 million to refinance two senior care campuses in Ohio. The Lisbon property is a 76-bed skilled nursing/assisted living facility, while the skilled nursing/assisted living facility in Mineral Ridge has 181 beds. Both facilities feature private and shared units, restaurant-style dining and housekeeping and laundry services. They also provide a variety of healthcare services including dentistry, podiatry, IV therapy, optometry, audiology, psychology and medical imaging. Cambridge arranged the fully amortizing 30- and 35-year loans on behalf of the Ohio LLC borrower. Read More »Schedule a demo
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