Evans Senior Investments Sells in…Sellersville
Evans Senior Investments is keeping the closings coming, following up on its five deals in December with its first 2020 transaction. Located in Sellersville, Pennsylvania (about 30 miles north of downtown Philadelphia), the target was a 94-unit assisted living/memory care community. It was built in 2007 and renovated in 2018, with a current mix of 54 AL and 40 MC units. The recent updates included new flooring, full property furniture replacement and new dining operations. Occupancy has been consistently strong, currently sitting at 94% with a 100% private pay census, and the community operated at a 24% EBITDAR margin. It was also implementing a substantial rate increase at the time of the... Read More »
Senior Care Realty Handles Wisconsin Transaction
Mark Van Den Broeke of Senior Care Realty certainly had his hands full in the sale of a 66-unit assisted living community in northeast Wisconsin. That’s because in addition to working with the current tenant, he worked with the two individual landlords of the property too. Originally built in 2012, the property is made up of three 22-unit buildings, two of which were owned by one landlord, with the other building owned by the second landlord. Occupancy was 79%, with a 100% Medicaid census, and in 2018 it was earning about $500,000 in NOI on nearly $2.5 million of revenues. The tenant, who owned the operations, was looking to exit the business when the lease ended in a few years, but she... Read More »
Cushman & Wakefield Ends 2019 With A Bang
The Cushman & Wakefield team led by Rick Swartz, Jay Wagner and Aaron Rosenzweig ended 2019 with a bang. In the last six weeks of the fourth quarter, they closed eight separate sales involving 18 properties and 1,908 units for a total consideration in excess of $500 million. The largest transaction was a seven-property portfolio for $103.25 million on behalf of Diversified Healthcare Trust. The team also placed the acquisition financing on several of the sales. A few smaller portfolios included the sale of three assisted living and memory care communities with 248 units in the Boston metro area and a two-property portfolio of 220 units in Albuquerque, New Mexico and Austin, Texas on... Read More »
Blueprint Sells Two Struggling Senior Care Facilities
Two Blueprint Healthcare Real Estate Advisors teams arranged a couple of sales of struggling senior care facilities. First, Christopher Hyldahl, Gideon Orion and Kendra Gonzalez represented a private real estate investor in its sale of a 50-bed skilled nursing facility in the Los Angeles, California market. Some $1.7 million was spent on capital improvements over the past three years, of which $800,000 was used to prepare the facility for the approval of 27 subacute care beds. The facility has strong per-patient day reimbursement rates and a good historical CMS star rating. However, it was losing money on about $4.25 million in top-line revenue and had over $250,000 in outstanding QA fees.... Read More »
NorthMarq Closes Southern California Transaction
NorthMarq’s Southern California-based investment sales team of Kyle Pinkalla and Shane Safer represented Shefflin Investments in its sale of a 151-unit active adult community in National City, California (San Diego MSA). Originally built in 1999, the three-story building features a mix of studio and one-bedroom units, plus one commercial site. Occupancy was 97% with rents ranging from $1,075 to $1,250 per month. Part of its appeal comes from the property’s location near both Scripps Mercy Hospital and Paradise Valley Hospital, in addition to shopping areas and entertainment. Messrs. Pinkalla and Shafer arranged the property’s sale to Lincoln Avenue Capital, LLC, a leading investor in... Read More »
Walker & Dunlop Finances Another Cascade Capital Group Acquisition
Walker & Dunlop’s Joshua Rosen arranged bridge financing for Cascade Capital Group’s acquisition of a 136-bed supportive living facility in Aurora, Illinois. Totaling over $11.0 million, the debt was structured and provided by W&D’s bridge lending program, which utilizes the company’s own balance sheet. It came with a nine-month term and full term of interest-only payments and allow Cascade to quickly execute on the acquisition. The loan also features flexible prepayment options, and Cascade expects to refinance through HUD later this year. If this sounds familiar, it’s because in August 2019, Walker & Dunlop provided a $12.8 million loan from its balance sheet to cover 100% of... Read More »
2019 Sets Senior Care M&A Record
What a year it was. We have now recorded 447 publicly announced seniors housing and care transactions in 2019, which is not only a record, but is also still just a preliminary number. Coming off of another record-breaking year in 2018, with 430 deals, the industry has amazingly surpassed that level of activity, by a whopping 5%. That’s what a lot of cheap capital can do. A busy fourth quarter pushed the sector to that unprecedented total, with 110 deals announced. As has historically been the case, private senior care providers made up the majority of buyers, accounting for nearly 50% of all Q4 acquisitions. REITs and real estate investment... Read More »
Blueprint Sells Successful Senior Living Community in Missouri
Brooks Blackmon and Ben Firestone of Blueprint Healthcare Real Estate Advisors sprung into action this year in Springfield, Missouri, where the pair sold a 119-unit senior living community on behalf of a Missouri-based ownership group. Originally built in 2008, the property was expanded in 2012 to keep up with local demand. It now features 54 independent living, 48 assisted living and 16 memory care units. The expansion was also clearly a good idea, as occupancy stood at 99% and operating margins have been consistently high. In addition to acquiring that steady stream of cash flow, a buyer would also keep the successful in-place operator, Arrow Senior Living. A Florida-based private equity... Read More »
Lancaster Pollard Refinances Plum Portfolio
It’s been quite a lucrative relationship between Lancaster Pollard and California-based skilled nursing operator, Plum Healthcare Group. About 18 months ago, Grant Goodman, Jason Dopoulos, Joe Munhall and Elliot Kaple secured $400 million in bridge financing from Credit Suisse on 27 skilled nursing facilities in California owned by Plum. However, that was short-term, corporate-level recourse-based debt, which did not give Plum much capital flexibility. So, upon closing of that transaction, Lancaster Pollard immediately began work on a HUD refinance, and the time has now come. On behalf of 26 of those facilities, Messrs. Goodman, Dopoulos and Kaple led the way on a $420 million HUD... Read More »
Greystone Closes HUD Loan for Long Island SNF
A large skilled nursing facility in Long Island, New York refinanced its existing bridge debt with a $71.3 million HUD loan provided by Greystone. Fred Levine originated the transaction, which came with a 30-year term, 30-year amortization, and a low, fixed interest rate. Originally built in 1974, the facility features 320 beds in Amityville. There is also an onsite 55-slot adult day care program. It was acquired by Northwell Health Inc. in 2012 as part of the company’s acquisition of Long Island Home (LIH), a not-for-profit entity that operated the SNF and an acute psychiatric hospital, South Oaks Hospital. However, Northwell’s strategic focus was on behavioral health, so it eventually... Read More »Schedule a demo
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