Marcus & Millichap Sells in Southwest Kentucky
The Knapp Group of Marcus & Millichap announced the sale of a 42-unit assisted living community in rural southwest Kentucky. Built in 2014 on over 10 acres, the community boasted occupancy around 90% and strong cash flow. It was previously a family-run business, but the Knapp Group secured a local buyer to take over both ownership and the operations of the property. Justin Knapp and Jeff Hollister, both based in M&M’s Detroit office, were the key advisors on the deal, which featured a purchase price of $8 million, or $190,500 per unit. Read More »
Cambridge Realty Capital Refinances Illinois SLF
Three years after acquiring a supportive living community in Pontiac, Illinois, a regional owner is refinancing the property with the help of Cambridge Realty Capital Companies. Originally built in 2009, the 60-unit community is made up of 52 private studio and eight one-bedroom units. It is also located just minutes from OSF St. James Hospital. At the time of its December 2016 sale, it was about 82% occupied, with a 16% operating margin on approximately $1.73 million of revenues. The purchase price came to $7.5 million, or $125,000 per unit. Now, Cambridge has secured a $7.6 million HUD loan, with a fully amortizing 35-year term, to refinance it. Read More »
Lancaster Pollard Finances New Transitional Care Facility
Lancaster Pollard recently helped Innovative Health secure construction financing for their to-be-built skilled nursing facility in Aurora, Illinois. The transitional care facility will operate under the THRIVE brand and focus on short-term rehabilitation. It is being built with 68 beds in 60 units and 50,582 total square feet on a 4.25-acre site. According to public documents, the project cost is around $15.9 million, or $233,800 per bed. Brett Murphy of Lancaster Pollard secured a $14.75 million loan through HUD to fund the project, which is the third currently under construction by Innovative Health and its Chicago-based parent company. Those other developments are located in Mundelein... Read More »
Fourth Quarter Occupancy Nudges Up
Some good news was recently released by NIC MAP, showing occupancy rates for stabilized seniors housing communities (independent living and assisted living) increasing by 10 basis points sequentially, but a four-basis point decline year over year. The assisted living market, which has been the most troubled over the past several years, saw a 20-basis point increase sequentially, but a 14-basis point decline year over year. The bottom line is that while some progress has been made recently, we are still way behind a year and two ago, with a long way to go to really get to “stabilization” as an industry. The other good news is that absorption is running ahead of trailing-12 month new... Read More »
Berkadia Closes Three Financings for SNF Clients
Berkadia announced a series of loan closings last month totaling $57.2 million. There were four HUD financings, including three loans totaling $26.2 million closed for a portfolio of three skilled nursing facilities in Washington. Jay Healy arranged the financing for a Washington-based owner/operator, which used the proceeds to pay off short-term debt, fund improvements to the properties and reduce its debt service payments. Located in Brewster, Kennewick and Spokane, these facilities were on average 89.3% occupied with a strong quality mix. Mr. Healy was then joined by Bianca Anduko to secure a $16 million HUD loan for a 146-bed skilled nursing facility in western Maryland. The... Read More »
Helios Handles Boston-Area SNF Sale
Bill Janis and Mario Wilson of Helios Healthcare Advisors represented a family owner in their complete exit from the skilled nursing industry with the sale of their 169-bed SNF in an upscale suburb of Boston, Massachusetts. Consistently achieving a four- or five-star rating from CMS, the facility maintained a good reputation in the local market. It was the preferred provider among the area’s ACOs and hospital systems, and as a result boasted average occupancy above 90% and a strong rehab and private pay census. The family owner had operated it for over 20 years, but the time had come for them to exit the business. The Helios team procured over 10 offers from local and regional providers... Read More »
BMO Harris Bank Closes Credit Facilities
BMO Harris Bank’s Healthcare Real Estate Finance group has been busy lately closing credit facilities for senior living clients. The first transaction saw the bank close a $59.4 million facility for LCS’ acquisition of The Clare CCRC in downtown Chicago, Illinois. We profiled the sale in this month’s edition of The SeniorCare Investor, and subscribers can read the story here. Then, BMO provided a syndicated $75 million senior credit facility for Largo Land Development, LLC and Watermark Retirement Communities to develop a 219-bed independent living/assisted living/memory care community and a 64-unit active adult community in Upper Marlboro, Maryland (Washington, D.C. MSA). BMO partnered... Read More »
Greystone Funds Harbert’s Acquisition of California Community
Harbert Seniors Housing Fund II, L.P. has acquired a 134-unit senior living community in Rocklin, California thanks to a Fannie Mae financing arranged by Greystone. Built in 2015 and operated by Merrill Gardens, this community operated with independent living, assisted living and memory care units, with a licensed capacity of 142 residents. Merrill Gardens will be a joint venture partner in the community, in addition to continuing as operator. The $37 million structured adjustable rate mortgage loan comes with a 10-year term and five years of interest only. Read More »
Recent Senior Care M&A Deals, Week Ending January 10, 2020
Check out our recent senior care M&A deals! Long-Term Care AcquirerTargetPrice NJ-based owner/operatorSkilled nursing facility in Boston, MA area$12 million Harbert Seniors Housing Fund II, L.P.The Pines at RocklinN/A Ithaca-based owner/operatorHorizon Villages$8 million American House Senior Living Communities/REDICOAmerican House WyomingN/A Regional owner-operatorCrest of Clemmons$5... Read More »
O&M Investments Announces Latest M&A Moves
It has been a busy year for Nick Martinez & Todd Okum of O&M Investments, having closed five acquisitions in three states. Earlier this year, the firm picked up an 88-bed skilled nursing facility in Orrville, Ohio (Cleveland MSA) that was operating around breakeven, a 104-bed SNF in Richardson, Texas with a wing recently converted to skilled memory care, and a portfolio of three skilled nursing facilities in the Columbus, Ohio MSA with 297 total licensed beds. In the fourth quarter of 2019, Messrs. Martinez and Okum closed two more purchases. First, in October they acquired a 120-bed skilled nursing facility in Fort Worth, Texas. Built in 1973, the facility was occupied in the... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
