White Oak Refinances GMF Capital SNF Portfolio
GMF Capital refinanced 14 of its skilled nursing facilities with an $81 million credit facility secured by White Oak Healthcare Finance. The financing is comprised of a $66 million senior credit facility to refinance the properties, which are located in Ohio and Kentucky, and a $15 million line of credit closed for the operating company. This isn’t GMF’s first experience with White Oak, as the lender arranged another senior credit facility for the investment management platform to acquire a couple of assisted living/skilled nursing properties in Rhode Island at the end of 2018. Meridian Senior Living was the operating partner in that deal. Read More »
The Skilled Nursing Rebound
Average prices per bed ticked up over the past four quarters, and Genesis Healthcare posted better results. In this month’s SeniorCare Investor, I talked about the recent rise in the average price per bed for skilled nursing facilities for the most recent trailing four quarters. A small rise, but up nonetheless. Perhaps the start of a SNF rebound. And then Genesis Healthcare reported its second quarter results, and while they still have a ways to go, they too have seen some improvement. Small, but we will take it. Compared with the year-ago quarter, occupancy was up 250 basis points to 86.6% and the EBITDAR margin was up 79 basis points to 13.6%. Now, some of this improvement most likely... Read More »
Pardoll Closes Slew of Southeast Sales
Mike Pardoll of Marcus & Millichap has spent the last few months crisscrossing the Southeast, closing a number of seniors housing and skilled nursing transactions along the way. Starting in Dickson, Tennessee (Nashville MSA), he represented a private individual in selling their 70-bed skilled nursing facility to another private individual buyer. Leased by Mission Health (an affiliate of the private equity firm Windward Health Partners) as part of a 10-facility lease that includes other SNFs in Tennessee and Georgia, the facility was originally built in 1974. It was well occupied at 90% and produced around $930,000 in annualized 2018 EBITDA. The current lease is $31,000 per month, which... Read More »
Blueprint Sells Boutique Assisted Living Portfolio
Brooks Blackmon of Blueprint Healthcare Real Estate Advisors used his Southeast expertise to sell a portfolio of four boutique assisted living communities in Alabama. The small communities, which were all built in the late-1990s, were deemed to be non-core by the skilled nursing-focused owner/operator. In addition, they were operating around breakeven and offered a value-add opportunity to a new owner. After confidentially approaching three groups that showed interest, Mr. Blackmon secured the buyer, an Alabama-based owner looking to grow its presence in the state. Read More »
NorthMarq Hits the Mark
A seniors housing property in Mount Vernon, New York just refinanced with the help of Robert Ranieri, senior vice president and managing director at NorthMarq. Located on a 34-acre campus, the community features 31 units, including both one- and two-bedroom step-free townhomes. Each unit comes with a full kitchen and bathroom, in-home washer and dryer, large walk-in closets and a spacious four-season room. NorthMarq negotiated a $7.5 million refinance, with a seven-year term, fixed rate and 30-year amortization schedule, through PCSB Bank. In addition, the borrower received a renewal option that allows them to lower their rate and borrow funds for future development on the... Read More »
KeyBank Closes Second Refinance for Danbury Senior Living
KeyBank Real Estate Capital just closed its second Freddie Mac loan for Danbury Senior Living to refinance another seniors housing property Ohio. A year ago, KeyBank had worked with Danbury to arrange a $14 million refinance for its 105-unit community in Wooster. Fast forward to today, and the firm secured a $14.5 million Freddie Mac financing for Danbury’s 101-unit seniors housing property in the town of Tallmadge. Built in 2016, the community provides independent living, assisted living and memory care services. Lee Delaveris from KeyBank arranged the transaction. Read More »
Recent Senior Care M&A Deals, Week Ending August 9, 2019
Check out our recent senior care M&A deals. Long-Term Care AcquirerTargetPrice Omega Healthcare Investors, Inc.60 senior care facilities$735 million Omega Healthcare Investors, Inc.3 skilled nursing facilities$24.9 million 1031 Crowdfunding Exchange LLCSunlit Gardens$20.06 million Regional owner/operatorAtrium of Racine & Bay Pointe at the... Read More »
Brookdale and Capital Senior Living Earnings Disappoint
We are not sure why investors continue to think there may be some break-through news every quarter when the big seniors housing companies report earnings. This has been, and is going to continue to be, a slog to get through the mess created by too much development exacerbated by labor problems. Brookdale Senior Living’s management put a positive spin on the quarter, such as associate turnover improving by 5% compared with last year, and same-community move-ins showing positive year-over-year growth. That is all good news, but it will not be enough to pacify shareholders who want to see much more to move the valuation needle. And while some categories of occupancy showed improvement, such... Read More »
Milwaukee-Based Operator Buys Struggling Wisconsin Community
After being placed into receivership when its not-for-profit owner failed to make its bond payments, a senior living campus in Racine, Wisconsin just sold to a regional owner/operator with the help of Jason Punzel and Ryan Saul of Senior Living Investment Brokerage. Featuring 74 units of independent living (with limited services) and 40 units of assisted living, the community was built in 1989 near the shore of Lake Michigan. Amid the financial difficulties, occupancy fell to 77% for the IL and just 28% for the AL. After SLIB was hired to solicit offers and led the court-approved sale, a Milwaukee-based operator emerged as the buyer, paying $5.5 million, or $48,250 per unit, at an 8.0% cap... Read More »
CBRE Finances Silverstone/Crescent Acquisition
A joint venture between Silverstone Senior Living and Crescent Real Estate LLC turned to Aron Will, Austin Sacco and Tim Root of CBRE to arrange financing for its acquisition of a 120-unit assisted living/memory care community in Palm Beach Gardens, Florida. Opened in 2017, the property was developed by both an affiliate of Silverstone and an institutional equity partner, which is presumably exiting with this deal. It features some desirable amenities, like a virtual bowling alley, an onsite doctor’s office and an art studio. Harbor Retirement Associates was hired to operate the community and will continue to do so. CBRE funded the deal with a non-recourse loan from a regional bank. The... Read More »Schedule a demo
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