Diversicare Divests Three Kentucky Properties
After a “challenging quarter” when Diversicare Healthcare Services reported a net loss of $7.4 million, (compared with a $600,000 loss last third quarter), a drop in average occupancy to 79.3% (down from 80.1%) a $6.4 million contingent liability fund regarding potential false claims violations, AND the departure of their CEO Kelly Gill, the company completed the sale of three skilled nursing facilities in Kentucky earlier this month. As required by bank agreements, the company used the net proceeds to entirely pay off the associated indebtedness and are probably pretty happy to move on and concentrate on bigger problems. The facilities in question were in Fulton (60 beds), Glasgow (94... Read More »
Alliance Moving Forward at Massachusetts SNF
The not-for-profit senior care operator, Alliance Health & Human Services, secured both a permanent refinance of its 101-bed skilled nursing facility in Braintree, Massachusetts, and a more stable financial future to further its mission there. The $14.2 million HUD loan, arranged by Aaron Becker of Lancaster Pollard, is the sixth overall closed in the relationship. It refinanced existing debt and reimbursed Alliance for prior capital expenditures. Alliance will now be able to file a Determination of Need with the state in order to invest another $3 million to renovate the facility. Under the program, the state would reimburse Alliance the renovation funds through a future increase in... Read More »
SunTrust Sets Eyes On Colorado Bridge Financing
SunTrust Bank’s ears must have been burning, because on the day of our webinar, Bridge Loans: The Hottest Lending Product for Seniors Housing and Care (which you can still listen to here), the bank originated a $31 million bridge loan for an independent living community in Colorado Springs, Colorado. Just completed earlier this year, the community is geared to higher income residents and boasts a number of modern amenities. It was developed by The Wolff Company, an Arizona-based private equity firm that is developing a number of luxury senior living properties a year with operating partner Clearwater Living (which will also manage the Colorado Springs community). Artin Anvar of SunTrust... Read More »
Great Financing Product For Acquisitions
Bridge loans are becoming increasingly important for acquisitions and renovations projects. Find out the details on this important webinar. If you are in the market for acquisitions, especially value-add acquisitions, or you want to do some major renovations on your existing building, do I have a financing product for you. I am talking about bridge loans, which are basically short-term loans to get you from point A to point B with your real estate. Their popularity has been increasing in the past few years, with more lenders and more types of products, providing even more liquidity to the seniors housing and care sector than before. Plus, some of the bridge lenders have created their own... Read More »
HHC Finance Wrapping Up 2018 With Two Northeast Transactions
Seniors housing and care M&A may be slowing towards the end of 2018, but the lenders are still closing plenty of transactions. One of them, Housing & Healthcare Finance (HHC Finance), closed two HUD loans totaling $31 million for a couple of East Coast skilled nursing facilities owned by experienced regional operators (and repeat HHC customers). The smaller loan (for $6 million) was closed for a 108-bed SNF in southern New Jersey and refinanced existing conventional debt. Although it received several improvements in recent years, the facility was built in the mid-1960s and was occupied in the high-80s. The other loan was closed for a large 238-bed skilled nursing facility in... Read More »
Lancaster Pollard Hits the Mark With Life Insurance Financing
Grant Goodman, Casey Moore and Doug Harper of Lancaster Pollard helped structure a life insurance refinance of two memory care communities owned by Agemark Corporation. Both located in Nebraska and totaling 75 units, the properties were encumbered with traditional bank debt. Looking to lock in their interest rate early in this rising rate environment, Agemark was introduced to Protective Life Insurance Company to obtain a 10-year, fixed-rate financing. This was the first transaction between the two but may not be the last. Read More »
Meridian Pushes Past $1 Billion In Financings
Already $1.0 billion deep into its 2018 transaction total by October, Meridian Capital Group took less than a month to close another $217 million in financings. Ari Adlerstein, Ari Dobkin and Josh Simpson did that by arranging the refinance of a large skilled nursing portfolio, the $9 million cash-out refinance of an assisted living community in Pittsburgh, Pennsylvania and an $18 million acquisition loan for a long-term acute care/skilled nursing facility in Ohio. Since the team’s inception in 2011, they have now closed more than $5 billion in financing for seniors housing and healthcare properties. Read More »Recent Senior Care M&A Deals, Week Ending November 30, 2018
Check out our recent senior care M&A deals! Long-Term Care AcquirerTargetPrice Threestones CapitalSkilled nursing facilityN/A Not disclosed3 skilled nursing facilities$18.7... Read More »
Genesis Healthcare Surges
Wow. It is amazing what a short analyst report can do to a stock, when it upgrades the recommendation to “Buy” with a price target that is 50% above the current price. That is what happened to Genesis Healthcare yesterday, after Chad Vanacore of Stifel wrote about the company and the improved outlook for skilled nursing in general. The previous closing price was $1.31 per share, and it surged by 26% to $1.65 in early trading on heavier than usual volume. Why? Signs of stabilization in the company’s core portfolio, improved reimbursement outlook for 2019 and beyond, a de-levering of the balance sheet and the divestiture of 55 facilities with unprofitable leases. That doesn’t mean it is... Read More »
What 10 Years Can Do
With everyone so fixated on the future (the upcoming flu season, the 2026 Boomer Boom, etc…), and rightfully so, we also think it’s important to peak back in the past to gain some perspective. A #flashbackfriday, if you will. November 2008 doesn’t conjure many fond memories for most industries, but particularly for the capital markets. By that month, the Dow Jones Industrial Average dropped below 8,000 (on its way to 6,443 in March 2009). Liquidity had dried up, and investors, more often than not, were looking to sell, not buy (even if some of those buys would have paid off many times over in hindsight). And when those selling shareholders had a target in mind, they went for blood, selling... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
