Stabilized AL/IL Community Trades in Michigan
Meiser Commercial Real Estate was engaged by DeShano Companies Inc. in its divestment of a seniors housing community in Auburn, Michigan. Built in 2010, Plainview Assisted Living comprises 20 assisted living and 16 independent living units on 2.9 acres. At the time of sale, it was 100% occupied, with 75% private pay and 25% Medicaid. Revenues were $1.04 million, and NOI was $98,000. The assisted living and independent living components shared a parking lot, and DeShano wanted to sell both components as a package. If sold separately there would have had to be a shared-use agreement in place. It was challenging to find a buyer that specialized in both AL and IL, however, the deal... Read More »
Missouri Facilities (w/ HUD debt) Change Hands
There are no summer doldrums for Montgomery Intermediary Group (MIG), which announced a closing in Missouri and a new hire at the end of July. The firm first represented the buyer in the acquisition of two skilled nursing facilities in St. Louis County. Built in 1978 and 1991, respectively, the facilities total more than 240 licensed beds. The seller, a large SNF owner/operator, deemed the facilities to be outliers in its portfolio, hence the disposition. However, the buyer was looking to expand its footprint in Missouri, and was also attracted by assumable, low-rate HUD debt on the properties. Andrew Montgomery handled the transaction Montgomery was also joined by Jeremy Warren,... Read More »
Ziegler Closes Slew of Summer Transactions
It looks like there is no summer vacation for Ziegler’s Chris Utz, who has closed a number of transactions in recent months spanning investment sales to acquisition financings for a host of seniors housing and care properties across the country. Most recently, he arranged an acquisition loan for Comprehensive Care Capital (CCC) to acquire a 114-unit assisted living/memory care community in East Norriton, Pennsylvania (Philadelphia MSA). Previously known as Brandywine Living at Senior Suites, the community has been renamed Silver Springs at East Norriton, with CCC’s affiliate Cura Health taking over operations. CCC had created Cura Health to oversee daily operations for its seniors housing... Read More »
Arrow Senior Living and Welltower Expand in The Midwest
Arrow Senior Living acquired eight seniors housing communities across Illinois, Iowa, Missouri and Arkansas. Acquired in June, CedarStone Senior Living and PrairieStone Senior Living, both in Cedar Falls, Iowa, were developed by Nelson Construction and Development. CedarStone comprises 120 units (88 AL and 32 MC). PrairieStone features 111 units (79 AL and 32 MC). Arrow also acquired six IL communities in a joint venture with Welltower in early July, adding 654 units to its portfolio. The Cambridge Senior Living in Springfield, Missouri, consists of 115 units. The Gardens at Arkanshire in Springdale, Arkansas, features 80 units. The Montvale Senior Living in Springfield, Illinois,... Read More »
PE Firm Acquires Active Adult Community in Texas
Green Courte Partners, a private equity real estate investment firm, announced that its fifth investment fund, Green Courte Real Estate Partners V, and its affiliates acquired Chesapeake Bay, an active adult community with 348 apartments and cottages in Seabrook, Texas. This increases GCP’s national senior living portfolio, which is managed by the firm’s wholly owned operating platform, True Connection Communities, to 19 communities containing approximately 3,100 units. The community’s initial phase leased quickly and maintained strong occupancy, prompting the developer to add 90 cottages in late 2023 to meet market demand. GCP intends to continue acquiring and developing active adult... Read More »
CIBC Refinances High-Quality SNF
A high-quality skilled nursing facility in Virginia refinanced its debt with the help of CIBC Bank USA. The facility, which has an effective age of nine years, posted strong operating results, with occupancy around 88% and an EBITDAR margin historically at 28%. Strong, indeed. CIBC provided the facility’s Virginia-based owner/operator with $35.0 million in senior secured credit facilities in the form of a $33.0 million commercial mortgage term loan and a $2.0 million working capital line of credit. The credit facilities were used to refinance existing debt on the SNF. Matthew Tyler and Neal Netzel of CIBC Bank USA handled the financing. Read More »
Acquisition Financing Secured for SNF Portfolio
Capital Funding Group closed $17.27 million in bridge-to-HUD financing for the acquisition of three skilled nursing facilities in Massachusetts. In total, the portfolio comprises 322 beds. Closing occurred on June 28, less than 60 days from receipt of the signed term sheet. Craig Casagrande and Catherine Mansel handled the transaction on behalf of a nationally recognized borrower. This financing follows CFG’s closing of a $23.6 million bridge-to-HUD loan that supported the refinancing of an existing bridge loan executed by CFG. The transaction supported a 169-bed SNF in Delaware. Read More »
Welltower Sets Stage for Further Growth
Welltower has already been the most prolific acquirer in the seniors housing M&A market in the last couple of years, but the REIT shows no signs of slowing, according to its latest earnings report and business update. In the second quarter, Welltower completed $1.7 billion of pro rata gross investments, including $1.4 billion in acquisitions and loan funding and $251 million in development funding. Contrary to most investors these days, that included the opening of 13 development projects, including partial conversions and expansions, for an aggregate pro rata investment amount of $214 million. On the sales side, Welltower also completed around $578 million of property dispositions and... Read More »
Prime Healthcare’s Largest (Pending) Acquisition
Prime Healthcare has entered into an asset purchase agreement with Ascension for the sale of four senior living facilities (as well as nine hospitals) in Illinois. Upon completion, this acquisition will be the largest in the history of Prime Healthcare and the Prime Healthcare Foundation, a 501(c)(3) public charity. The transaction includes the following senior living communities currently operated by Ascension: Fox Knoll Village (Aurora), Villa Franciscan Place (Joliet), Heritage Village/Heritage Lodge (Kankakee) and Resurrection Place (Park Ridge). As part of the acquisition, Prime is committed to investing $250 million in facility upgrades, capital improvements, substantial technology... Read More »
Evans Senior Investments Handles Ohio Portfolio Deal
Evans Senior Investments facilitated the sale of a three-property portfolio in western Ohio on behalf of Mariner Management Group, an owner/operator that is seeking an exit from the industry. Built in stages between 1990 and 2013, the three campuses comprise 317 skilled nursing beds and 209 seniors housing units. At the onset of the marketing process, the average occupancy rate was stagnant at 65%, resulting in financial challenges. There is room for improvement through leveraging hospital relationships, and, Ohio recently increased its Medicaid rate for assisted living waivers with reimbursement at $130 per day for base care. Evans targeted a select group of qualified buyers,... Read More »Schedule a demo
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