Top dollar for D.C. SNF
In one of the highest valued SNF deals ever seen in the Washington D.C. area, on a per-bed basis, a public, non-traded REIT purchased a 296-bed facility in the capitol for $50 million, or $168,900 per bed, with a 15% cap rate. For that high price (which is more than double the average price paid per bed for SNF sales in the 12 months ending September 30, 2015 of $76,900), the buyer will add a very well performing facility to its portfolio. Built in 1983, facility was 94% occupied over the trailing 12-month period ending March 31, 2014 with a 17% quality mix. Meanwhile, revenues and EBITDA were around $33.5 million and $7.5 million, respectively, which would represent a 22% margin. Included... Read More »REIT divests non-core Mass. SNF
The team of Steve Thomes, Tim Cobb and Ben Firestone of Blueprint Healthcare Real Estate Advisors closed the sale of a 107-bed skilled nursing facility in New Bedford, Massachusetts for $3.21 million, or $30,000 per bed. Prompted by the desire of its publicly-traded REIT owner to strategically divest some of its non-core assets, the facility had just marginal EBITDAR on approximately $6.8 million of trailing 12-month revenues. Hoping to capitalize on the low price-per-bed value and expand its footprint in the Northeast, a regional owner/operator was the buyer. Read More »Private investor sees potential
A pair of skilled nursing facilities in Texas that pulled in more than $12.5 million in total revenue but only retained approximately $500,000 in EBITDA (an operating margin of just 4%) presented an appetizing turnaround opportunity to buyers when it was put on the market. Owned by a public REIT and leased to a third party operator with which the REIT had a larger relationship, the properties included a 160-bed facility in Houston and a 149-bed facility in Mesquite. In addition to their low occupancy (collectively at 75%) and quality mix (at just 15%), the facilities also had age going against them, with the Houston facility built in 1970 and the Mesquite facility in 1977. However, to a... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
