• 60 Seconds with Swett: The Republican Budget and Medicaid Cuts

    by | May 13, 2025 3:15 pm | 60 Seconds, Opinion

    There will be significant political interest in what happens to Medicaid funding as Republicans work to pass a budget and tax bill with their very slim majority. Touching entitlements remains politically risky, and the party is divided on whether any Medicaid cuts would be acceptable heading into an election cycle. At this stage, per-capita caps... Read More »

  • Sonida Senior Living Continues Upward Trend

    by | May 13, 2025 3:12 pm | Opinion

    We are at the end of the first quarter 2025 earning roll call, and Sonida Senior Living posted another solid quarter. Weighted average occupancy for its same-community portfolio (56 communities) increased by 100 basis points year over year to 86.8%, which is at the top end of many of its competitors. In addition, same-community RevPOR increased... Read More »

  • Regional Owner/Operator Purchases Turnaround SNF

    by | May 13, 2025 3:10 pm | Acquisitions

    Evans Senior Investments was engaged by a regional owner in a partnership with the University of Michigan Health-West Hospital to facilitate the sale of a skilled nursing facility in Wyoming, Michigan. Opened nearly 10 years ago, Healthbridge Post Acute comprises 65 beds and was experiencing operational challenges, including an annual net... Read More »

  • Family Owner Divests CCRC to Not-For-Profit

    by | May 13, 2025 3:10 pm | Acquisitions

    Senwell Senior Investment Advisors sold a family-owned/operated CCRC in Maumee, Ohio, to a not-for-profit organization. The community had been in the seller’s family for 75 years, but they are divesting to enter retirement. Established in 1949, Elizabeth Scott Community spans 51 acres and offers independent living, assisted living, memory care... Read More »

  • HUD-Backed Seniors Housing Community Opens on Long Island

    by | May 13, 2025 3:09 pm | Financings

    A HUD-financed seniors housing project has celebrated its grand opening in Bay Shore, New York. Netherbay at Bay Shore is a state-of-the-art assisted living/memory care community located at the historic Gulden family’s summer homestead on Long Island. It features 72 units and is operated by Meridian Senior Living. Greystone’s Lisa Fischman had... Read More »

As cap rates rise, AL prices stay

by | Aug 12, 2015 8:30 am | Opinion, Statistics

Last week, we wrote that while the average price per unit for IL communities fell by over $30,000 from the calendar year 2014 to the four quarters ending Q2:15, the average cap rate remained at 7.4%. Meanwhile, the inverse was true for the assisted living market. The average price per unit for AL communities rose slightly from $188,700 to $189,500, just a 0.4% change, over the same period, but the average cap rate rose 15 basis points from 7.75% in 2014 to 7.9% in the four quarters ending Q2:15. This could partially be explained by the fact that the IL market can be more mercurial than the AL market, as there is a more constant and stable need for assisted living. But to explain the rise... Read More »

As prices fall, IL cap rates stay

by | Aug 7, 2015 8:30 am | Opinion, Statistics

The average price per unit for independent living had the most dramatic change of the other acuity classes (a 13% drop from 2014 to the 12-months ending June 30, 2015, compared to a 0.4% increase for assisted living and a 3% drop for skilled nursing in the same time period), so one would expect some move in average cap rate, presumably a move up. But, the average IL cap rate for the 12-months ending June 30 did not budge from its 2014 level of 7.4%. Perhaps the quality of IL transactions hasn’t changed, with owners of high-quality communities still tempted by the high valuations, but there just have not been as many of those ultra-high end sales this year. Read More »

Cap Rates And Reality

by | Mar 31, 2015 2:49 pm | 60 Seconds, Opinion

There appears to be a feeding frenzy on where cap rates should be, and the frenzy is only taking them lower. Did you read about the fully stabilized assisted living community that sold for a 3.5% cap rate on first year numbers? You didn’t? April fools, neither did I. But don’t be surprised if it happens given the way the market is going. Two months ago, while attending a seniors housing conference, we heard a rather matter-of-fact statement that cap rates for “A” properties were in the range of 5.5% to 6.0%, and “B” properties were in the broad 6% range. While our annual statistics do not bear this out, we do know that there are transactions done with cap rates between 5% and 6%, with a... Read More »