• PGIM Closes Freddie Mac Financing For Colorado Community

    A Denver-area senior living community refinanced with a Freddie Mac loan arranged by PGIM Real Estate. Spectrum Retirement Communities developed the community in 2009 and has been operating it ever since. It currently features 130 independent living, 60 assisted living and 18 memory care units. Amenities include a beauty sale, bistro, fitness... Read More »
  • Bridge Loan Closed in Boonville, New York

    Greystone has provided a $10.37 million bridge loan for the refinance of a skilled nursing facility in Boonville, New York, about 25 miles north of Utica. Opened in 1947 but expanded in 1958, 1964 and 1985, the facility features 120 beds and an outpatient occupational therapy program. It was renovated in 2008 and now consists of 54 semiprivate... Read More »
  • Truist Provides Refinance to National Senior Campuses

    The Obligated Group of National Senior Campuses, Inc. (Obligated Group), which consists of five large CCRCs located throughout the Mid-Atlantic and New England, is currently embarking on a $517 million refinancing that will replace existing debt with long-term financing. Truist Financial Corporation announced that it provided... Read More »
  • Senior Care Stocks Stay High After Vaccine News

    After Pfizer’s vaccine announcement on November 9, pretty much every publicly traded senior care provider and REIT saw their share prices jump significantly. We believe that much of the exuberance was mainly from the removal of uncertainty surrounding both the vaccine and the election, but as we said earlier this month, it is not like... Read More »
  • CareTrust REIT Adds Skilled Nursing Portfolio

    The skilled nursing portfolio deals keep on coming, this time from a familiar source. CareTrust REIT announced its acquisition of four skilled nursing facilities in Texas, around the Dallas-Fort Worth metro area. Totaling 554 skilled nursing beds and 24 assisted living beds, they are currently leased to operating affiliates of The Ensign Group,... Read More »
Brookdale Settling in for the Slog

Brookdale Settling in for the Slog

Now that Land & Buildings has ended its proxy fight to get former HCP, Inc. CEO Jay Flaherty on Brookdale Senior Living’s board of directors, it is apparent that Brookdale management can now face the long, tough slog to enhance operations, census and cash flow, the old-fashioned way. Unfortunately for shareholders who invested at much higher prices than the current levels, the wait may be a long one to get back up to breakeven. It is those newcomers to the stock that may get impatient, again, for management to do something as the share price heads higher. Right now, at $8.48 per share, it is 41% higher than at the beginning of June, and 15% higher than three weeks ago. Progress. We... Read More »
Gloves Come Off in Brookdale’s Proxy Fight

Gloves Come Off in Brookdale’s Proxy Fight

The proxy cards are in the mail to Brookdale Senior Living’s shareholders for the vote at the annual meeting, to be held on October 29, and it looks like CEO Cindy Baier has taken the gloves off. Brookdale has been fighting shareholder Land & Buildings’ nominee for a board position, Jay Flaherty, for many weeks. But now they are bringing up some of Mr. Flaherty’s past transgressions which, according to Brookdale, make “him unfit to serve as a member of Brookdale’s Board.” These transgressions include some foul play in 2011 when he was CEO of HCP, Inc., which resulted in a $101.7 million judgment against HCP, for which the court stated that HCP engaged in “fraudulent conduct with the... Read More »
The Brookdale/Land & Buildings Saga Continues

The Brookdale/Land & Buildings Saga Continues

Many of you may have seen Brookdale Senior Living’s proxy statement filed in response to activist shareholder Land & Buildings’ efforts to put former HCP CEO Jay Flaherty on the company’s Board of Directors, presumably to further its own demands to split Brookdale into an OpCo and PropCo in order to “maximize value for all Brookdale shareholders.” All we can say is, well done to Brookdale and CEO Cindy Baier for standing up to this pressure. We can’t say that we have always supported the decisions made by Brookdale executives and the Board, starting with its acquisition of Emeritus Corp. in 2014. Many pages in The SeniorCare Investor over the years have been dedicated to this topic. We... Read More »
The Brookdale/Land & Buildings Saga Continues

Brookdale Activists Strike Again

We disclosed last week that activist investor Land & Buildings (L&B) had nominated Jay Flaherty, former CEO of HCP, Inc., and Jonathan Litt (founder of L&B) for board election at the 2019 annual meeting of Brookdale Senior Living. L&B has just sent an open letter to Brookdale shareholders providing more rationale for the election of these two candidates. Apparently, L&B hired Green Street Advisors to value Brookdale and its real estate assets, and to provide an opinion as to the feasibility of a PropCo/OpCo split of the company, something Litt has been pushing for quite a while now to enhance shareholder value. Not surprisingly, preliminarily they determined that... Read More »
Brookdale Activists On The Move

Brookdale Activists On The Move

Brookdale Senior Living investor Land & Buildings has nominated Jonathan Litt and Jay Flaherty to Brookdale’s board. Still pushing for a REIT spin-off? He’s baaaack. After his 10-year stint as CEO of HCP, Inc., which included his ill-fated and ill-timed acquisition of the former HCR ManorCare, Jay Flaherty may be back in the senior care mix. That is, if Jonathan Litt of Land & Buildings has his way. Land & Buildings Capital Growth Fund, LP has delivered notice to Brookdale Senior Living that it is nominating Flaherty and Litt for election to the company’s board of directors. We shall see how that flies with the current Brookdale board. Our guess is that they will not go... Read More »