Mainstreet growth
Mainstreet Health Investments (Mainstreet) is adding seven seniors housing and care properties to its portfolio from several sellers, representing a total purchase price of approximately $152 million. First, the company bought four Mainstreet Property Group (MPG)-developed transitional care/assisted living facilities, which are scheduled to open between November 2016 and March 2017 in Texas and Kansas, for $92.8 million, or almost $247,000 per bed, with a year-one cap rate of 7.7%. The Ensign Group will manage the facilities. Second, Mainstreet is acquiring one transitional care/memory care facility in Evanston, Illinois from its existing operating partner Symphony Post-Acute Network for... Read More »
Getting Ready For More Acquisitions
The Ensign Group has nearly doubled its bank line of credit to $450 million. The new facility will include a $300 million revolving line of credit as well as a $150 million term loan. In addition, there is a $150 million expansion option. It looks like the company is lining up the dry powder for some more acquisitions. Robinson Humphrey and Wells Fargo Securities arranged the financing. Read More »
Ensign’s quiet 2016
The Ensign Group (NASDAQ: ENSG) has cooled off significantly in 2016, following its 23 transactions in 2015. The company has only closed three deals so far this year, including its purchase of the Legend Healthcare properties (with eight skilled nursing facilities in Texas) and a small hospice operation in Iowa. Most recently, Ensign acquired a 171-bed skilled nursing facility in Kansas City, Kansas, which included the operations and the underlying real estate, for an undisclosed price. The facility includes a 10-bed assisted living unit, and was 56% occupied under the ownership of a faith-based not-for-profit. Ensign’s subsidiary, Endura Healthcare, Inc., will take over... Read More »The Ensign Group funds its future
Already one of the more prolific buyers in the healthcare M&A market with 23 transactions in 2015 across the Long-Term Care, Home Health Care and “Other Services” sectors, The Ensign Group is positioning itself for another big year in M&A and increased its revolving credit facility by $100 million to an aggregate $250 million. The facility is supported by a lending consortium arranged by SunTrust Robinson Humphrey, Inc. and Wells Fargo Securities, LLC, and as much as $105 million of it has been drawn as of February 1, 2016. This new expansion also reduced the LIBOR-based interest rate by 50 basis points and extended the termination date for the revolving commitment to February 5,... Read More »Schedule a demo
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