Brad Clousing and Jeff Binder have sold a Senior Housing Community in Chattanooga, Tennessee. The five story building consists of 42 Independent Living units, 59 Assisted Living units and 15 Memory Care units. Constructed in 1985 and renovated in 2004, the facility is 109,463 squre feet on 12.36 acres. At the time of the sale, the facility’s census was 97%. The Seller is a national owner/operator of seniors housing and the Buyer is a Florida based real estate investmant company. For additional information,please contact Brad or Jeff.
Senior Living Investment Brokerage, Inc. would like to recognize World Alzheimer’s Day today, September 21. I lost a good family friend to Alzheimer’s two weeks ago and would like to increase awareness.
Recent news that the recession officially ended in June/July 2009 brings welcomed positive news to the economy. The Seniors Housing industry has done well despite the recession. Slow and steady improvement in the overall economy can only translate positively to the Seniors Housing industry. A few transactions north of $1B is a clear indicator that the M&A market is picking up. Look for more assisted living and nursing homes to be sold moving forward. Bring on the lenders!
We are excited for the 20th annual NIC Conference this week and will report back on developments and the outlook for the rest of 2010 and 2011.
Please contact Ryan Saul to discuss the market, selling your facility or properties available to purchase.
Michael Brundage has sold an assisted living facility in Michigan. The 21 unit facility has been run very well from a resident care standpoint, enjoys a strong reputation within the local community and has historically been 100% occupied. The Seller, a local hospital, had struggled to control expenses and had been operating the facility in the red. The Buyer plans on increasing resident rates, control expenses and expand the facility. Senior Living has sold more Seniors Housing in Michigan than any other firm. For additional information, please contact Michael Brundage at 630/858-2501.
Brad Clousing has completed a sale-leaseback of three assisted living facilities in Central Florida for $15,100,000. The transaction comprised of a 43 unit facility built in 2005, a 42 unit facility built in 1997 and a 42 unit facility built in 1988-expanded and renovated in 2005. This transaction allowed the Seller to retire the existing debt, free up liquidity and maintain operation of the facilities. The Seller operates other facilities in the area and has several properties under development. For additional information, contact Brad Clousing at 630/858-2501.
Magnolia Health Systems has purchased a 77-unit assisted living facility for $8.0 million that Sunwest had purchased in 2007 for $7.35 million. The property was developed in 2001 for $5.5 million but was only open for a few months before closing its doors for three years. Senior Living Investment Brokerage sold the vacant building in 2004 for $3.8 million. The Buyer then completed extensive renovations before selling it to Sunwest at a much higher price via Senior Living Investment Brokerage. Ryan Saul of SLIB has sold it once again. At the time of the current sale, occupancy was just under 80%. Current rents range from $2,000 to $3,195 per month with an average of $2,400. The new owner should be able to raise rates and occupancy. . Magnolia operates 26 facilities in Indiana, mostly skilled nursing plus a handful of assisted living facilities.
Ryan Saul handled the sale of a Class “A” Memory Care Facility in Las Vegas. The 46 unit (52 beds) facility sold for $2,850,000. Overall occupancy was 90% and the financial performance was close to break even due to 37% Medicaid residents paying below market rent of $2,400/month. The 31,727 square foot building was built in 1999. For additional information please contact Ryan Saul at 630/858-2501.