Perhaps we (Senior Living Investment Brokerage, Inc.) take such things for granted since we have been involved in the Seniors Housing sector for so long, but there can be a list of people who need to be made aware of the pending sale of a long-term care facility. Most notably, the state regulatory authority, where notice of a change of ownership must be made anywhere from a few days to several months prior to closing. Obviously, when you see an approval period of multiple months, the rest of the structure of the transaction must take this into consideration. We are strong believers in having all contingencies removed prior to notifying the state of the change of ownership. Therefore, there could be several months between the end of due diligence and closing. The longer this time period, the greater likelihood something material can occur which potentially could impact the transaction: a bad survey, dramatic change in census, key personnel leaving, etc. While it is common for a seller to feel comfortable at this point in the transaction, it is crucial to maintain operational focus to minimize the risk of any event occurring which could derail the deal. Senior Living Investment Brokerage, Inc. remains a key partner in the transaction process, and we are aware of the many challenges a Seller faces while going through the sales process. Having closed transactions in so many different states, we are aware of the nuances of dealing with different states and the challenges of navigating the final months of a transaction.
