A roundup of October’s investments, transactions and financing in the senior housing and living market.
Welltower Buys $1.15 Billion Portfolio of 19 Senior Housing Properties
CBRE Capital Markets this month arranged a sale of a 19-property senior housing portfolio to Welltower Inc. for the price of $1.15 billion.
Most of the communities are located in California.
More information, from a CBRE release:
The 2,590-unit senior housing portfolio includes a combination of Assisted Living, Independent Living and Memory Care units. Eighteen of the communities are located in California; one community is located in Tacoma, Washington.
“Concentrated in core markets in Northern and Southern California, many of the communities boast irreplaceable locations and will provide the new owner with an unmatched presence in the Greater Los Angeles and San Francisco Bay areas.”
The portfolio will be operated by existing operating partners of Welltower, Inc. Senior Resource Group will operate 11 of the communities, Sunrise Senior Living will operate seven of the communities, and Silverado will operate one community.
LEI Acquires Florida Senior Housing Community; Berkadia Announces $23.8 Million Financing
Lowe Enterprises Investors, in a joint venture with a foreign client, this month announced the acquisition of a 115-bed senior living community called St. Augustine Plantation in Tallahassee.
Berkadia’s Senior Housing and Healthcare Group is financing the facility to the tune of nearly $24 million.
More info, from a release:
“St. Augustine Plantation offers LEI the ability to invest in a strong, stable Class A property and improve it through expansion and renovation,” said Brad Howe, co-CEO of LEI. “We also have the benefit of partnering with CHG, an experienced and respected senior housing property operator.”
St. Augustine Plantation is a best-in-class senior housing community in the Tallahassee market and is currently 97 percent occupied. The community was developed in two phases, the 75-unit assisted living building was built in 1998, and the 25-unit memory care building was built in 2012.
The partners have developed a plan to improve common areas, expand the property by 24 memory care beds and add a wellness center for recreation and rehabilitation that will be managed by Florida State University.
Connecticut Senior Living Community Gets $6.5 Million Grant For Revamp, Expansion
Connecticut’s Center Village senior community was awarded a $6.5 million grant last week from the state Department of Housing.
The grant will partially fund an $18 million project aimed at revamping and expanding senior housing in the area. More from the Hartford Courant:
The grant will help the Glastonbury Housing Authority fund the $18 million project to renovate and expand the senior housing built in 1975. The authority’s plan is to construct a 38-unit, two-story building on the corner of New London Turnpike and Salmon Brook Drive. The plan includes the renovation and expansion of 34 units in six existing buildings from 350 square feet to 650 square feet. Three buildings with 16 units would be demolished along with a community hall.
Construction on the 3.7-acre site will be funded with a combination of low-interest loans and grants from local and state housing authorities. The work will be done in phases with the main building completed first and residents moving in while the remaining units are demolished or renovated. The town has a waiting list of 116 people. The project will begin next spring.
Grandbridge Facilitates Funding of $125 Million Seniors Housing Portfolio
Grandbridge Real Estate Capital’s Seniors Housing and Healthcare Finance Group last month facilitated the acquisition of a $125 million seniors housing portfolio secured by four independent living seniors housing properties across four states.
More info from a release:
Funding for the assumption and supplemental loans was funded through Fannie Mae’s DUS® Seniors Housing loan product.
“Grandbridge was able to underwrite and close $25,000,000 in supplemental loans while simultaneously underwriting and closing $100,000,000 in assumption loans for the existing Fannie Mae loans that Grandbridge originated for the seller several years earlier,” said Senior Vice President Richard Thomas.
“We went from application to closing in 45 days,” said Vice President Meredith Davis.
