CIBC Bank Closes Acquisition Financing on 2 SNF Deals; ESI Gets $99M For LTC Community

CIBC Bank USA closed $20.2 million in acquisition financing for two facilities in central Ohio. The facilities included 199 skilled nursing and 27 assisted living beds.

The bank also provided a $2 million revolving line of credit that will be used to support the post-acquisition working needs of the facilities.

In the Ohio deal, the local seller reportedly decided to divest a portion of their senior housing assets as the historical performance had been stable.

The buyer is hopeful of further improvement due to increased reimbursement and improved census.

The bank also closed on a $91 million acquisition loan for eight SNFs across Georgia. The overall portfolio, which included 826 beds, received a three-year mortgage.

CIBC’s Daniel Forrer handled the Ohio transaction and Adam Panos closed on the Georgia deal.

ESI Helps Sell Skilled Nursing and Senior Living Portfolio in Louisiana for $99M

Evans Senior Investments announced the sale of a five community long-term care portfolio in Louisiana through three separate transactions as the former owner/owner exited the space.

The combined purchase price for all three transactions was $99 million or $137,000 per functional bed/unit. Four of the five communities were built between 1996 and 2011 and the majority of beds are private resident rooms, according to the news release.

The first tranche of the portfolio consisted of one skilled nursing community located in Rayne, La. The community was licensed for 130 skilled nursing beds and had an additional 54 skilled nursing beds that could be used for future expansion.

At the time of marketing the average census was 71% with revenue of $8,500,000 with a net operating income of $1,100,000 or a 13% net operating income margin. The ESI team ran a selective and confidential marketing process ultimately securing a regional owner/operator looking to grow their skilled nursing presence in the state of Louisiana. The community sold for $14 million or $108,000 per functional bed.

The second tranche of the portfolio consisted of a standalone skilled nursing community located in Baton Rouge, La. At the time of marketing, the average census for the community was 68% with revenue of $6,500,0000 and net operating income of $1,100,000. ESI sold the community to a regional owner/operator for $12 million or $91,000 per bed.

The final transaction of the portfolio represented three skilled nursing communities with a small assisted living component. The portfolio consisted of 428 skilled nursing beds, 32 assisted living units and 56 skilled nursing beds for a future expansion opportunity. Additionally, one of the communities had just opened a ventilator unit and dialysis program which is expected to add additional reimbursement revenue for the new operator. At the time of marketing the portfolio had a census of 83% with revenue of $36.5 million and net operating income of $6.8 million. A regional owner/operator looking to enter the Lafayette, Louisiana market purchased it for $73 million or $159,000 per functional bed/unit.

“This tranche of the portfolio matches the highest price per bed skilled nursing transaction ever sold in the state of Louisiana. The matching transaction was also sold by the ESI team earlier this fall,” ESI Senior Associate Henry Fuller said in the news release.

ESI received 20 letters of intent for the community.

“This transaction represented a strategic opportunity for each buyer to expand their footprint in Louisiana,” ESI CEO Jeremy Stroiman said in the news release.

Ziegler Lands $52M Bridge Loan

Specialty investment bank Ziegler announced it closed a $52 million bridge loan for Island Paradise Investments, doing business as Kalakaua Gardens, to refinance the existing debt on a 208-bed, 164-unit continuing care retirement community in Honolulu, Hawaii.

Situated close to several hospitals and medical clinics, the community was built with inviting open spaces that offer 360-degree views of the island and offers independent living, assisted living, skilled nursing and memory care services.

SLIB Sells Skilled Nursing Community For $4.25M

Senior Living Investment Brokerage ended 2021 with a $4.25 million sale of a skilled nursing community with assisted living in Georgetown, Ind.

The community, The Villas of Guerin Woods, consists of eight individual “small houses”. Seven of the small houses are skilled nursing and include 10 private rooms.

The buyer is a private, regional company with 14 other communities in the state.

“This transaction offered the buyer a unique skilled nursing operating platform of separate, private villas with private rooms,” SLIB Managing Director Ryan Saul said in the news release. “COVID has operators looking for alternative solutions to provide services to residents. The private villas at this community met this need.

Saul and SLIB Senior Vice President Nick Cacciabando handled the transaction.

This news is republished from another source. You can check the original article here

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