Reliant’s $88M Portfolio Play; $28M HUD Loan for Illinois Facility

Reliant Named as Seller, Operator in $88M Griffin Deal

Affiliates of Reliant Care Management Group sold a portfolio of eight skilled nursing facilities in Missouri to Griffin-American Healthcare REIT IV, Inc., and will stay on as operators going forward.

Griffin-American first announced the $88.2 million deal in June, with the deal closing during the first week of October.

The REIT last week named Reliant Care Management as the seller and ongoing operator of the 1,112-bed portfolio, with the two parties agreeing to a 15-year net lease with a pair of 10-year renewal options.

The Griffin-American real estate investment trust (REIT) is co-sponsored by American Healthcare Investors and Griffin Capital Company.

“[The] Missouri skilled nursing facility portfolio is an exceptional addition to the Griffin-American Healthcare REIT IV portfolio,” Stefan Oh, executive vice president of acquisitions for American Healthcare Investors and Griffin-American, said in a statement. “The facilities enjoy high bed occupancy and 1.8 times year one-rent coverage. Additionally, Reliant Care Management is one of the premier skilled nursing operators in the state of Missouri and a strong new partner for the REIT.”

Griffin-American covered the costs of the deal with cash and revolving credit lines from Bank of America and KeyBank.

The REIT was initially formed in 2016, and has since amassed a portfolio of 58 skilled nursing facilities, senior housing properties, and medical office buildings, according to the company — which also has an active acquisition pipeline of $226.5 million.

Capital One Closes $28.4M HUD Loan

Capital One last week announced the closing of a $28.4 million loan for a supportive living facility in Des Plaines, Ill.

The property, located outside of Chicago, has 71 skilled nursing beds, along with 162 assisted living and 150 supportive living units. Originally built in 1967, the facility’s skilled nursing wing was completed earlier this year.

Joshua Rosen, senior vice president at the McLean, Va.-based Capital One, originated the loan through the Department of Housing and Urban Development’s 232/223(f) program.

“A portion of the property was in a floodway, which would have made it ineligible for the program,” Rosen said in a statement announcing the deal. “By identifying an opportunity to legally change the survey plat to carve out a floodway, we enabled the financing to go ahead.”

Skilled Nursing Double Play in Cincinnati

Blueprint Healthcare Real Estate Advisors arranged the sale of two skilled nursing facilities in Cincinnati on behalf of a family-owned operator.

The 159-bed portfolio was sold to a New York-based owner-operator interested in expanding into the Midwest, according to the Chicago-based Blueprint.

Connor Doherty and Brian Payant led the deal for Blueprint.

Written by Alex Spanko