Greystone on Monday formally announced its takeover of 13 properties from the federal government, marking a new chapter for the much-publicized Rosewood Care Centers portfolio.
The New York City-based investment firm installed an operational affiliate, Greystone Healthcare Management-Midwest, as the operator of the former Rosewood buildings in Illinois and Missouri, which include 12 skilled nursing facilities and a supportive living property.
The Midwest entity, in turn, is an affiliate of Greystone Healthcare Management Corp., which currently runs 30 health care properties in Florida.
“Greystone has decades of experience in the skilled nursing industry, and our priority has always been the quality of care we provide to residents,” Greystone Healthcare Management Corp. CEO Stephanie Handelson said in a statement. “We believe we bring the best combination of expertise and operational oversight to the market. Greystone is excited to be expanding its footprint as a high-quality care provider to both Illinois and Missouri.”
The Rosewood properties were under the temporary ownership of the Department of Housing and Urban Development (HUD), after the previous owner defaulted on $146 million in government-backed loans — a record-setting loss covered extensively in the New York Times.
The Times first reported the Greystone takeover in early January, though the investment firm did not publicly comment on the transaction at the time.
Greystone did not disclose the purchase price of the properties, but the Times last month reported that the 1,662-bed portfolio was valued at $95 million by HUD, which also put $30 million into renovating the properties since August 2018.
A HUD spokesperson told SNN that the purchase price is not listed in any public records, “ours or otherwise.”
In order to handle the influx of new properties, Greystone Healthcare Management hired Vince McGowen as a senior vice president of operations; McGowen has more than 25 years of experience in the health care industry, according to the operator.
Thus far, Greystone has scrubbed the “Rosewood Care Centers” branding from the 12 skilled nursing facilities, each of which now has a new name; Foxes Grove Supportive Living of Wood River, meanwhile, will retain its former name.