Eagle Arc’s 20-SNF Purchase; KeyBank’s $40M Financing in New York City

Eagle Arc Partners, formerly known as BM Eagle Holdings, has acquired 20 skilled nursing facilities — the majority of which are located in Florida, along with properties in Georgia and Mississippi.

The price of the sale was not disclosed; two operators who were also not disclosed partnered with Eagle Arc on the sale.

The process itself took several months, but the portfolio itself has held up well overall during COVID, Elliott Mandelbaum, managing partner at Eagle Arc Partners, told Skilled Nursing News.

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Capital Funding Group served as the lender on the deal.

“We felt that these assets … were good long-term assets that we want to hold — very strong markets with very good demographics,” Mandelbaum said. “There’s going to be life after COVID. We’re going to get through it.”

With the deal, Eagle Arc expanded its influence in the skilled nursing world.

The New York City-based real estate investment firm made headlines in 2017 as the buyer in Kindred Healthcare’s $700 million deal to exit the nursing home space entirely. Eagle Arc last year also picked up 28 skilled nursing facilities in Texas and Louisiana, operated by Senior Care Centers, for $282.5 million.

Majestic Care Begins Management of SNF Portfolio as Part of $23M Expansion

Majestic Care, an arm of the New York-based Marx Development Group, began operating the Garden Manor Care Center in Middletown, Ohio, and the Tri-County Care Center in Fairfield, Ohio, both of which were acquired in October, the Dayton Business Journal reported.

Both properties were purchased by David Marx, owner and CEO of MDG, for two limited liability companies; two on-site assisted living centers were included in the acquisition. The communities were previously managed by R&B Health Care Systems, Dayton Business Journal reported.

Financing came partly from a $45.7 million mortgage arranged by Capital Funding Group.

Majestic Care’s footprint includes eight Indiana locations and six Ohio locations, according to the publication.

Ignite’s Kansas City Expansion

Ignite Medical Resorts acquired two SNFs in the Kansas City area, growing to five facilities in the region as a result, the operator announced on November 2.

The facilities, Carondelet Place in Kansas City, Mo., and St. Mary’s Village in Blue Springs, Mo., are both now under the Ignite Medical Resorts brand, but will “retain their faith-based missions,” according to a release.

The St. Mary’s facility is expected to keep its model of all-female memory care, assisted living, and skilled nursing while integrating Ignite’s “LuxeRehab” guest experience, according to the company.

Capital improvements and renovations are planned for the coming months, including an enhanced therapy gym.

“We look forward to bringing our enhanced environment of engaged employee culture, a hospitality-centered focus and superior rehabilitative nursing and therapy care to Carondelet and St. Mary’s,” Tim Fields, the CEO and co-founder of Ignite, said in a statement.

KeyBank Secures $40 Million in Financing for NYC SNF

KeyBank Real Estate Capital secured $40 million in fixed-rate financing to refinance the Margaret Tietz Nursing & Rehabilitation Center in Queens, N.Y.

The SNF, built in 1971 with an addition in 1975, features 170 units and 200 beds.

The financing was done on behalf of “a group of highly experienced investors who own and operate skilled nursing facilities,” according to a press release announcing the loan.

The loan was closed through the U.S. Department of Housing and Urban Development’s (HUD) 232/223(f) mortgage insurance program, structured with a fully amortizing 35-year term.

John Randolph of KBREC’s Commercial Mortgage Group and Henry Alonso of KeyBank’s Institutional Real Estate Group structured the transaction.

Walker & Dunlop Arranges Two-SNF Sale in Montana

Walker & Dunlop Investment Sales (WDIS), the investment sales group of Walker & Dunlop, completed the sale of two SNFs in Montana: the 90-bed Apple Rehab Cooney in Helena and the 70-bed Elkhorn Healthcare & Rehabilitation in Clancy. The sales price per bed was more than $100,000, according to WDIS managing director Tony Cassie.

Cassie and WDIS director Sam Thompson worked on the sale.

Earlier this year, CareTrust REIT (Nasdaq: CTRE) announced that it had added the two SNFs in an off-market transaction of $16.5 million using cash on hand; Eduro Healthcare, which operates 16 SNFs, is slated to be the operator.

Blueprint Announces Role in Sentara Transaction

Blueprint Healthcare Real Estate Advisors announced that it served as advisor to Sentara Healthcare on the sale of its Life Care portfolio, which included 876 total beds in southern Virginia.

Sentara chose Omega Healthcare Investors (NYSE: OHI) to acquire the real estate, which is being leased to Saber Healthcare Group, a longtime operating partner of Omega.

The Norfolk, Va.-based Sentara had sold three SNFs in 2019 and then determined to exit the space to focus on acute care, according to Blueprint’s release.

Alex Spanko contributed reporting.

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