The Ensign Group, Inc. (Nasdaq: ENSG) acquired the real estate and operations of the 82-bed skilled nursing facility The Medical Lodge of Amarillo in Amarillo, Texas, effective November 1.
Kevin Niccum, President of Keystone Care LLC, Ensign’s Texas-based subsidiary, said in a release announcing the deal that the company expects the facility to be accretive to earnings in 2021; the SNF had 45% occupancy at the time of the acquisition.
“This acquisition broadens our existing operational base in the important Amarillo market,” Ensign CEO Barry Port said in a statement. “The combination of this facility along with our existing operations in the area further enhances our ability to continue to provide high quality healthcare services and strengthens our existing operating synergies.”
Ensign’s portfolio grew to 227 healthcare operations across 13 states through the transaction.
Philadelphia Non-Profit SNF Sells to Imperial Healthcare Group
The non-profit Abramson Senior Care sold its 324-bed nursing home, Abramson Center for Jewish Life, to the for-profit firm Imperial Healthcare Group, The Philadelphia Inquirer reported October 29.
The facility in Horsham Township, near Philadelphia, received seven bids, but none were from non-profits, Abramson president and CEO Carol Irvine told the Inquirer. The sale price was not disclosed.
Imperial Healthcare Group is based in Lakewood, N.J. Chaim “Charlie” Steg, the CEO, is part owner of 11 nursing homes in Pennsylvania, including seven in the Philadelphia area, according to the Inquirer; many were formerly operated by the Kennett Square, Pa.-based Genesis Healthcare Inc. (NYSE: GEN).
Steg first appears in federal SNF ownership data in 2018. Five of his facilities have 1-star ratings on the Centers for Medicare & Medicaid Services (CMS) Nursing Home Compare ratings, but the Inquirer noted the short ownership period could be a factor.
“He’s bought pretty distressed facilities and it takes about two years to start turning quality improvement with the five-star rating,” Irvine told the Inquirer.
She said the Horsham facility accounted for $30 million to $35 million of Abramson’s $70 million in annual revenue; Imperial will also take over a 48-apartment personal care facility on the nursing home’s campus. Abramson is under agreement to keep offering hospice, home care, care advisers, and some physician services on campus, according to the Inquirer.
Imperial agreed to hire about 350 of the 400 employees on the campus, including 92% of direct care staff, Irvine told the Inquirer.
Walker & Dunlop Secures $38.4M in Financing for Four SNFs in Illinois
Commercial real estate finance company Walker & Dunlop structured $38.41 million in financing for four SNFs in Illinois: the 69-bed Aperion Care Plum Grove in Palatine, the 112-bed Pavilion of Waukegan in Waukegan, the 112-bed Park View Rehab Center, and the 203-bed River View Rehab Center in Elgin.
Walker & Dunlop’s team used the Department of Housing and Urban Development’s (HUD) 232/233(f) program to refinance three of the properties, while the 223(a)7 program was used for Pavilion of Waukegan.
Both programs provide long-term and reduced-rate financing for specialty health care facilities.