Cambridge’s $16.9M Skilled Nursing Closing; Betting on QIPP in Texas [UPDATED]

The Chicago-based Cambridge Realty Capital announced a host of skilled nursing deal closings completed during the fourth quarter of 2020, bringing the lender’s total to $415 million for the year.

The largest of those transactions involved $16.9 million for Manor Court* of Peru, Ill., a campus with 94 skilled beds, 68 assisted living units, and 36 sheltered care beds. Cambridge also landed $9.7 million for the 164-bed Orchard Villa in Oregon, Ohio, and $10.6 million for the 76-bed Hawthorn Inn of Danville, Ill.

In all, Cambridge closed 13 deals with a price tag of $100 million in the final quarter of 2020, a year that saw the company oversee financing for 40 properties with a total of about 5,200 beds.


“It has been anything but a so-called ‘normal’ year, so the fact that we are able to report the numbers we have is both humbling and gratifying,” Cambridge president Jeffrey Davis said in a statement.

The 40 buildings, consisting primarily of nursing home assets, represent the second-highest annual deal volume in Cambridge’s history.

“It’s remarkable, and it speaks to the relative stability of the senior living industry, as well as its importance and necessity,” Davis said.


Blueprint’s QIPP Deal

Blueprint Healthcare Real Estate Advisors recently closed a pair of skilled nursing facility deals, including one with potential Medicaid upside.

The Chicago-based brokerage handled the transfer of the 143-bed Blanco Villa Nursing and Rehabilitation in San Antonio, Texas, on behalf of a real estate investment trust (REIT) looking to find a new operator.

Originally built in 1967, the facility has a four-star rating from the federal government and is located within 10 miles of a trio of regional hospitals.

Blueprint landed on a Houston-area provider to take over the facility, with the goal of increasing census and capitalizing on its enrollment in the Texas Quality Incentive Payment Program, or QIPP — a novel Medicaid program that rewards operators with higher rates for hitting certain performance benchmarks.

The brokerage also closed on the sale of a pair of skilled nursing facilities in Massachusetts: the 106-bed Keystone Center in Leominster and the 96-bed Wachusett Manor in Gardiner.

The facilities’ private-equity owner was seeking an exit after acquiring the buildings as part of a larger portfolio in 2016; Blueprint located a Massachusetts-based ownership group with an operating partner looking to expand in Western Massachusetts.

Plains Negotiates Oklahoma Exit

Plains Commercial Real Estate announced the sale of the Fairland Care Center, a skilled nursing facility in Fairland, Okla.

The Oklahoma City-based Plains Commercial handled the deal on behalf of a longtime owner-operator looking to retire from the sector.

Investment firm Selectis Health purchased the facility, which fit into its existing geographic footprint of health care properties.

Despite closing during the coronavirus pandemic, the facility remained COVID-free throughout the sale process, according to Plains Commercial.

Plains Commercial partner Daniel Morris led the deal for the real estate firm.

Editor’s note: Due to a submission error, a previous version of this story misstated the name of the facility in Peru, Ill.; it is Manor Court of Peru, not ManorCare. SNN regrets the error.

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