Evans Senior Investments (ESI) announced the sale of a 120-bed SNF in New Jersey for $24 million, or $200,000 per bed.
Despite a modern design that included all private or semi-private rooms, the community was not profitable at the time it went to the market, with census averaging 77%, resulting in a net operating loss, according to an ESI press release.
“The competitive bidding process for a community operating at below average margins showcases the strength of the skilled nursing market today,” Henry Fuller, ESI senior associate, said in the press release.
The buyer was an East Coast based owner-operator of skilled nursing communities who wanted to grow their presence in the state.
The community was reportedly at 90% occupancy prior to the pandemic but was not profitable due to high expenses in the housekeeping, dietary and nursing department.
ESI received multiple competitive offers within 15 days of going to market.
HJ Sims Advises on Poydras Homes Expansion Project
Investment bank and wealth management firm HJ Sims announced it closed $23,340,000 in financing for Poydras Homes, a continuing care retirement community in New Orleans, La.
The CCRC includes 64 private nursing care beds, all of which will be replaced with the first certified Green House project in the state in two three-story buildings along with 14 additional assisted living units, according to an HJ Sims press release.
Each home will offer private bedrooms and baths, an open-concept kitchen, dining room, living room, den and outdoor space overlooking gardens.
The deal included $23.34 million financing, which consisted of a $16.50 million taxable draw-down construction loan and a $6.84 million taxable refunding loan.
The loan was reportedly issued with a 25-year principal amortization and 10-year term with a 24-month capitalized interest period. The refunding loan was issued with a 25-year term with a significant rate premium.
Brookdale Northridge Sells in August
California’s Brookdale Northridge sold for an undisclosed amount, Newmark Senior Housing reported in August.
The 160-unit Brookdale Northridge includes 91 assisted living units, 24 home care units and 45 skilled nursing units.
The facility is located in Northridge, Calif.
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