OWATONNA, Minn. — Blueprint Healthcare Real Estate Advisors has negotiated the sale of Valleyview of Owatonna, an 86-unit assisted living community in Owatonna, 40 miles west of Rochester.
Chicago-based private equity firm HAN Capital sold the asset to an undisclosed buyer for $7.4 million.
Valleyview is positioned as the value-based market provider and its services are supported by Minnesota’s Elderly Waiver and CADI waiver programs that allow for sustainable state reimbursement for income-qualified residents. Having reached its peak occupancy in 2020 with only limited private pay residents, Valleyview was generating approximately $2.7 million and $640,000 in total revenue and EBITDAR, respectively.
“This was a great turnaround opportunity for us to get involved in,” says Alex Turik, general partner at HAN Capital. “We identified a distressed project, prepared a turnaround plan, and chose a local operator to execute it. All in all, we delivered a 3.7 multiple on invested capital over our five-year hold period.”