IRVINE and WESTLAKE VILLAGE, Calif. — As publicly traded REITs in the seniors housing space continue to brace for the impact of the COVID-19 pandemic, Irvine-based Sabra Health Care REIT (NASDAQ: SBRA) and Westlake Village-based LTC Properties (NYSE: LTC) have announced cash-saving methods. Sabra plans to cut its quarterly dividend from 45 cents per share to 30 cents per share, starting in May. The company expects to generate an extra $30 million per quarter, with plans to use those funds to manage debt and fund operations. “Preservation of capital is …
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Dougherty Mortgage Provides $15.9M HUD Loan for Trinity Affordable Community in Minneapolis
by Jeff Shaw
MINNEAPOLIS — Dougherty Mortgage has provided a $15.9 million HUD 221(d)(4) loan for the rehabilitation of Trinity Apartments, a 120-unit affordable senior housing property in Minneapolis. All units at the eight-story building are restricted to heads of household over age 62 and are covered by a Project-Based Section 8 HAP contract. The borrower is Trinity Limited Partnership. The property will receive $6.7 million ($56,000 per unit) in renovation work, including dwelling unit and community space upgrades. In addition to the HUD-insured first mortgage, the project utilized Low Income Housing Tax …
NORTHPORT, Ala. — Senior Living Investment Brokerage (SLIB) has arranged the sale of Brookdale Northport, a seniors housing community in Northport, a suburb of Tuscaloosa. Built in 1999, the community features 68 assisted living units and 10 memory care units on a four-acre plot. A Mid-Atlantic-based owner-operator acquired the community, its second in the state, with plans to implement renovations. The seller and price were not disclosed. Bradley Clousing, Jeff Binder and Patrick Burke of SLIB handled the transaction.
WASHINGTON, D.C. — As the COVID-19 pandemic puts a strain on seniors housing operators, especially with the bad press brought on by 35 deaths from the virus at a single skilled nursing facility in Kirkland, Wash., the associations serving seniors housing have kicked lobbying efforts into high gear. The three main groups are the American Seniors Housing Association (ASHA), a Washington, D.C.-based organization supporting the seniors housing industry; Argentum, an Alexandria, Virginia-based trade association dedicated to supporting companies operating professionally managed senior living communities; and Washington, D.C.-based LeadingAge, which advocates …
Mountain West Commercial Brokers Sale of Seniors Housing Development Site in Ogden, Utah
by Jeff Shaw
OGDEN, Utah — Mountain West Commercial Real Estate has arranged the sale of a commercial land parcel located at 2961 S. Washington Blvd. in Ogden. Ogden No. 1, dba Flower Patch, sold the asset to Slow BLVD LLC for an undisclosed price. The land parcel currently features a vacant retail building. The buyer plans to develop a low-income seniors housing property on the two-acre site. The 78-unit proposed development has received Utah low income housing tax credits. Chris Monson of Mountain West represented the seller in the transaction.
GERMANTOWN, Tenn., and OLIVE BRANCH, Miss. — Greystone has provided a total of $29.4 million in HUD-insured loans for two affiliated senior living facilities in Tennessee and Mississippi. In the first transaction, Greystone executed a $12.2 million loan for Germantown Plantation Senior Living. The 106-unit community is located in Germantown, a suburb of Memphis, and offers assisted living services. The HUD 232/223(a)(7) loan, which is the refinancing of an existing HUD loan, features a 40-year term and amortization. In addition to refinancing existing debt at a lower rate, the loan …
IRVINE, Calif. — Healthpeak Properties (NYSE: PEAK), the Irvine-based healthcare REIT formerly known as HCP, released a presentation to its investors this morning updating them on the company’s approach to the COVID-19 pandemic. Healthpeak confirmed that there are confirmed cases in seven of its seniors housing communities, of which six are managed by either Sunrise Senior Living or Atria Senior Living. “In each of the affected communities, rigorous quarantine and isolation procedures have been implemented in close cooperation with local and state health authorities,” stated the presentation. “Regrettably, five residents who …
WEST JORDAN, Utah — Dwight Capital has provided a $4.3 million HUD 232/223(f) loan for Beehive Homes of West Jordan, a 50-bed assisted living facility in West Jordan. The property sits on over 1.5 acres and is less than a mile from Jordan Valley Medical Center. Kevin Lifshitz of Dwight Capital originated the loan, which refinances existing debt.
Contrary to speculation that families are removing their elderly loved ones from seniors housing in fear of the COVID-19 pandemic, a new survey reports that 79 percent of operators saw no significant changes in move-outs last week and no significant changes in occupancy. Activated Insights, the senior care group of Great Place to Work, conducted the survey of private-pay seniors housing operators representing 1,078 buildings and 100,899 units. Several U.S. operators noted that sales and marketing activities including all move-ins have been halted completely during the pandemic. Other operators continued …
REIT Roundup: Omega to Repurchase $200M in Stock, Welltower Receives $1B Loan, SNR Reports COVID-19 at Two Communities
by Jeff Shaw
As seniors housing REITs make quick moves to respond to the COVID-19 pandemic, several have announced changes to both protect shareholders and residents. For example, Omega Healthcare Investors (NYSE: OHI) has authorized a stock repurchase program totaling up to $200 million; Welltower (NYSE: WELL) has taken on a new $1 billion term loan; and New Senior Investment Trust (NYSE: SNR) has updated plans to contain the outbreak in two of its communities. OHI describes its move as a way to “enhance stockholder value and balance sheet,” as the company’s stock …