AdCare Property Holdings, LLC—a wholly owned subsidiary of AdCare Health Systems, Inc.—announced last week it has entered into an agreement with Avalon Health Care, LLC to acquire two skilled nursing facilities (SNF) for $28 million.
The Nashville-based facilities that are being acquired include a 180-bed facility known as Bethany Health and Rehab, and a 240-bed facility known as Trevecca Health and Rehab.
The agreement includes certain land, buildings, improvements, furniture, vehicles, contracts, fixtures and equipment associated with each of the facilities.
The purchase price consists of $25 million in cash and $3 million in promissory note issued by AdCare Holdings.
In addition to payment of the purchase price, AdCare has also agreed to assume certain contracts and liabilities of Avalon and purchase the medical equipment necessary to operate the facilities from an affiliate.
The closing of the Avalon purchase is expected to occur on March 31, 2013.
Written by Jason Oliva