Senior Housing Investments & Transactions: Trilogy Health Services, LTC Properties

NorthStar, Griffin-American Close on $1 Billion Trilogy Acquisition

It’s official—the $1.125 billion acquisition of Trilogy Health Services LLC has been finalized.

NorthStar Healthcare Income, Inc. on Tuesday announced the completion of the acquisition, pursuant to a joint venture with Griffin American Healthcare REIT III, Inc. Under the agreement, Griffin-American will own 70% of the joint venture and act as its manager, while NorthStar Healthcare—a public, non-traded real estate investment trust (REIT)—will own 30%. Trilogy leadership will maintain an investment of about 4% equity interest in the company, according to a news release.

“The completion of the Trilogy acquisition is indicative of our sponsor’s ability to identify and source significant institutional opportunities and the value of its strategic partnership with American Healthcare Investors, the sponsor to Griffin-American,” Ron J. Jeanneault, CEO and President of NorthStar Healthcare, said in a prepared statement. “The strength and cooperation of our two health care platforms was instrumental in sourcing, diligencing and executing on this opportunity for both companies’ shareholders. Trilogy is a successful and respected long-term senior care provider, and this investment further grows and diversifies NorthStar Healthcare’s senior housing portfolio.”

The Trilogy portfolio had been hotly sought after, with Welltower Inc. (NYSE: HCN), formerly Health Care REIT, submitting a competing bid. However, Griffin-American purchased the operating company outright, whereas Welltower focused primarily on Trilogy’s real estate.

The transaction also denotes the end of a joint venture between Trilogy and post-acute and transitional care provider Mainstreet, which had invested in the operations of 15 Trilogy facilities.

Capital One Completes Acquisition of GE Capital’s Healthcare Financial Services Lending Business

Capital One Financial Corporation (NYSE: COF) announced it has completed its acquisition of General Electric Capital Corporation’s Healthcare Financial Services lending business.

The business is set to be combined with Capital One’s existing healthcare banking business to create Capital One Healthcare, a leading provider of financial services to the industry with more than $11 billion in total outstanding balances. The new organization is expected to offer tailored financing solutions that help grow and support organizations, providing financing to companies in a variety of sectors, including senior housing, healthcare services, hospitals, medical offices, pharmaceuticals, medical devices and healthcare IT.

Former president of GE Capital, Healthcare Financial Services, Darren Alcus, has been appointed president of Capital One Healthcare, and will report to Michael Slocum, president of Capital One’s Commercial Bank.

“With today’s announcement, we are excited to formally unite these two strong teams under the new umbrella of Capital One Healthcare,” Slocum said. “Together, we share a common culture and values that reflect our dedication to building strong, lasting relationships with our clients and providing them with exceptional service and the tailored financial solutions they need. With the strength of this combination, we are poised to capitalize on the tremendous growth potential we see in the healthcare sector.”

“This is an exciting opportunity for our entire Capital One Healthcare team and we look forward to continuing to serve and grow with our many customers in the dynamic healthcare marketplace,” Alcus said. “Our new combination truly represents a best-in-class group of industry domain experts and financing professionals, with a proven track record of delivering critical financial solutions for clients across the healthcare spectrum. Together we will offer an even broader array of capabilities to our clients, with the same high level of quality and execution they have come to expect.”

Blueprint Announces $8.5 Million Sale of Assisted Living Community in Littleton, New Hampshire

Blueprint announced the successful sale of a 50-unit assisted living community located in Littleton, New Hampshire, for $8.5 million, or $170,000 per unit.

A California-based, public, non-traded REIT bought the property and leased it back to the seller, who is undisclosed.

Blueprint’s Steve Thomes and Tim Cobb served as lead advisors on the transaction.

Oxton Senior Living Announces the Acquisition of Senior Living Community in Opelika, Alabama

Oxton Senior Living, a leading provider of personal care, memory care and assisted living communities in Alabama and Georgia, announced the acquisition of Cambridge Place in Opelika, Alabama. The senior living community will now be called Oxton Court at Opelika, according to a press release.

Oxton Court at Opelika is a specialty care assisted living community, featuring 32 memory care apartments.

Todd Barker and Dwayne A. Edwards, the co-founders of Oxton Senior Living, are bringing more than 50 years of combined experience to this revitalized senior living community, the press release said. Their aim is to make this community more inviting and comforting for residents.

Senior Care Centers Announces Two Acquisitions Near Fort Worth, Texas

Dallas-based Senior Care Centers has acquired Holland Lake Nursing Center in Weatherford, Texas, and Stonegate Nursing Center in Fort Worth, Texas, for $23 million, effective Dec. 1.

LTC Properties, Inc. (NYSE: LTC) facilitated the transaction by buying the real estate and leasing the two facilities to Senior Care Centers as the operator.

The properties, which together have 254 licensed beds, are set to be added to an existing master lease with Senior Care Centers at an incremental initial cash yield of 8.25%. Rent will escalate yearly by 2.5% through July 2021, and then 3% per year thereafter.

“Stonegate and Holland Lake are staffed by first-rate professionals treating each other with great respect and caring for senior residents as family. They clearly share our high standards for care and are committed to supporting residents in order that they may live their best lives. Our deep commitment to personal and professional development for our employees will only enhance the care the more than 200 residents at these locations receive,” said Mark McKenzie, president and CEO of Senior Care Centers.

“We are thrilled to welcome the staff and residents of Stonegate and Holland Lake into the Senior Care Centers family, and we anticipate a seamless transition,” McKenzie continued. “This is our first location in Weatherford, as well as our first inside the loop in Fort Worth, and we look forward to meeting all our new neighbors and establishing strong ties to the communities there.”

Senior Care Centers provides care to over 10,000 residents throughout Louisiana and Texas and employs more than 12,000 people. The company operates and manages over 90 skilled nursing facilities and more than 10 independent/assisted living facilities.

“We are pleased to be expanding our relationship with Senior Care Centers, an important and long-standing LTC operating partner,” LTC Chairman and CEO Wendy Simpson said. “Over the last five years, we have made gross investments totaling approximately $140 million with Senior Care, contributing to our growth and enhancing the quality and average age of our portfolio.”

Trilogy Health Services Announces Acquisition of The James B. Haggin Memorial Hospital Extended Care Facility

Louisville, Kentucky-based Trilogy Health Services, LLC, a provider of senior health and hospitality services, announced the acquisition of the Extended Care Facility at The James B. Haggin Memorial Hospital in Harrodsburg, Kentucky, effective Dec. 1.

The purchase agreement includes the Extended Care Facility operations and beds only. Financial terms were not disclosed.

The location, which been renamed The Willows of Harrodsburg, joins Trilogy’s two other Lexington, Kentucky, properties—The Willows at Citation and The Willows at Hamburg—in serving seniors in Central Kentucky.

The Willows at Harrodsburg is Trilogy’s 97th senior community in the four-state region of Indiana, Kentucky, Michigan and Ohio.

Trilogy said it expects to operate the facility in the current location and then transfer the extended care operations to a newly constructed Trilogy prototype health campus within the next two years. Site selection is currently ongoing.

Trilogy communities offer a full range of personalized senior living services, from independent and assisted living, to skilled nursing and rehabilitative services in 97 senior living communities throughout Indiana, Ohio, Kentucky, and Michigan. Trilogy’s senior living services are delivered by staff specially trained to honor and enhance the lives of our residents through compassion and commitment to exceeding customer expectations. For more information about Trilogy Health Services, visit

The James B. Haggin Memorial Hospital is a 25-bed critical access hospital that has been serving the Mercer County, Kentucky, community for more than 100 years. The Extended Care Facility, which is recognized by Medicare as a Five Star skilled nursing facility, was established in 1991 and is located on the second floor of the hospital.

Senior Living Investment Brokerage, Inc. Sells an Illinois SNF for $13,372,642

Ryan Saul of Glen Ellyn, Illinois-based Senior Living Investment Brokerage Inc. facilitated the sale of The Tillers, a 106-bed skilled nursing facility in Oswego, Illinois, for $13,372,642.

According to Senior Living Investment Brokerage, The Tillers is a top-rated skilled nursing facility, as shown by 69% Medicare and 29% Private Pay census. The community, built in 1972, features in-house therapy, a staffing company and adjacent homes/parcels for future expansion.

The contract price totaled $13.5 million, but based on a census going from 93% to 85% at the time of sale, the final sales price was adjusted by $127,358. At the time of the contract, overall occupancy was at 93% on 100 operational beds.

The purchaser, Symphony Post Acute Network, is based in Illinois. Symphony’s long-term plan is to complete an expansion with all private suites to maintain the quality mix and expand the Medicaid program.

The seller was a family-owned business seeking to exit the long-term care industry.

HFF Closes Sale of 6-Property, Multi-State Seniors Housing Portfolio

Holliday Fenoglio Fowler, L.P. (HFF) announced that it has closed the sale of a six-property seniors housing portfolio with 596 total units located in Michigan, Washington, D.C., Philadelphia and Southern California.

HFF marketed the portfolio exclusively on behalf of the seller, a joint venture between Capitol Seniors Housing and The Carlyle Group. The buyer, ROC Seniors Housing Fund Manager, LLC, acquired the portfolio free and clear of existing debt.

The portfolio features 329 assisted living, 114 independent living, 136 memory care and 17 skilled nursing units. The properties in the portfolio are: Raincross at Riverside in Riverside, California; Crown Cove in Corona Del Mar, California; Whittier Place in Whittier, California; Arbor Terrace at Chestnut Hill in Philadelphia; Regent Street of West Bloomfield in West Bloomfield, Michigan; and The Residences at Thomas Circle in Washington, D.C. Overall, the portfolio is 89.1% leased.

The HFF investment sales team representing the seller was led by Managing Directors Chad Lavender and Ryan Maconachy along with Senior Managing Director Gerry Rohm.

Rittenhouse Senior Living in Hoover, Alabama, Sold for $11.1 Million

A Rittenhouse Senior Living property in Hoover, Alabama, was recently sold for $11.1 million, the Birmingham Business Journal reported.

A public record filing revealed that Windsor Healthcare Equities LLC sold the property to Dover, Delaware-based Birmingham Senior Housing I PropCo LLC. Rittenhouse Senior Living of Hoover provides dementia and Alzheimer’s care for seniors.

According to its website, Rittenhouse Senior Living owns and operates independent, assisted living and memory care communities in Indiana, Pennsylvania and Alabama, though the community in Hoover was its only community in Alabama.

Auctus Capital Partners Buys 99-Unit Seniors Housing Community in California

Auctus Capital Partners has acquired Chateau at Carmichael Park, a 99-unit independent living, assisted living and memory care community in the Sacramento suburb of Carmichael, California.

The purchase price was undisclosed.

Cushman & Wakefield Senior Housing Capital Markets arranged the first mortgage acquisition financing for San Diego-based Auctus, a private real estate firm. San Francisco-based lender Owens Financial provided the loan.

Chateau at Carmichael Park is a two-story community that was built in 1975. Auctus expects to make physical improvements to both the exterior and interior of the building. Integral Senior Living is set to serve as the operator of the community.

Cushman & Wakefield Senior Director Aaron Rosenzweig arranged the transaction.

Written by Mary Kate Nelson