be.group and ABHOW Affiliation Approved in California
The formal affiliation of be.group and American Baptist Homes of the West (ABHOW), two of California’s leading non-profit senior housing providers, has been approved by state regulators, completing the previously announced unification. The two organizations have officially combined and are now the state’s largest non-profit provider and the sixth largest non-profit provider in the nation.
The plans were announced last July. The newly unified organization provides continuing care, affordable housing, assisted living and memory care to nearly 10,000 residents in 84 communities in California, Arizona, Nevada, Washington, Oklahoma and Idaho.
John Cochrane, president and CEO of be.group, will lead the new organization as president and CEO. ABHOW’s former CEO, Dave Ferguson, will transition into an advisory role.
ABHOW and be.group have become part of the Cornerstone Affiliates family of companies, which include Beacon Communities, Inc. and Seniority, Inc. Cornerstone Affiliates and California Life Plan Communities, a holding company, will provide strategic planning oversight with an integrated focus continuing care retirement communities (CCRCs), affordable housing and middle-market housing and services.
Hines and Welltower Acquire NYC Development for $115 Million
Welltower Inc. (NYSE: HCN), a health care real estate investment trust (REIT), and its development partner Hines purchased a development site in New York City’s East Side for $115 million to build an assisted living facility.
The development is the first venture for Hines in the senior housing sector. Existing sites on the lot will be demolished for the construction of the 15-story senior living community.
Peter Hauspurg, Brain Ezratty, Ronald Solarz and Adelaide Polsinelli from Eastern Consolidated represented the sellers.
Chartwell Acquires Luxury Ottawa Residence
Chartwell Retirement Residences (TSX: CSH.UN), the largest owner and operator of seniors housing in Canada, has acquired Lord Lansdowne Residence, a 127-suite residence located in Ottawa, Ontario.
The aggregate purchase price was $68.4 million, with the assumption of a $22.1 million mortgage bearing interest at 4.56% and maturing March 1, 2020. The closing of the transaction is expected to occur June 1, 2016.
The residence was built in 2007 and is located in Glebe neighborhood. It includes a dedicated assisted living floor with 24 suites and features a penthouse lounge with unobstructed views of the Rideau Canal, a theatre, exercise room, library, hair salon and piano lounge. The property is currently 88% occupied. Chortle expects to generate a first year unlevered yield of 6.6%.
MedOptions Acquires Vericare
MedOptions, the nation’s largest outsourced provider of behavioral health services to skilled nursing and assisted living facilities, has entered into a definitive agreement to acquire San Diego-based Vericare, the second largest behavioral health clinical care provider in the United States.
Together, the combined business will become the sole national provider of outsourced behavioral health services to long-term care facilities, serving more than 180,000 beds across more than 1,500 facilities.
Both companies provide a similar integrated behavioral care model to deliver services to seniors through an interdisciplinary team of clinicians, including a psychiatrist (MD), clinical psychologist (PhD), specialized nurse practitioner (APRN) and clinical social workers (LCSW). Teams serve patients with a range of mental health needs, including those with cognitive or memory impairment.
MedOptions uses clinical care maps to reduce the use of antipsychotic medications often used with elderly in long-term care. This approach aims to reduce hospital re-admissions and may enable patients to transition to care in home settings. The transaction is scheduled to be completed in late May 2016.
Civitas Senior Living Acquires Two Texas Senior Living Communities
Civitas Senior Living, a Fort Worth, Texas-based senior living developer and operator, acquired two senior living communities in East Texas for an undisclosed price.
Dallas-based Abby Development was the owner and developer of the communities in 2015 and 2016. The combined communities add 314 units to the Civets Portfolio, which holds more than 20 properties in Texas. Arabella of Longview includes 132 independent living apartments, 20 independent living cottages, 50 assisted living apartments and 32 memory care apartments. Arabella of Athens includes 12 independent living cottages, 34 assisted living apartments and 21 memory care apartments.
Both communities will be managed by Civitas under the leadership of Wayne and Misti Powell.
Written by Amy Baxter