[Updated] Columbia Pacific Advisors to Purchase 79-Property Hawthorn Portfolio

A familiar face in the senior housing industry is making yet another splash with a newly announced acquisition.

Seattle-based senior housing investment company Columbia Pacific Advisors, founded in part by Emeritus Co-founder Dan Baty, has moved to purchase Vancouver, Washington-based senior living developer, operator and owner Hawthorn Retirement, the company announced Monday. The deal includes Hawthorn’s 55 existing communities as well as 24 communities under development.

Baty co-founded and served as the chairman of Emeritus Corp. until its merger with Brookdale Senior Living (NYSE: BKD) in 2014.

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The deal is anticipated to close later this summer. The purchase price was not disclosed.

Hawthorn was the 25th largest senior housing owner in the country as of June 1, 2016, according to annual rankings compiled by the American Seniors Housing Association (ASHA). The company currently owns and operates 55 existing senior housing communities in 20 U.S. states and two provinces in Canada. The firm’s 24 communities under development include those in pre-development or under construction.

As part of the deal, Columbia Pacific Management is also set to purchase Hawthorn’s construction and management businesses.

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The principal owners of Hawthorn include Norm Brenden, Pat Kennedy, Bart Colson and Brad Colson.

Dan Baty and Bill Colson—Brad and Bart’s father—were the the primary owners of Holiday Retirement before its 2007 sale to Fortress Investment Group. Baty acted as Holiday’s chairman from 1987 to 2007.

“We are buying what we believe to be one of the best senior living companies ahead of a huge and quickly approaching demographic trend of an aging U.S. population,” Columbia Pacific Advisors co-founder and Managing Partner Alex Washburn said in a press release. “The Hawthorn platform consists of high quality properties and a substantial pipeline of opportunity with the right operator to meet head-on the trends and challenges of the senior living industry.”

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Post-acquisition, the Hawthorn communities will continue to operate under their current names, and Hawthorn’s management team will remain in place, Columbia Pacific Advisors told Senior Housing News.

“We are not anticipating any other significant staff changes,” the company added.

Funds managed by Columbia Pacific Advisors have acquired ownership interests in or developed more than 300 senior housing communities over the past decade, including pursuits overseas in China and India.

Written by Mary Kate Nelson

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