CINNAMINSON TOWNSHIP, N.J. — Capitol Seniors Housing has acquired Siena, an upscale active adult community in Cinnaminson Township, located across the Delaware River from Philadelphia. The price was not disclosed. Capitol plans to continue an existing master plan for the community, which includes the construction of a new clubhouse and seven residential buildings offering a total of 119 new units. The project will more than double the existing 85 units. The community sits on a 15-acre plot across the street from a large retail development. Residents must be age 55 or older to live at Siena. The expansion project is scheduled to begin this summer. The clubhouse will open in early 2019, followed by the residential buildings in mid-2019. Cove Property Management will operate the community. This is Capitol’s fourth seniors housing property in New Jersey, with three more currently under construction.
LOS ANGELES — KFA, a Santa Monica-based architecture firm, has started construction of The Curve @ West Angeles Senior Apartments, an affordable community in the Park Mesa Heights neighborhood of Los Angeles. The development is a project of West Angeles Community Development Corp. and Related Cos. of California. The 52,777-square-foot, five-story building consists of a total of 70 apartments reserved for seniors, with 40 low-income units, 29 very-low-income units, and 1 market-rate manager’s unit. The development is located just two blocks north of the Crenshaw/Slauson Station in Park Mesa Heights, which is currently under construction and slated to open in 2019.
PHILADELPHIA — Blueprint Healthcare Real Estate Advisors has brokered the sale of the Lightning Portfolio, eight skilled nursing facilities in the Philadelphia metro area. The seller sought to divest the non-core assets, which featured a concentration of high-barrier-to-entry locations in the Philadelphia area. The buyer was a regional owner-operator looking for a growth opportunity. The portfolio totals 1,050 beds. The price and names of facilities were not disclosed. Blueprint’s Ben Firestone, Christopher Hyldahl, Michael Segal and Gideon Orion led the transaction
CHICAGO — What are the limitations of a market study? In light of overbuilding concerns in some major metros, it’s a salient question. J.P. LoMonaco, president of Valuation & Information Group, moderated a panel discussion on the impact of market studies on new development during the InterFace Seniors Housing Midwest conference in June. The textbook definition of a market study is a comparison of supply and demand within a defined geographic area. It is a risk-assessment tool. Rick Banas, vice president of development and positioning at Gardant Management Solutions, considers a market study to be a snapshot in time that can help an owner or operator formulate strategies for developing a community. “[A market study] helps you identify red flags, caution flags. It may provide a green light, but it is not the only element that can give you an indication whether a project is a go, no go, or whether it is going to be successful,” said Banas. Dave Erickson, vice president of real estate development for the Ryan Cos., said one step he takes early on in the market study process is to mesh the National Investment Center for Seniors Housing & Care (NIC) data on supply and …
HAPPY VALLEY, ORE. — Co-developers MorningStar Senior Living and Confluent Senior Living have broken ground on MorningStar of Happy Valley in the Portland suburb of Happy Valley. The three-story, 83,300-square-foot property will feature 61 units of assisted living and 27 units of memory care. Located on two acres, the community is scheduled to open in summer 2019. This is the second seniors housing project in the Portland metro area for the joint venture, and the 12th overall. Local firms involved in the project include LRS Architects and LCG Pence Construction. Thoma-Holec Design, based in Mesa, Ariz., will serve as interior designer.
WINDHAM, CONN. — Contemporary Healthcare Capital has arranged a $1.5 million mezzanine loan, part of a $6.2 million total acquisition financing for a skilled nursing facility in Windham. Located approximately midway between Hartford and Providence, R.I., Douglas Manor includes 90 licensed skilled nursing beds. The borrower, affiliates of Ryders Healthcare Management, is acquiring the property out of receivership. The new owner plans to use the financing package to implement $1.6 million in capital improvements to the property. The senior lender on the transaction was CoastalStates Bank.
TUKWILA, WASH. — Alliance Residential Co., one of the largest multifamily developers and managers in the country, has broken ground on Marvelle at Southcenter, an active adult community in the Seattle suburb of Tukwila. The 166-unit community marks the launch of Alliance’s active adult brand, Marvelle. The developer noted that baby boomer demand has been strong at its standard multifamily communities, leading it to start building age-restricted properties. Besides the age restrictions, the Marvelle community will also offer 13,000 square feet of indoor amenity space, more than double the common space at its standard apartment complexes. It is also a transit-oriented development and located near the Southcenter area’s many restaurants, retail shops and medical facilities. Urbal Architecture designed the seven-story, 235,828-square-foot property. Apartments range from 500 square feet to more than 1,200 square feet. The community is scheduled to open in fall 2019.
WALL TOWNSHIP, N.J. — Sitar Realty Co. has brokered the $2.2 million sale of 2538 Belmar Boulevard, a 27-unit apartment building designated for seniors in Wall Township. Robert JanTausch and Ronald Schrader Jr. of Sitar represented the seller, the original developer, in the all-cash transaction. They also represented the undisclosed buyer. The two-story building was built in 1992 and is currently deed restricted for senior citizens. The property is being rebranded as Allaire Apartment Homes after interior renovations are completed.
LONG ISLAND, N.Y. — Carnegie Capital has arranged a $24 million bridge loan to refinance a two-story skilled nursing and assisted living facility along the North Shore of Long Island. The borrower is a local owner-operator that has managed the property for over a decade. The community includes 324 licensed beds. The name of the facility was not disclosed. The two-year loan will restructure operating debt and fund a rehabilitation of the upper level. The note features a fixed rate with a flexible exit after the first year to give the owner the option to either refinance or dispose of the asset. JD Stettin of Carnegie Capital arranged the financing. A private bridge fund provided the capital.
Billy Meyer, managing director of Seattle-based Columbia Pacific Advisors, doesn’t mince words when talking about the bridge lender’s cautious approach to financing seniors housing product today. “We don’t underwrite hope as a strategy anymore. It’s just not a good execution strategy, we believe.” Against the backdrop of elevated levels of construction, rising interest rates and operational challenges in seniors housing, Columbia Pacific Advisors is scrutinizing operators heavily before providing funding. “We’re bridge lenders. That is all that we do. Our average loan is 19 months. It’s a short horizon of how far away our exit is, so we need to make sure that [pathway] is very real and clear,” said Meyer. Meyer’s insights on the loan underwriting process came during InterFace Seniors Housing Midwest on Thursday, June 7. The one-day event, which took place at the recently opened four-star Marriott Marquis Chicago at McCormick Place, drew 372 professionals from across the region. Panel discussions focused on everything from design to development to growth strategies for operators, in addition to the state of the capital markets. Moderated by Mike Taylor, senior vice president and group manager for healthcare lending at First Midwest Bank, the capital markets panel also included Ari Adlerstein, …