Fundamental Advisors Sell Stake in Chicago Senior High-Rise
New York City-based Fundamental Advisors has reportedly sold its 75% stake in the 53-story property at 55 E. Pearson St. to LCS of Des Moines, IA and Senior Care Development of Harrison, NY.
CHICAGO—A majority stake in high-rise The Clare senior continuing care community on Pearson St. here has changed hands.
New York City-based Fundamental Advisors has reportedly sold its 75% stake in the 53-story property at 55 E. Pearson St. to LCS of Des Moines, IA and Senior Care Development of Harrison, NY. No financial terms of the transaction were disclosed.
The Wall Street Journal first reported the transaction and multiple s published reports value the property at approximately $105 million.
BMO Harris is providing debt financing in connection with the deal, according to a report in Senior Housing News.
Fundamental, in partnership with Senior Care Development and LCS acquired The Clare in a bankruptcy court auction in 2012 and brought this once highly-distressed asset to profitability, raising occupancy from 34% to 98%.
“Our team is proud to have transformed The Clare into a thriving community, and we are confident that the facility will continue to be in great hands under the ownership of LCS,” says Laurence Gottlieb, chairman and CEO of Fundamental. ”
“ The Clare is a premier asset that is a natural fit with our existing portfolio, and reinvesting in the community aligns with our principle of keeping a long-term perspective,” said Joel Nelson, President and CEO of LCS, which now is the majority investor in the 334-unit property.
Senior Care Development will have a continuing role in the community’s operations as well as a minority investment moving forward, according to David Reis, CEO of SCD.
The Clare offers personalized healthcare, three on-site restaurants, a state-of-the-art health and wellness center, art and computer rooms, a library and a business center. The community also provides residents with social activities including music, art, and theater, as well as lectures from The Clare’s partnerships with Loyola University, Northwestern University’s Osher Lifelong Learning Institute and the Center for Life and Learning at Fourth Presbyterian Church. The community has six floors dedicated to rehabilitation, respite care, skilled nursing, assisted living and memory care and maintains a 5-star quality rating awarded by the Centers for Medicare & Medicaid Services.