Syndicate Sells 215-Unit Senior Housing Facility

MARGATE, FL-The Regency Residence, a 215-unit independent and assisted living facility at 5600 Lakeside Dr., sold for just under $13.9 million or about $64,547 a unit. The seller is a limited partnership syndicated across more than 100 investors, including members of the Texas-based original developer of the property, according to Bruce Gibson, first VP with CB Richard Ellis’ senior housing services group, who is based in the firm’s Miami office.

The buyer is a private investor who is leasing the facility to San Ramon, CA-based Summerville Senior Living, which will manage the property and handle the leasing of individual units. “The previous owners’ management firm was an operator of traditional multifamily housing,” Gibson says. “Because Summerville operates many such facilities nationwide, it will achieve economies of scale.” The

Gibson says, “there’s a lot of demand for quality senior housing product, and this transaction represents a pretty aggressive price, given the income potential.” Occupancy is in the low 90%, he tells GlobeSt.com, and rental rates range from $1,500 a month for independent living units to $3,100 a month for assisted living units. Regency was built in 1988 and is located on a 7.3-acre site.

Gibson, along with Michelle Barker, a marketing specialist, and Kyle Sheehan, an associate in the Miami CBRE office, represented the seller and also procured the buyer.