X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

CHICAGO-Locally based Brookdale Senior Living Inc. has completed the acquisition of five independent living, assisted living and CCRC facilities from Boston-based AEW Capital Management LP. For a price of $179.5 million, the company has claimed a total of 813 units/beds located in California, Ohio and Washington. With plans to acquire a total of six properties, company execs expect to complete the closing on the remaining facility in the second quarter.

While the properties are currently managed by three different operators, Brookdale execs say they may sell up to half of its investment to a third party for increased management fees. The company funded the acquisition with approximately $124.5 million of senior mortgage debt and the balance of the purchase price with cash.

When pressed for additional details on the transaction, Francie Nagy with Brookdale Senior Living’s investor relations department said company policy restricted her from commenting further on the deal. AEW representatives could not be reached for comment by press time.

Since its IPO in November, Brookdale has made commitments to purchase $727 million in senior housing assets representing 8,885 units/beds. If all transactions were to close, company execs say the firm would invest approximately $307 million in equity in these transactions. The company will use its existing cash and a corporate acquisition line to fund the equity component of these acquisitions.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.