Trust Acquires Senior Communities for $61M-Plus

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NEWTON, MA-Senior Housing Properties Trust has acquired five senior living properties in California, Illinois, Florida and Kentucky in a $61.5-million acquisition. The transaction gives the company 193 properties with nearly 24,000 senior living units in its portfolio.

Timothy A. Bonang, manager of investor relations for Senior Housing Properties, tells GlobeSt.com that the acquisitions fit in with the locally based trust’s strategy of acquiring private pay, independent and assisted living properties in 32 states where it currently has holdings.

The properties, located in San Bernardino, CA; Springfield, IL; Frankfort, KY; and Naples and Pompano Beach, FL, are about 80% occupied and were part of a larger portfolio sell-off by an undisclosed senior living firm, Bonang says.

Bonang notes that the buyer has entered a long-term lease arrangement with Five Star Quality Care, Inc. to provide management for the five facilities at a lease rate of more than $5 million per year, creating an annual initial return of 8.25% for the trust.

Senior Housing Properties Trust was self-represented in the transaction. The undisclosed seller was represented by CB Richard Ellis.