By Jon Peterson
Toledo, Ohio-based Welltower Inc. has closed on acquisition of a $1.15 billion senior housing portfolio that includes a property in Tacoma, which goes by the name of Narrows Glen, according to sources familiar with the portfolio sale. Welltower paid $63 million for the property and sale closed on September 30, 2016, according to public documents.
The community describes itself as a luxuriuos senior community that studio, one- and two-bedroom residences, some of which include fully-equipped all-electric kitchens, private patios/balconies and arge storage closets. The location offers independent living, assisted living and memory care services.
The other assets in the transaction are mostly in Southern and Norther California. Southern California properties are located in Cerritos, Placentia, Burbank, Laguna Woods, Mission Viejo, Simi Valley and Los Angeles. The Northern California assets are in Santa Rosa, San Francisco, Walnut Creek, San Ramon, Salinas, San Jose, Roseville, Sonoma and Berkeley.
All of the properties in the portfolio are considered to be in high profile senior housing markets. They are located in areas with a growing population of seniors. The assets amount to 2,590 senior housing units. The average occupancy in the portfolio is in the mid 80 percent range.
The seller of the property were the affiliates of Vintage Senior Living and their private partners. This company was represented by the CBRE Capital Markets National Senior Housing team.
“This transaction represents one of the most significant portfolios of first-class senior housing platforms on the West Coast. Concentrated in core markets, many of the communities boast irreplaceable locations and will provide the new owner an unmatched presence in the Greater Los Angeles and San Francisco Bay areas,” said Matthew Whitlock, an executive vice president with CBRE in a prepared statement. He along with Lisa Widmier, executive vice president and Aron Will, vice chairman, worked on the transaction for the sellers.
The portfolio was shown to a limited group of buyers. Based upon the gross value of the portfolio, the investment opportunity was shown to a group of qualified investment entities with proven track records for acquiring large senior housing portfolios. The assets that were sold are a mixture of assisted living, independent living and memory care senior housing. The decision to sell the assets was made internally by the previous ownership group.