December 11, 2023
Lease Transaction for a Midwest Skilled Nursing Portfolio
ESI secured a tenant and executed a ten-year lease agreement for a large skilled nursing and supportive living portfolio spanning across Illinois and Missouri.
The portfolio comprised 13 communities located in Illinois and Missouri, featuring over 1,600 licensed beds. The lease consisted of a ten-year term with a purchase option.
Evans Senior Investments ran a competitive and highly confidential process yielding multiple offers, ultimately selecting a regional Midwest group as the tenant. Given the size of the portfolio and value-add potential, it was an ideal transaction for the tenant and landlord.
“This portfolio represents Evans Senior Investments’ ability to secure a tenant for a portfolio that was a turnaround, given the tight labor market and inflation pressure on expenses” commented Hank Fuller, Director at ESI.
Many independent owner-operators who are not yet ready to sell should explore the advantages of leasing to a third-party operator. This option offers many financial and operational benefits, including avoidance of capital gains tax, securing passive income, and alleviating in-place operating losses. Evans Senior Investments offers tenant advisory as a core service, and can work with any owner to create a tailored solution that will help them succeed.