Senior housing demand, driven by the aging of Baby Boomers, a healthy housing market, an attractive spread between borrowing rates and capitalization rates, and relatively limited new development has seen a steadily rising market demand in the Tucson metro area.
North American health care REIT Welltower Inc. acquired the senior living community formerly known as Emeritus at Pantano for $18 million, or $128,571 per bed, and has renamed the facility Sierra Del Sol Senior Living.
C.P. Tucson LLC, an affiliate of Seattle-based Columbia Pacific, sold the 140-bed assisted living and memory care community at 8151 East Speedway Blvd in Tucson to Ohio-based Welltower (NYSE: HCN). The deal was an all cash transaction.
Located in the northeast side of Tucson, the property borders Saguaro National Park East, off Speedway next to Mesquite Valley Growers, giving access to grocery stores, doctors, banks, golf courses, parks and restaurants in the area. Plus just minutes from two major hospitals, Tucson Medical Center and St. Joseph’s Hospital.
Sierra Del Sol was built on the 4.68-acre site in 1997 and totals 79.859-square-feet. The community has 104 assisted living beds and 36 memory care units, including daily meals and medical services.
Health Care REIT (NYSE: HCN) in September announced that the company—one of the largest owners of senior housing real estate in the country—would change its name to Welltower Inc.
The renamed company continues to trade its common and preferred stock under the New York Stock Exchange ticker symbol “HCN,” according to information the Toledo, Ohio-based company.The company filed for the Welltower trademark name in early June.
The company now known as Welltower has assets totaling more than $26 billion and owns 1,411 properties throughout the U.S., UK and Canada. The company primarily owns assisted living facilities and has made major investments in the post-acute space recently.
There were no brokers involved in the transaction.
In a separate transaction, Indian Ridge LLC (Bennett Silverman, member) acquired the 10-bed assisted living home business and real estate at 2641 N Bahana Drive in Tucson for $375,000, $37,500 per bed.
The assisted living community was fully occupied when it was sold by Phillip and Ronna Secker of Marana, and the business valuation was sold separately from the real estate.
Mark Biery, CCIM, a senior housing specialist with Berkshire Hathaway Premier Properties in Tucson, handled the transaction for buyer and seller.
Biery should be contacted at 520.577.8333.
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