Boston, Massachusetts – Evans Senior Investments (ESI) has successfully brokered the sale of Advocate Healthcare of East Boston, a 165-bed skilled nursing community in the heart of Boston, Massachusetts. The sale was executed on behalf of an institutional owner looking to recycle capital and shift its investment focus.
At the time of ESI’s engagement, the facility was operating at an 83% occupancy rate and held a 2-star CMS rating with an abuse icon from the Centers for Medicare and Medicaid Services (CMS). Operational challenges included managing high costs due to agency staffing, a large number of three-bed wards, and underutilized areas, such as the adult day care center and potential dialysis center. These factors hindered the community from reaching its full potential.
ESI identified these challenges as opportunities for value enhancement. By highlighting the facility’s strategic location near 12 major hospitals, the potential for optimizing revenue through Massachusetts’s acuity-based PDPM payment model, and the recently secured behavioral health contract, ESI positioned Advocate Healthcare of East Boston as an attractive acquisition opportunity.
Through a confidential marketing process, ESI reached out to a select group of regional and national buyers within their network. The facility was ultimately acquired by an experienced regional operator ready to transition into ownership. This deal marks their first acquisition in the space. ESI not only guided the buyer/operator through the complexities of the transaction but also facilitated a regional capital partner to ensure the deal’s success. This outcome highlights ESI’s expertise in partnering operators with capital to maximize value.
About Evans Senior Investments
Evans Senior Investments (ESI) is a real estate brokerage firm with offices in Chicago, IL and Denver, CO specializing in the long-term care asset class. ESI provides market valuations and sell-side advisory to Seniors Housing and Skilled Nursing owners across the country. Founded in 2009 by twin brothers Jason and Jeremy Stroiman, ESI aims to provide a more efficient, transparent, and faster selling process through a unique team-based approach to brokerage. ESI’s sellers are represented by the entire firm, with each member an expert in the varying aspects of the transaction process.
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