Source: Ventas / #Senior #Housing
NEW YORK, NY - Ventas announced that it has signed a definitive agreement to acquire a premier seniors housing community located in the appealing Battery Park City neighborhood of downtown Manhattan for approximately $194 million from Brookdale Senior Living.
“The Battery Park acquisition firmly establishes Ventas as the market leader in seniors housing in the elite Manhattan market,” said Debra A. Cafaro, Ventas Chairman and Chief Executive Officer. “Battery Park adds an irreplaceable, well-established community to our high-quality seniors housing portfolio and is uniquely positioned to benefit from New York City’s strong demographics. We are pleased to reach another mutually beneficial transaction for Ventas and Brookdale and we look forward to growing and improving this high-quality residence for seniors.”
The 14-story Community, which includes 217 units overlooking the Hudson River, is a premier independent living community for New York City’s senior population and benefits from first class services, gardens, natural light and spacious units. It is located in a thriving downtown Manhattan neighborhood that offers high-end retail, residential and commercial space in addition to easy access to other highly sought after neighborhoods such as Tribeca, SoHo and the Financial District.
The acquisition is attractively valued below replacement cost and represents an approximately 5 percent going-in yield on net operating income with redevelopment opportunities offering additional potential upside. Brookdale, which has successfully operated the Community for nearly 20 years since its opening, will continue to operate the Community under a management contract with Ventas upon closing of the transaction. While the Company expects the closing to occur by year-end 2018, it remains subject to customary closing conditions and there can be no assurance whether or when the closing will occur.
Ventas, an S&P 500 company, is a leading real estate investment trust. Its diverse portfolio of approximately 1,200 assets in the United States, Canada and the United Kingdom consists of seniors housing communities, medical office buildings, life science and innovation centers, inpatient rehabilitation and long-term acute care facilities, health systems and skilled nursing facilities.