Connecticut-based Westport Capital Partners is teaming up with Capital Health Group and Kaplan Development Group to acquire four healthcare facilities in New England. Details of the transaction were not disclosed.
The four properties, collectively known as the New England Healthcare Portfolio, represent a total of 369 assisted-living and independent units: The Inn at Forge Hill in Franklin, Massachusetts has 104 units; The Inn at Robbins Brook in Acton, Massachusetts has 90 units; The Inn at Fillmore Pond in Bennington, Vermont has 75 units; and The Inn at Spruce Wood in Durham, New Hampshire has 100 units.
According to the firms, 77 percent of the units fall in the assisted-living category, while the remaining 23 percent are independent-living units. The properties were developed between 1999 and 2004.
According to a statement, Westport plans to upgrade the properties “through capital improvements, new marketing initiatives and the introduction of innovative care and activities programs.” The firms also plan to expand the Vermont property, adding an additional 28 independent-living units.
“We believe the upgrades and added amenities will result in improved operating performance at each facility and will provide us with a strong platform for future acquisition opportunities in this sector,” Jordan Socaransky, a principal at Westport, said in a statement.
Private equity firms are increasingly interested in the US healthcare sector. Last week buyout shop The Carlyle Group acquired Toledo, Ohio-based Manor Care, a provider of short-term post-acute and long-term health services, for $4.9 billion (€3.6 billion). Manor Care, which has more than 500 properties in its portfolio, reportedly owns about 98 percent of its real estate.
In May, after a protracted bidding war, private equity real estate firm JER Partners and healthcare investor Formation Capital acquired Genesis Healthcare in a $1.9-billion deal. Genesis, which is headquartered in Kennett Square, Pennsylvania, operates more than 200 long-term care centers and assisted-living facilities in 13 states in the Eastern US.
Westport Capital Partners was founded in late 2005 by Russel Bernard, who previously headed up property investment at Los Angeles-based Oaktree Capital Management.