Granite Investment Group (Granite), an investment management firm that has bought and sold about $1.5 billion of commercial real estate (CRE) on behalf of thousands of investors since 1995, recently purchased a 32,388 square-foot assisted living facility.
Granite acquired the facility at an all-in cap rate of about 8.4 percent.
Located in Shawnee, Kansas, a suburb of Kansas City, the 48-unit facility was purchased in a sale-leaseback transaction. The seller, Shawnee Heartland Assisted Living Inc., has operated the facility since opening its doors in December 2000, and concurrent with the sale, signed a long-term bond net lease through 2030.
“We have partnered with an operator that enjoys an enviable track record of patient care and service who has also proven themselves adept at fiscal management. As such, this acquisition is an ideal addition to Granite Investment Group’s growing portfolio of senior housing,” commented Humair Sabir, vice president of acquisitions with Granite.
The single-story building located at 16207 Midland Drive sits on almost four acres and offers one- and two-bedroom units and amenities including a beauty shop, hearth room, dining room, and activity room among others.
“This community is an exceptionally well maintained and managed senior care facility in the midst of an affluent suburb of Kansas City with a growing population of senior citizens,” added Sabir.
The Irvine-based Granite currently manages over $500 million of CRE, which consists mostly of senior housing facilities.