Welltower is purchasing more than 2,500 units on 19 California properties in a deal estimated at $1.15 billion. The acquisition will make the Toledo, Ohio-based REIT the largest senior housing owner in Northern and Southern California.
The properties, currently operated by Vintage Senior Living, will be operated by Senior Resource Group (11 sites), Sunrise Senior Living (seven sites) and Silverado (one site). The portfolio has an average occupancy rate of 87 percent in the north and 83 percent in the south, and includes the hot markets of San Francisco and Los Angeles.
“These properties are in attractive markets including irreplaceable locations near San Francisco’s Golden Gate Park and Nob Hill, with a growing population of seniors, favorable supply-and-demand fundamentals and high barriers to entry,” said Scott Brinker, Welltower’s Chief Investment Officer, said in a corporate press release. “Our long-term partnership approach, business expertise and unmatched local scale give Welltower and its operating partners significant opportunities to enhance the services offered at the properties and create value for our shareholders.”