Located along the banks of the Ohio River, Madison Park is near several hospitals in both West Virginia and Kentucky. Originally constructed in 1924 and significantly updated in 2008, Madison Park’s operator benefitted from the attractive senior demographics in the area, along with strong Medicare and Medicaid reimbursement rates. At the time of sale, the community was operating in excess of a 17% EBITDAR margin with climbing revenues above $5.8 million.
Blueprint marketed the opportunity to its network of both real estate investors and operationally-minded buyers, and the process yielded several competitive offers. Blueprint and Birchwood selected a public REIT acquirer, given the firm’s desire to retain and partner with the existing operator. This real estate-focused approach was especially favorable as it preserved the in-place reimbursement rates through the change of ownership process and allowed the operator to continue its impressive performance at Madison Park. In addition to facilitating the real estate sale, Blueprint assisted with the intricate closing process to ensure a successful outcome.
The transaction was handled by West Virginia University alumnus Steve Thomes, Ben Firestone, and Michael Segal.