The community was owned and operated by the largest non-profit provider of affordable housing in Minnesota, and Oak Ridge was the seller’s single assisted living community remaining within its portfolio. Oak Ridge was sold to a Chicago-based private equity firm, and this closing represents the Buyer’s second seniors housing acquisition in the Twin Cities metropolitan area within the past 18 months. Moving forward, Oak Ridge will be managed by an experienced Minnesota-based operator. The purchase price was approximately $6,750,000, or $100,000 per unit. While there was a limited amount of in-place cash flow at the time of sale, Oak Ridge presented a value-add opportunity to the buyer in that both census mix and operating expenses had not met the asset’s full potential under previous ownership.
Michael Segal and Jacob Gehl were the lead advisors on the transaction.