Morgan Stanley Pays $91M for Florida Senior Communities
The two assets changed hands at pricing well above the state average.
Morgan Stanley Investment Management has purchased two senior communities totaling 299 units in the Tampa, Fla., and Orlando, Fla., metro areas, through its Morgan Stanley Real Estate Investing funds.
The portfolio comprises the 193-unit Sonata Lake Mary in Lake Mary, Fla., and the 106-unit The Preserve at Dunedin in Clearwater, Fla., public records show.
AgeWell sold the Lake Mary property for $60 million, while Berkshire Residential Investments sold the Clearwater community for $31.1 million. No acquisition financing was recorded for either transaction.
AgeWell will continue to manage both communities.
Florida’s senior housing trends point to a positive outlook, according to a recent Colliers report. In the second quarter of this year, the state’s average price per unit reached roughly $161,000, still below the national average of $203,000. However, Sonata Lake Mary sold at approximately $310,900 per unit, while The Preserve at Dunedin traded at about $293,400 per unit.
A closer look at the portfolio
Sonata Senior Living and its capital partner, Berkshire Residential Investments, broke ground on the $62 million Sonata Lake Mary in 2021 and completed it in 2023. The same year, AgeWell assumed management of the Sonata brand.
Located at 410 Caring Drive on a 7-acre site, Sonata Lake Mary is part of the 153-acre, $750 million Lake Mary Wellness and Technology Park. The property is just off Interstate 4 and roughly 20 miles north of Orlando. The Cardiovascular Center of Florida, The Orlando Health Lake Mary Hospital and Florida Retina Institute are within a 1-mile radius.
Sonata Lake Mary comprises independent and assisted living units, as well as memory and respite care. The independent living component has one- and two-bedroom floorplans ranging from 809 to 1,518 square feet, while assisted living floorplans span from 387 to 941 square feet. Memory care units comprise studio and two-bedroom companion suites ranging from 390 to 901 square feet.
All suites have built-in microwaves, disposals and dishwashers, while select units also feature washers and dryers, balconies and private garages.
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Berkshire purchased The Preserve at Dunedin in 2021 for $23 million from Solera Senior Living and Elkco Properties. Completed in 2012 as The Preserve at Clearwater, the community occupies 11 acres at 2010 Greenbriar Blvd. The property is within 2 miles of multiple medical centers and close to several outdoor attractions, including the Gladys E. Douglas Preserve. Downtown Tampa is 23 miles east.
The Preserve at Dunedin comprises assisted living and memory care units. The assisted living apartments have studio, one- and two-bedroom configurations ranging from 550 to 800 square feet. Moreover, the community also includes other assisted living layouts through its Pavo Key expansion, namely one- to two-bedroom floorplans spanning from 580 to 863 square feet.
Each pet-friendly property features restaurant-style dining, a pool, a game room, an art studio and outdoor spaces, while services include 24-hour assistance and concierge, among others.
