Under the name of Spring Arbor, the two facilities total 86 units and will be leased to affiliates of Raleigh, N.C.-based Ravn Senior Solutions for a lease term of 15 years at a yearly lease rate of 7.35 percent, plus annual fixed escalators. Ravn Senior Solutions is led by the team of Steve Morton, Ted Turner, Patti Jones and Arick Morton. Collectively, the managers have more than 85 years of senior living management experience.
Borrowings from NHI’s revolving credit facility funded the acquisition. With the purchase, NHI was granted a purchase option on a third building in the Raleigh-Durham market.
One of the two facilities opened in 1999 and is comprised of 26 assisted-living units and 13 memory care units. The other opened three years later and features 47 assisted-living units. Spring Arbor of Hendersonville offers spacious apartments and a dedicated staff certified in senior assisted living and Alzheimer’s and dementia care.
Twenty-six-year-old NHI is a real estate investment trust specializing in sale-leaseback, joint-venture, mortgage and mezzanine financing of need-driven and discretionary senior housing and medical investments. NHI’s portfolio is comprised of independent, assisted and memory-care communities, entrance-fee retirement communities, skilled nursing facilities, medical office buildings and specialty hospitals.
“We are excited to enter into a new relationship with Ravn Senior Solutions, which is a growth-oriented company with an experienced management team,” said Murfreesboro-Tenn.-based NHI’s president and CEO Eric Mendelsohn.
“These facilities will be an excellent addition to NHI’s portfolio.”