Arcapita Acquires Chicago Senior Housing Portfolio

The portfolio is composed of 1,100 units and is the company’s third senior housing acquisition over the last two-and-a-half years.

Investment firm Arcapita has acquired a portfolio of senior living properties in Chicago with approximately 1,100 units total across two communities.

The portfolio comprises two continuing-care retirement communities operated by Senior Care Development and Life Care Services, the second largest senior housing manager in the U.S. with 130 communities across 32 states.

The properties are located within master-planned commercial areas and feature a variety of amenities including:

  • a fitness center
  • an indoor pool
  • a community garden
  • a creative arts studio
  • nature walking trails
  • a woodworking shop

The purchase is Arcapita’s third senior housing acquisition over the last 30 months, and its eighth overall, bringing the company’s total senior housing assets’ worth to $1.8 billion. Arcapita previously acquired six senior living communities with more than 500 units in Washington, D.C.; Atlanta; Denver; and Colorado Springs, Colo.

“We have a strong track record in the sector, having previously managed and successfully exited five senior living portfolios, comprising over 70 properties in the US and UK, which delivered double-digit IRRs to our investors,” said Atif A. Abdulmalik, CEO of Arcapita, in prepared remarks. “The senior living sector is poised to experience outsized growth and is expected to continue to outperform the broader real estate market in the US. We intend to capitalize on the sector’s performance to deliver a strong yield and attractive returns for our investors.”

Last month, Arcapita partnered with Senior Care Development LLC and Life Care Services, to purchase Sedgebrook and Monarch Landing senior living communities in the Chicago area.

Image courtesy of Arcapita