Ensign Group Buys Nine Facilities
July 20, 2011
July 20, 2011. The Ensign Group announced that effective July 18 it closed on the purchase of five skilled nursing facilities, plus four nursing facilities...
with an assisted living component, with a total of 621 beds in Iowa and Nebraska. The seller was Careage Management, which is now out of the business. We believe the purchase price was between $40,000 and $45,000 per bed with a cap rate between 11% and 12%. Occupancy today is just 74%, so there is room for improvement, and Ensign purchased the portfolio for cash. The deal is expected to be accretive to Ensign in 2011.