Sonida Continues to Execute on its Accretive Growth Plan and Upsizes its Revolver
Sonida Senior Living (NYSE: SNDA) has completed several strategic moves to expand its portfolio and financial capacity:
1. Acquired 8 senior living communities in the Southeast for $102.9 million, adding 555 units.
2. Signed an agreement to acquire 2 properties in Atlanta, GA for $29 million, adding 178 units.
3. Increased its revolving credit facility by $75 million to a total of $150 million.
These acquisitions bring Sonida's total operating portfolio to 91 communities, focusing on geographic densification in attractive markets. The newly acquired properties have favorable occupancy rates and RevPOR, with significant discounts to estimated replacement costs. The expanded credit facility provides additional financial flexibility for future growth.
Sonida Senior Living (NYSE: SNDA) ha completato diverse mosse strategiche per espandere il suo portafoglio e la capacità finanziaria:
1. Acquistati 8 centri di assistenza per anziani nel sud-est per 102,9 milioni di dollari, aggiungendo 555 unità.
2. Firmato un accordo per acquisire 2 proprietà ad Atlanta, GA, per 29 milioni di dollari, aggiungendo 178 unità.
3. Aumentato il proprio plafond di credito revolving di 75 milioni di dollari, per un totale di 150 milioni di dollari.
Queste acquisizioni portano il portafoglio operativo totale di Sonida a 91 comunità, concentrandosi sulla densificazione geografica in mercati attraenti. Le nuove proprietà acquisite presentano tassi di occupazione favorevoli e RevPOR, con significativi sconti rispetto ai costi di sostituzione stimati. L'ampliamento della linea di credito offre maggiore flessibilità finanziaria per la crescita futura.
Sonida Senior Living (NYSE: SNDA) ha completado varios movimientos estratégicos para expandir su cartera y capacidad financiera:
1. Adquiridas 8 comunidades de vida para mayores en el sureste por 102,9 millones de dólares, añadiendo 555 unidades.
2. Firmado un acuerdo para adquirir 2 propiedades en Atlanta, GA por 29 millones de dólares, añadiendo 178 unidades.
3. Aumentada su línea de crédito revolving en 75 millones de dólares, alcanzando un total de 150 millones de dólares.
Estas adquisiciones llevan el portafolio operativo total de Sonida a 91 comunidades, enfocándose en la densificación geográfica en mercados atractivos. Las propiedades recientemente adquiridas tienen tasas de ocupación favorables y RevPOR, con descuentos significativos respecto a los costos de reemplazo estimados. La ampliación de la línea de crédito proporciona flexibilidad financiera adicional para el crecimiento futuro.
Sonida Senior Living (NYSE: SNDA)는 포트폴리오 및 재정적 역량을 확장하기 위해 여러 전략적 조치를 완료했습니다:
1. 1억 2천 9백만 달러에 동남부에서 8개의 노인 생활 커뮤니티를 인수하여 555개의 유닛을 추가했습니다.
2. 조지아주 애틀랜타에서 2개의 부동산 인수 계약을 체결하고 2천 9백만 달러로 178개의 유닛을 추가했습니다.
3. 회전 신용 한도를 7천 5백만 달러 늘려 총 1억 5천만 달러로 증가시켰습니다.
이러한 인수는 Sonida의 전체 운영 포트폴리오를 91개 커뮤니티로 확장하며, 매력적인 시장에서의 지리적 밀집에 중점을 두고 있습니다. 새롭게 인수한 부동산은 유리한 점유율과 RevPOR을 갖추고 있으며, 추정 대체 비용에 비해 상당한 할인 혜택을 제공합니다. 확대된 신용 한도는 향후 성장에 대한 재정적 유연성을 제공합니다.
Sonida Senior Living (NYSE: SNDA) a réalisé plusieurs mouvements stratégiques pour étendre son portefeuille et sa capacité financière :
1. Acquisition de 8 communautés de vie pour seniors dans le sud-est pour 102,9 millions de dollars, ajoutant 555 unités.
2. Signature d'un accord pour acquérir 2 propriétés à Atlanta, GA pour 29 millions de dollars, ajoutant 178 unités.
3. Augmentation de sa ligne de crédit renouvelable de 75 millions de dollars, portant le total à 150 millions de dollars.
Ces acquisitions portent le portefeuille opérationnel total de Sonida à 91 communautés, mettant l'accent sur la densification géographique sur des marchés attractifs. Les nouvelles propriétés acquises affichent des taux d'occupation favorables et un RevPOR, avec des remises significatives par rapport aux coûts de remplacement estimés. L'élargissement de la ligne de crédit offre une flexibilité financière supplémentaire pour la croissance future.
Sonida Senior Living (NYSE: SNDA) hat mehrere strategische Schritte unternommen, um sein Portfolio und seine finanzielle Kapazität zu erweitern:
1. Erwerb von 8 Seniorenwohnanlagen im Südosten für 102,9 Millionen Dollar, was 555 Einheiten hinzufügt.
2. Unterzeichnung eines Vertrags zum Erwerb von 2 Immobilien in Atlanta, GA, für 29 Millionen Dollar, mit 178 zusätzlichen Einheiten.
3. Erhöhung des revolvierenden Kreditrahmens um 75 Millionen Dollar auf insgesamt 150 Millionen Dollar.
Diese Akquisitionen bringen das gesamte Betriebsportfolio von Sonida auf 91 Gemeinschaften, wobei der Schwerpunkt auf geografischer Verdichtung in attraktiven Märkten liegt. Die neu erworbenen Immobilien weisen günstige Belegungsraten und RevPOR auf und bieten erhebliche Rabatte im Vergleich zu den geschätzten Ersetzungskosten. Die erweiterte Kreditlinie bietet zusätzliche finanzielle Flexibilität für künftiges Wachstum.
- Acquired 8 senior living communities for $102.9 million, expanding portfolio to 91 communities
- Signed agreement to acquire 2 additional properties in Atlanta for $29 million
- Increased revolving credit facility by $75 million to $150 million total
- New acquisitions have high occupancy rates (85-86%) and strong RevPOR ($5,700-$6,000)
- Acquired properties at significant discounts to estimated replacement costs
- Strategically densifying presence in attractive Southeast markets
- None.
Insights
Sonida Senior Living's recent moves demonstrate a strategic focus on growth and financial flexibility. The acquisition of eight senior living communities for $102.9 million significantly expands their portfolio, adding 555 units in high-growth Southeastern markets. This purchase, at
The additional agreement to acquire two Atlanta-based properties for
Importantly, the upsizing of their revolving credit facility from
Sonida's recent acquisitions reveal a shrewd approach to market positioning. By targeting properties in the Southeast with an average age of 5 years, significantly younger than the 19-year average in surrounding areas, Sonida is upgrading its portfolio quality. This strategy should enhance their competitive edge and potentially command higher RevPOR (Revenue Per Occupied Room).
The focus on geographic densification in high-growth markets like Jacksonville, Orlando and Atlanta is particularly noteworthy. This approach can lead to operational efficiencies and stronger regional brand recognition. The
The purchase prices of
Completes previously announced acquisition of eight senior living communities in the Southeast for
Enters into agreement to acquire two new communities in
Closes additional
“Both of these transactions continue our value-creating, external growth strategy that is capitalizing on historically favorable senior housing trends through geographic densification, creative deal structuring and expansion of our best-in-class operating platform,” said Brandon Ribar, President and Chief Executive Officer. “We are excited about our current and active investment pipeline as well as the overall transaction environment.”
Capital Allocation – Acquired Eight-Asset Senior Housing Portfolio in the Southeast
On October 1, 2024, the Company finalized the previously announced acquisition of eight senior living communities strategically located in attractive submarkets in the Southeast. The portfolio is comprised of 555 units with Assisted Living (“AL”) and Memory Care (“MC”) offerings (approximately
These communities will further modernize Sonida’s portfolio and densify its presence in the Southeast, which will allow Sonida to fully leverage its operating scale. The eight-asset portfolio has an attractive average asset age of five years, which compares favorably to an average asset age of 19 years for comparable inventory within a 10-mile radius.
Sonida’s purchase price of
As of today, Sonida’s total operating portfolio is now comprised of 91 communities (including eight communities in which the Company owns varying interests through two separate joint ventures).
Capital Allocation – Signs Purchase Agreement to Acquire Two Atlanta-Based Properties
On October 1, 2024, the Company signed a purchase and sale agreement to acquire two senior living communities in the
Capital Markets – Closed Additional
On October 3, 2024, the Company closed on an additional
Safe Harbor
The forward-looking statements in this press release, including, but not limited to, statements relating to the Company’s acquisitions, are subject to certain risks and uncertainties that could cause the Company’s actual results and financial condition to differ materially, including, but not limited to the Company’s ability to recognize the anticipated benefits of such acquisitions; the impact of such acquisitions on the Company’s business, including our ability to successfully implement integration strategies or achieve expected synergies and operating efficiencies; any legal proceedings that may be brought related to such acquisitions; our projections related to said acquisitions may not materialize as expected; and other risks and factors identified from time to time in the Company’s reports filed with the SEC, including the Company’s ability to generate sufficient cash flows from operations, proceeds from equity issuances and debt financings, and proceeds from the sale of assets to satisfy its short- and long-term debt obligations and to fund the Company’s acquisitions and capital improvement projects to expand, redevelop, and/or reposition its senior living communities; increases in market interest rates that increase the cost of certain of our debt obligations; increased competition for, or a shortage of, skilled workers, including due to general labor market conditions, along with wage pressures resulting from such increased competition, low unemployment levels, use of contract labor, minimum wage increases and/or changes in overtime laws; the Company’s ability to obtain additional capital on terms acceptable to it; the Company’s ability to extend or refinance its existing debt as such debt matures; the Company’s compliance with its debt agreements, including certain financial covenants, and the risk of cross-default in the event such non-compliance occurs; the Company’s ability to complete acquisitions and dispositions upon favorable terms or at all, including the possibility that the expected benefits and our projections related to such acquisitions may not materialize as expected; the risk of oversupply and increased competition in the markets which the Company operates; the Company’s ability to improve and maintain controls over financial reporting and remediate the identified material weakness discussed in its recent Quarterly and Annual Reports filed with the SEC; the cost and difficulty of complying with applicable licensure, legislative oversight, or regulatory changes; risks associated with current global economic conditions and general economic factors such as inflation, the consumer price index, commodity costs, fuel and other energy costs, competition in the labor market, costs of salaries, wages, benefits, and insurance, interest rates, and tax rates; the impact from or the potential emergence and effects of a future epidemic, pandemic, outbreak of infectious disease or other health crisis; and changes in accounting principles and interpretations.
About Sonida
For more information, visit www.sonidaseniorliving.com or connect with the Company on Facebook, X or LinkedIn.
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Investor Relations
Jason Finkelstein
Ignition Investor Relations
ir@sonidaliving.com
Source: Sonida Senior Living, Inc.
FAQ
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