GFH acquires $180mn healthcare portfolio in US

Muscat: GFH Capital, a subsidiary of GFH Financial Group, announced that it has acquired a diversified senior healthcare portfolio (Portfolio) in partnership with Madison Marquette. This consists of six income yielding senior healthcare properties located in the US states of California, Washington and Michigan in a deal exceeding US$180 million in value.
The portfolio, which consists of properties that are currently 93 per cent occupied by residents, caters to senior citizens seeking independent living, assisted living and memory care.
The portfolio is highly diversified by product type, geography and operator profile. Most of the properties have been recently renovated and the portfolio, on average, is attracting above-market rent, reflecting the high quality of services it provides.
The properties will be managed by JEA Senior Living, Senior Resource Group and Independence Village, three best-in-class operators with strong management teams and investment track records in the US market.
"We are pleased to continue expanding our portfolio of strong income yielding investments in the US market with the addition of these well positioned and diversified senior healthcare assets. In line with our strategy, this portfolio generates strong, in-place, stabilised cash flows as well as healthy operating margins that will allow us to deliver value and attractive distributions to our investors," said Hisham Al Rayes, CEO of GFH.
"Working with leading US asset managers and operators, we expect to build on the strong performance and long-standing reputations of these properties and, importantly, on the strong competitive advantage they enjoy,” he added.
With the completion of this deal, the total US real estate transactions volume executed by GFH over the last five years has reached US$ 1 billion.