Recives New Appraisal

Posted By: Pat Nelson / Jun 25 2010

Aliso Viejo, Calif. and New York, NY — Eden Heights of West Seneca, one of two senior assisted living properties acquired in 2009 by Nelson Brothers Professional Real Estate, LLC, and Premier Senior Living, LLC, (New York) was recently re-appraised from the original price of $14.5 million to $19.4 million by HealthTrust, an international appraisal company specializing in senior assisted living and health care, according to Brian Nelson, Principal and Co-Founder of Nelson Brothers Real Estate. The assessment was based on a refinancing of the property which officially closed escrow on April 15, 2009 as a Tenant-in-Common (TIC) transaction followed by Premier taking over operations with the goal of increasing the net operating income.

“This situation illustrates our investment model perfectly,” said Nelson. “West Seneca was 98.5% occupied when Premier began to manage the property and so for investors, there wasn’t much risk since it was already performing very well. However, they still hit it ‘out of the park’ with a 37% increase in 14 months which goes to show that you don’t necessarily need the risk associated with a distressed or bank-owned property to see tremendous growth.”

Nelson attributes the success of Premier by targeting more upscale residents, updating the pricing structure, effective marketing strategies, reducing costs and adding new activities and programs that the residents value.

The property, Eden Heights of West Seneca, is a single story 104-bed senior assisted living facility located in West Seneca, New York and is the sister property to Eden Heights of Eden, New York which was the first joint venture between Nelson Brothers and Premier Senior Living.

“Some people laughed at us when we said there was growth potential hidden in a property just outside of Buffalo, New York,” added Patrick Nelson, Co-Founder and Principal. “This new appraisal agrees with us that assisted living is a need driven business that people everywhere in that age demographic rely on. “ HealthTrust is an international company specializing in senior housing and real estate valuations.

Wayne Kaplan and Robert P. Borsody, owners of Premier Senior Living in the aggregate have between them over 37 years owning and operating assisted living facilities in New York state and throughout the country. The company’s mission and philosophy is to champion the quality of life for every senior, providing a comfortable and dignified lifestyle that enhances each resident’s well being.

Nelson Bros. launched their real estate company in 2007 concentrating on the acquisition, financing and ownership of office, retail and multi-family properties for TIC investments throughout the West and Southwestern United States. The firm, owned by brothers Patrick and Brian Nelson is a Southern-California based real estate investment firm that specializes in student housing and assisted living properties throughout the country.