- Sienna (SIA) has acquired a 50 per cent ownership interest in a portfolio of 11 seniors’ living assets in Ontario and Saskatchewan
- The company acquired the portfolio in partnership with Sabra Health Care REIT, Inc. who is acquiring the other 50 per cent interest
- Sienna’s share of the purchase price is $153.75 million
- Sienna Senior Living offers a full range of seniors’ living options, including independent living and assisted living under its Aspira retirement brand
- Sienna Senior Living Inc. (SIA) was up 3.07 per cent, trading at C$13.76 per share at 2:10 pm ET
Sienna (SIA) has acquired a 50 per cent ownership interest in a portfolio of 11 seniors’ living assets in Ontario and Saskatchewan.
The acquisition consists of 1,048 high-quality, private-pay suites.
The company acquired the portfolio in partnership with Sabra Health Care REIT, Inc. who is acquiring the other 50 per cent interest, with Sienna as the manager of the portfolio.
Nitin Jain, President and Chief Executive Officer of Sienna commented on the news.
“We are adding quality residences to our retirement platform and in doing so, have seized a rare opportunity to enhance the growth prospects of our retirement operations, achieve immediate scale in Saskatchewan and expand our portfolio in key locations in Ontario.”
Sienna’s share of the purchase price for the portfolio is $153.75 million. The Company expects the acquisition to generate an approximate 6% unlevered yield in the first twelve months following close of the transaction.
As of April 30, 2022, the occupancy rate of the portfolio was approximately 87.5 per cent, excluding one property in lease-up that opened in 2019.
The acquisition and related transaction costs were financed through a combination of sources. This includes net proceeds from the Company’s March 23, 2022 equity raise, net proceeds from recent dispositions, a one-time drawdown of $90 million on the acquisition term loan; and the assumption of two CMHC-insured property-level mortgages at a weighted-average interest rate of 2.24 per cent.
Sienna Senior Living offers a full range of seniors’ living options, including independent living and assisted living under its Aspira retirement brand. It provides long-term care, specialized programs and services. Sienna’s approximately 12,000 employees are passionate about helping residents live fully every day.
Sienna Senior Living Inc. (SIA) was up 3.07 per cent, trading at C$13.76 per share at 2:10 pm ET.
