Griffin-American Healthcare REIT IV Acquires Five Northern California Senior Housing Facilities
July 7, 2017 | by James Sprow | Blue Vault
American Healthcare Investors and Griffin Capital Company, LLC, the co-sponsors of Griffin-American Healthcare REIT IV, Inc., announced today that the REIT has completed the acquisition of the first of two tranches of the total 327-unit, eight-facility Northern California Senior Housing Portfolio, with properties acquired in the first tranche located in the Northern California communities of Belmont, Fairfield, Menlo Park and Sacramento. The second tranche, comprised of senior housing facilities in Napa and Sonoma, California, is expected to close later this year.
The five-facilities total approximately 134,000 square feet of assisted living, memory care and skilled nursing space. The portfolio is 100 percent occupied and operated by Colonial Oaks Master Tenant, LLC under a 15-year absolute net lease with annual rent escalators of 6.5 percent after the first year and 2.5 percent thereafter.
“The addition of the initial tranche of Northern California Senior Housing Portfolio further diversifies the growing Griffin-American Healthcare REIT IV portfolio both geographically and from an asset mix perspective,” said Stefan Oh, executive vice president of acquisitions for American Healthcare Investors and Griffin-American Healthcare REIT IV. “It also strengthens our relationship with Colonial Oaks, which also leases a senior housing portfolio in Lafayette, Louisiana owned by the REIT.”
Griffin-American Healthcare REIT IV purchased its first property in June 2016 and, as of the date of acquisition of the initial tranche of the Northern California Senior Housing Portfolio, has acquired a portfolio of 27 medical office buildings and senior housing facilities for an aggregate contract purchase price of approximately $318 million.
As of June 16, 2017, the REIT had received and accepted subscriptions in its offering for 25,802,095 shares of Class T common stock, or approximately $257,724,000, and 1,397,027 shares of Class I common stock, or approximately $12,932,000, excluding shares of its common stock issued pursuant to the DRIP. It will sell shares of common stock in the offering until the earlier of February 16, 2018, or the date on which the maximum offering amount has been sold, unless the board of directors extends the offering for up to an additional year.
The REIT declared distributions of $0.15 per share for both Class T and Class I shares for Q1 2017, which is 6.00% annualized based on a $10.00 offering price for Class T shares.
Learn more about Griffin Capital Company, LLC. on our Sponsor Focus page.
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