(ORLANDO, FL) December 8, 2014 - Sentio Healthcare Properties, Inc., ("Sentio" or the "REIT"), a real estate investment trust focused on healthcare-related real estate, announced today the $12.7M purchase of the Live Oaks Village Portfolio. The purchase includes Live Oaks Village of Hammond and Live Oaks Village of Slidell.
Live Oaks Village of Hammond is a 44-unit property with a unit mix of 31 Assisted Living and 13 Memory Care units. It is positioned on 4.5 acres and is the community's only assisted living facility. Live Oaks Village of Slidell is a 50-unit property with a unit mix of 36 Assisted Living and 14 Memory Care units and is situated on a 3.4 acre site.
Both properties will be managed by SRI Management, LLC ("SRI Management") which currently manages nine senior living communities with several more properties under construction. SRI Management is led by founder and CEO Don Bishop and this transaction reflects a new operator relationship for Sentio.
This acquisition marks an additional investment under Sentio's agreement with an affiliate of leading global investment firm Kohlberg Kravis Roberts & Co. L.P. (together with its affiliates "KKR"). As a part of the agreement, KKR committed to provide an initial $150 million of convertible preferred equity to Sentio over a two to three year period.
Sentio's President and CEO, John Mark Ramsey described the transaction this way, "We are pleased to enter Louisiana with two properties that are as well established as the Live Oaks assets. Our team believes these properties will enhance the geographic diversity of the REIT and further strengthen our portfolio. We're also pleased to add SRI Management to our team of regional operating partners. We have been impressed with their management capabilities for some time now and felt this transaction represented an important first step for a long-term partnership."
Don Bishop, CEO and founding member of SRI Management, said this about the alliance, "It is refreshing to work with an investment partner that has the depth and breadth understanding of operations that John Mark and the Sentio team possess. We share a likeminded approach to resident care and believe that our united focus on operations will make for a very solid partnership moving forward."
About Sentio Healthcare Properties, Inc.
Sentio Healthcare Properties, Inc. is a public, non-listed, real estate investment trust, which invests exclusively in healthcare-related real estate, and is committed to delivering strong and reliable returns to investors. The Company features a diversified portfolio of senior housing and medical properties throughout the United States. The Sentio portfolio offers diversity in many areas including asset type, geographic location, operators and payor mix. The REIT is led by a team of healthcare real estate industry veterans at Sentio Investments, LLC, the REIT's advisor. Their core objective is to tailor a capital structure that complements the operating platform of developers and owner/operators, recognizing that each is unique in its approach and service to the healthcare industry.
About SRI Management, LLC
Superior Residences was formed in 2000, and currently manages nine senior housing communities with over 750 beds. They offer assisted living and respite care services for people with Alzheimer's and other dementia disorders at five locations across Florida. Each facility offers 24-hour residential care and a wide range of services and amenities. Their mission statement is built on trust so that residents, their families, and the Superior Residences' team can have peace in knowing the ultimate individualized care is being provided at all times.
Forward-Looking Statements and Securities Act Legends
Certain statements in this release containing the words "believes," "expects," and similar words, are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from results expressed or implied by forward-looking statements. Such factors include, among others: economic and business conditions, nationally and in regions in which Sentio will operate, relating to healthcare-related real estate; the availability of suitable investments at the relevant time; and whether all conditions to any drawdown of the committed funding can be satisfied at the relevant time. Given these uncertainties, you are cautioned not to place undue reliance on such forward-looking statements. Sentio disclaims any obligation to update any of the forward-looking statements contained herein to reflect future events or developments.
The securities referenced in this release have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. This release is not an offer to sell, or a solicitation of an offer to buy, any security.