(ORLANDO, FL) August 26, 2014 - Sentio Healthcare Properties, Inc., ("Sentio" or the "REIT"), a real estate investment trust focused on healthcare-related real estate, announced today the $42.5M purchase of St. Andrew's Village, a Class A, 246-unit senior housing community located in Aurora, CO. Opened in 2006, St. Andrew's Village is just 12 miles southeast of Denver's central business district and convenient to both Interstate 225 and Denver's new light rail system.
The St. Andrew's Village campus includes 246 units with a unit mix of 146 Independent Living, 60 Assisted Living, and 40 Skilled Nursing units (58 beds). Community amenities include a library, internet cafe, bistro, chapel, community room, indoor swimming pool and spa, fitness center, massage room, and dining rooms. Sentio will continue to lease the Property to an affiliate of the current manager, ESLP Management, LLC. Founded by Chris Coates and Brian Dowd, ESLP Management provides extensive experience in senior living management with a special focus on campuses with a full continuum of care.
This transaction marks another capital deployment under Sentio's investment 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.
President and CEO of Sentio, John Mark Ramsey described the transaction this way, "We are very excited to add St. Andrew's Village to our portfolio and believe it will enhance the diversity of the REIT, both geographically and by property type. We believe the addition of ESLP Management to our existing team of operating partners will also be a great asset for us. Their extensive experience in senior housing and ability to manage the continuum of care, combined with their track record and industry reputation, make them an excellent partner not only for this community but for future investment opportunities as well."
Chris Coates, President and CEO of ESLP Management, expressed his thoughts about the transaction with Sentio this way, "Brian and I were very impressed with the creative approach to deal structuring that we experienced with the team at Sentio. Their deep understanding of operations, combined with a thoughtful approach to designing a structure that meets our needs, creates a great opportunity for shared success. We are excited about our new partnership with Sentio and the bright future ahead for St. Andrew's Village."
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. Their 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 ESLP Management, LLC
ESLP Management, LLC provides their clients with over one hundred and fifty years of combined experience and successful management of retirement communities. Their team is comprised of seasoned advisors who provide a wide range of expertise and services for clients. They are uniquely qualified to help their retirement community clients in the management of new development and existing communities, including lenders, owners (not-for-profit and for-profit), receivers and the residents within retirement communities.
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.