Mount Vernon sale represents one of multiple larger engagements to cull several non-strategic assets
Cushman & Wakefield Senior Housing Capital Markets, acting as exclusive advisor to an institutional client, has arranged the sale of Greentree at Mount Vernon, a 112-unit assisted living and memory care community in Mount Vernon, Illinois, approximately 80 miles from St Louis. The sale is part of a larger engagement that Cushman and Wakefield has with its client to cull several non-strategic assets. The property in Mount Vernon represents an opportunity for a new operator with strong regional presence and in-place infrastructure to improve operations and occupancy at the community. Compass Senior Living acquired the community for $6 million and will incorporate it into its Midwestern portfolio that includes 11 other communities in Illinois, Missouri, and Wisconsin. Overall, Compass operates 25 communities in seven states.
Greentree at Mount Vernon was built in phases between 2001 and 2009 and has been maintained in excellent condition, including a thorough renovation in 2017. Despite its standing as the best physical building in the market, occupancy declined during 2018 to near 60% as a result of new competitors renovating and reducing rents. Upside opportunity exists for Compass to employ a revived marketing strategy and stabilize the property.
The Cushman & Wakefield team involved in the transaction included Vice Chairman Richard Swartz, Executive Director Jay Wagner, Director Jim Dooley and Associate Sam Dylag.
“We’re excited to have assisted our client on another successful disposition of an asset that doesn’t fit their investment thesis. The community in Mount Vernon represents a great opportunity for an operator with regional presence to capitalize on its upside,” said Swartz. “At its core, senior living is a local business, and every community requires the right operator to reach its potential. We feel Compass is a very strong buyer for this community and we enjoyed working with their team through the process,” added Wagner.
About Compass Senior Living
Compass Senior Living is an owner/operator based in Eugene, OR with 25 communities under management in Oregon, California, Arizona, New Mexico, Missouri, Illinois and Wisconsin. Compass places a great importance on the culture in its communities and in its home office. They combine decades of senior housing experience and knowledge to serve the needs of their residents, families, employees, and investors. Compass has an accessible and hands-on leadership team along with operational experience in multiple states. https://www.compass-living.com/
