Kayne Anderson Real Estate has invested in a US senior housing portfolio through a joint-venture recapitalisation with owner-operator Tradition Senior Living (TSL).
Kayne Anderson said it has agreed to recapitalise the class-A senior housing portfolio in Texas partnership with TSL.
TSL will serve as operating partner and property manager for the 1,546-unit portfolio, which is 96% occupied. Spanning 1,546 units, the portfolio includes 1,047 independent living, 348 assisted living and 151 memory care units.
The latest investment builds on Kayne Anderson’s existing US senior housing platform. Since 2013, the firm has invested into more than 115 private-pay senior living communities across 25 states, bringing its total portfolio to over 16,000 units.
Al Rabil, CEO of Kayne Anderson and co-founder and CEO of Kayne Anderson Real Estate, said: “We have spent more than a decade building one of the leading seniors housing investment platforms in the country, and this transaction reflects our continued conviction in this mission critical sector.
“Today, we see a generational opportunity in seniors housing, supported by strong demographic tailwinds, limited new supply and growing demand for high-quality care environments. This transaction adds meaningful scale in top-tier markets and an experienced operating partner to our platform, positioning us to continue expanding our seniors portfolio and delivering risk-adjusted returns for our investors.”
David Selznick, CIO of Kayne Anderson Real Estate, said: “This transaction highlights our ability to source and execute on a unique opportunity to recapitalise a scaled portfolio of premier senior housing assets alongside an experienced operator.
“TSL has established an impressive portfolio and a strong reputation with residents, and we look forward to building on that foundation as we work together to grow our seniors housing platform.”
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