Rolling Hills Campus Senior Living Community was owned by the not-for-profit Slovak American Charitable Association (“SACA”) and consisted of a licensed four-star-rated 115-bed skilled nursing/long-term care facility (Rolling Hills Manor) and a 59-unit assisted/independent living facility (Rolling Hills Place). The facilities were financed via tax-exempt bonds and utilized a revolving working capital line of credit. As was the case with many senior care operations, the COVID-19 pandemic resulted in a significant reduction in occupancy and corresponding revenue which severely impacted cashflow. SC&H Capital was retained to market and sell the facility as a going concern.
SC&H conducted an extensive marketing process that identified over 30 groups interested in the opportunity. SACA’s directors chose an offer from Cedar Health Group, LLC that paid off most of the outstanding credit obligations and kept a majority of the staff employed. The buyer requested a bifurcated closing with an initial close on Rolling Hills Manor and a closing on Rolling Hills Place to occur shortly thereafter. Following the Rolling Hills Manor close, SC&H continued to be the liaison between the buyer, seller, and seller’s other professionals, assisting with negotiating extensions and operational procedures leading up to the Rolling Hills Place closing, which occurred several months later.
