Pine Run Life Plan Community
CHICAGO – October 3rd, 2023 – Disposition of a Two-Campus Life Plan Community
Transaction Overview
Kaufman Hall and Associates, LLC (“Kaufman Hall”) served as exclusive financial advisor to Doylestown Hospital (“DH” or the “Hospital”) in connection with the disposition of DH’s 532-unit/bed life plan community (LPC) (“Pine Run LPC”) situated across two campuses in Bucks County, PA. As described below, Pine Run LPC received strong interest and the sale of the LPC will infuse significant liquidity onto DH’s balance sheet while removing a non-core asset.
Kaufman Hall’s Role
On behalf of DH, Kaufman Hall conducted a competitive sale process and contacted more than 75 potential buyers including for-profit operators, REITs, private equity and not-for-profit senior living systems. Pine Run LPC garnered robust interest from a diverse group of bidders, and Kaufman Hall received more than a dozen initial offers. A handful of finalists were invited to the second round and conducted detailed due diligence and site visits. DH selected Presbyterian Senior Living (“PSL”), given the strength of their offer, which included funding the purchase price through PSL’s BBB+ rated Obligated Group, providing greater certainty to closing.
Pine Run LPC and DH
Pine Run LPC is a 532 unit/bed Type C LPC with a main campus and a separate personal care facility/campus. Pine Run LPC had undergone significant capital reinvestment from DH and offered an attractive addition for investors/providers with existing assets in the Pennsylvania marketplace or as a platform entrée into the suburban Philadelphia market. Pine Run LPC was operated as a division of DH, a 247-bed acute care hospital also situated in Bucks County, PA.