Wednesday, August 29, 2018

Hines Creates New Partnership Aimed at Senior Housing Investment

CoStar News

June 28, 2018 | Kyle Hagerty

Hines and Sentio Investments' New Partnership Will Target a Growing Part of Health Care Real Estate


A 15-story senior living facility under development with Welltower at 139 East 56th Street in Manhattan.

Hines has created a new partnership aimed at assembling an investment portfolio specializing in senior living and other healthcare real estate related assets. 

Sentio Investments, an Orlando-based investment group with an emphasis on private pay senior living, medical office and post-acute properties, will partner with Hines on the endeavor. 

Sentio has more than $5 billion in experience operating, acquiring and developing healthcare real estate across the country over the past 20 years. When combined with Hines' decades worth of experience and $111 billion in assets, the two firms will begin their partnership as one of the industry's largest players in a fast growing sector of real estate. 

"We feel the macroeconomic and demographic trends provide a compelling opportunity to invest in healthcare assets," said Sherri Schugart, chief executive officer of the Core Fund, REIT & BDC Group, and president and CEO of Hines Real Estate Investment Trust.

The U.S. Census Bureau expects the population growth of individuals aged 80 years old and older to accelerate in the near term, with significant growth through the year 2050. This demand, coupled with the aging of existing senior living inventory, presents an opportunity to invest in high-quality senior living and healthcare real estate. 

"This partnership with Hines allows us to actively pursue a wide range of investment opportunities with our industry relationships," chief executive officer of Sentio Investments John Mark Ramsey said. 

Robert A. Stanger & Co., Inc., assisted with the Hines-Sentio partnership formation.

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