Mainstreet Announces Sale of Two Properties to Invesque

CARMEL, Ind., Feb. 1, 2018 /PRNewswire/ -- Mainstreet, a national company known for real estate development, value investments and health care services, has announced the sale of properties in Nebraska and Texas to Invesque, a real estate investment company that specializes in health care and senior living property investment throughout North America.  While financials terms of the deal were not disclosed, these two sales represent the first two transactions of a four property portfolio sale valued at more than $95 million.  The remaining two property sales are expected to close within the next 60 days.

"Our long term vision is to build the nation's premier post-acute healthcare platform," said Zeke Turner, Mainstreet's founder and CEO. "We are focused on a core business strategy of developing, owning and operating healthcare properties that positively impact people's lives, whether through our own proprietary brands or in partnership with third party operators. As part of our strategy, we choose from time to time to sell select real estate holdings at a profit in order to develop new properties, reinvest in our business and grow value to our shareholders."

The properties involved in the sale are:

• A Lincoln, Nebraska, 72-bed facility that will be operated by Nebraska-based Hillcrest Health Services as a transitional care facility; and
• A Round Rock, Texas, 70-bed facility that will be operated by Mainstreet Health under its proprietary brand of Rapid Recovery Center (RRC), a health care model specializing in rehabilitation and care immediately following a hospital stay. Focused on getting patients well, RRC serves as the short-stay bridge between the hospital and home.

According to data from NICMap, post-acute care properties (those classified as "Majority Nursing Care") are seeing cap rates averaging 10.2%. Given that Mainstreet's projects are selling at cap rates between 7.5% and 8.0%, this indicates that the market finds them significantly more attractive than the average post-acute property and is willing to pay more.

Since 2010, Mainstreet has developed 54 properties valued at over $1 billion. The firm currently operates 15 of these properties across Texas, Arizona and Colorado.

Contact: Aja Pirtle, Mainstreet
[email protected]

SOURCE Mainstreet