Two U.S.-based investors have created a partnership to buy nine Ontario seniors housing communities in small or mid-sized markets and create a new platform to be known as Oxford Living LLC.
The venture is jointly owned by Chicago-based Oxford Capital LLC and New York-based insurance and investment firm Starr Insurance Companies. They’ve invested about $100 million to purchase the nine properties, which comprise 648 suites and are located across northern, central and southwestern Ontario.
(Editor’s Note: Oxford Capital LLC has no ties to Oxford Properties, a Canadian real estate developer, manager and investment firm)
The portfolio has been compiled from four separate vendors.
The partners say they have an experienced Canadian team to oversee operations of the communities, while drawing on Oxford Capital’s experience in the senior housing and hospitality sectors. Oxford Capital has invested in more than $3 billion in senior housing and hospitality assets, including some 3,000 senior housing units and 13,000 hotel rooms.
Properties Oxford Living purchased
“Consolidating mid-market retirement communities in secondary Ontario markets is an ideal launching pad for Oxford Living,” said John W. Rutledge, the founder, president and CEO of Oxford Capital Group and CEO of the new affiliate.
“In Canada, where most institutional investors are focused on high-end properties in urban centres, our strategy is to acquire and operate mid-market assets.”
The nine communities acquired are:
- Blue Mountain Manor, 52 suites, located in Stayner;
- King Place, 68 suites, located in Midland;
- Inspirit Residences, 43 suites, located in London;
- Maple View Terrace, 90 suites, located in London;
- Shoreview At Riverside, a Windsor property which was extensively renovated in 2015;
- Walford Lasalle and Walford Sudbury, both located in Sudbury;
- Walford Hillside Park, in Elliot Lake;
- and Walford Thunder Bay, in Thunder Bay.
Blue Mountain Manor, King Place and Maple View Terrace were previously owned by Trillium Retirement Living, the four Walford properties were operated by Walford Management Group, and The Shoreview at Riverside and Inspirit Residences had separate, private ownership groups.
Oxford Living says it plans to invest to enhance and upgrade the properties, including “significant expansions” at several of the sites.
Extensive seniors housing experience
Lawrence Cummings, senior managing director at Oxford Capital, will serve as president of the new company, joined by Richard Noonan as chief operating officer, Scott Vecile as chief financial officer and Tim Foster as chief revenue officer.
Together, they have more than 60 years of experience in seniors housing management, operations and development.
Cummings has led value-add senior housing investments throughout his career, serving as CEO of both publicly traded and privately held senior housing companies.
“In addition to refreshing and expanding this portfolio, we expect to acquire subsequent Canadian assets,” said Cummings. “We are already in discussion with owners of individual assets and portfolios and expect to undertake further acquisitions in the coming months.”
Noonan and his operations team are no strangers to senior housing; he was a co-founder and COO of Chartwell Retirement Residences, Canada’s largest owner/operator of seniors housing. While at Chartwell, Noonan had operational responsibility for more than 300 seniors housing properties in the United States and Canada.
“A key element of our mid-market strategy is to leverage the well-develop(ed) presence these properties have established in the local communities,” said Noonan. “The properties are well-managed with great teams. Aside from investing in enhancements, our operational plan is to ‘stay the course.’ ”
About Oxford Living, LLC
Oxford Living, LLC is an affiliate of Oxford Capital Group, LLC. Oxford Living acquires, manages and develops 100 per cent private-pay seniors housing assets throughout the United States and Canada.
Oxford and/or its principals’ senior housing investments include; investing in and developing/redeveloping and managing assisted living, independent living/independent supportive living and memory care facilities.
Target Canadian properties are located in both secondary and tertiary markets, with significant value add potential which can be realized through expansion, capital improvements and management efficiencies.
About Oxford Capital Group, LLC
Oxford Capital Group is a real estate investment, development and management firm.
In addition to Oxford Living LLC it also operates Oxford Hotels and Resorts LLC.
Oxford, its affiliates and principals have been involved in more than 3,000 senior housing units and approximately $3 billion of real estate and private equity investments, including approximately 13,000 hotel rooms.
The firm’s areas of experience include hospitality, mixed-use, senior housing, multifamily, student housing, urban retail, parking, and other operationally intensive forms of real estate.
About Starr Companies
Starr Insurance Companies (or Starr) is the marketing name for the operating insurance and travel assistance companies and subsidiaries of Starr International Company, Inc. and for the investment business of C. V. Starr & Co., Inc. and its subsidiaries.
Starr is an insurance and investment organization with a presence on five continents.