National HealthCare Corporation Divests St. Louis-Area SNF

November 29, 2020, Ben Swett, The SeniorCare Investor -  After an attempt to replace its 282-bed skilled nursing facility in Town and Country, Missouri (St. Louis MSA) with a senior living community, and then running into zoning and planning problems earlier this year, National HealthCare Corporation (NHC) decided to sell the facility instead to a St. Louis-based owner/operator.  Census challenges and quality of care issues plagued the SNF for several years.  

Like so many facilities across the country, this was also an older property (built in 1962).  So, NHC worked with Ryan Companies to develop a new 187-unit senior living community that would feature independent living, assisted living and memory care services.  The cost was estimated to be around $60 million, or $320,000 per unit.  However, the project failed to clear the Planning and Zoning Commission, and NHC withdrew the application. 

The national operator has now sold the facility to SRZ Management, which owns 16 other skilled nursing facilities across Missouri.  Plus, the new owner has no plans to replace the facility but will invest in some improvements.