Five Star adds 10 assisted living facilities to portfolio

Five Star Quality Care Inc., a Newton company that operates senior living communities, said today that it has expanded its portfolio by acquiring newly built facilities in prime locations in Pennsylvania and New Jersey.

In a press release, the company said that it has "purchased three assisted living facilities with 259 living units for $21.4 million and acquired the operations of an additional seven assisted living facilities with 614 living units for an annual rent payment of approximately $7.6 million per year."

The 10 facilities combined have a total of 873 living units and an average occupancy of 82 percent, the company said.

The facilities were previously operated by NewSeasons Assisted Living Communities Inc. of Pennsylvania under leases from Senior Housing Properties Trust, a Newton-based real estate investment trust, said Five Star, which added that it has assumed NewSeasons' lease obligations to Senior Properties Trust for seven of these facilities.

Please click here to read the press release on the transaction released by Senior Housing Properties Trust.

In consideration of Five Star's lease assumption, NewSeasons has paid Five Star $10 million and transferred title to certain personal property located at the facilities which personal property was owned by NewSeasons, Five Star said.
(By Chris Reidy, Globe staff)