- The purchase price is C$112 million
- AgeCare Health Services and Axium Infrastructure will assume property-specific debt of C$41.9 million
- Axium invests in mid-market core infrastructure assets across North America
Chartwell Retirement Residences has agreed to sell two long-term care homes in British Columbia to Calgary-headquartered AgeCare Health Services, the retirement services provider, and Axium Infrastructure.
The purchase price is C$112 million. The buyers will also assume property-specific debt of C$41.9 million. The net proceeds to Chartwell after property specific debt, taxes and closing costs is estimated at C$57 million. It expects the deal to close this year.
Chartwell is an open-ended real estate trust that indirectly owns and operates a complete range of seniors housing communities, from independent supportive living through assisted living to long term care.
“Chartwell’s experienced and dedicated long term care team at these homes has a long and successful history of delivering quality care to our residents,” said Vlad Volodarski, CEO of Mississauga, Ontario-based Chartwell.
“Substantial growth in our retirement portfolio over the years and our recently announced transition of the Ontario LTC platform has led us to the decision to sell these LTC residences in British Columbia,” he said. “It was critical that these properties be sold to a strong and reputable organization which holds similar values to Chartwell to ensure a smooth transition for our residents and employees. Our experience working with AgeCare and Axium as the transition of our Ontario LTC platform furthers strengthened my confidence that they are exactly the right partners to continue the legacy of Chartwell’s long term care operations at these homes. We are committed to work closely with AgeCare, Axium, and all our stakeholders to ensure a smooth and successful transition.”
Axium Infrastructure is a Montreal-headquartered, employee-owned fund manager that invests in core infrastructure assets. It looks for mid-market core infrastructure assets across North America and had approximately C$9.4 billion in assets under management as of 20 June.