The Vancouver, Washington headquartered Hawthorn Retirement Group is all set to be acquired by Columbia Pacific Advisors. Hawthorn owns senior housing communities spread over 20 states in the United States and in two Canadian provinces. It also operates those facilities. Columbia declined to disclose the deal terms.
About Columbia Pacific Advisors
Columbia Pacific Advisors is a Seattle based company. It was partly founded by Dan Baty, the company's present Emeritus Co-founder. He co-founded and also served as chairman of the Emeritus Corporation until it merged with another company, the Brookdale Senior Living, in 2014.
The acquisition of Hawthorn is nothing new. The last 10 years saw Columbia to develop and acquire about 300 communities for senior living. More than 25,000 units are managed by the company. Columbia is active over a number of real estate sectors, including acquisition and then development of approximately 1,300 multifamily units. It manages in excess of 1.2 million square foot of commercial space peppered over the US and Canada.
Hawthorn's principal owners include Brad Colson, Bart Colson and Norm Brenden. Bill Colson-the father of Brad and Bart Colson- co-founded with Dan Baty the Holiday Retirement company prior to its sale to the Fortress Investment Group in 2007. Baty was the chairman of Holiday for about nine years- starting from 1987 and ending in 2007.
Hawthorn and Columbia
Hawthorn presently has 55 communities under its operational wing. It has another 24 properties either in pre-development or under construction. Columbia will not only purchase Hawthorn's real estate portfolio, but also the latter's construction and management businesses. It is anticipated that Hawthorn will be bought later this summer.
Alex Washburn, the managing director and co-founder of Columbia Pacific Advisers, were confident about the Hawthorn purchase. He said that Columbia is buying what can be described as one of best companies specializing in senior living services. He pointed out that this purchase makes sense if one considers a swiftly approaching and huge demographic trend of a rapidly aging American population. He said that the Hawthorn platform is made of superior quality properties. The latter also offers an opportunity to connect with right operators. The merged new company will tackle all the challenges and trends associated with senior living industry. The funds which are Columbia Pacific Advisors managed have developed interests or acquired in excess of 300 communities for senior housing over past 10 years. It has also invested outside the United States.