Point Zero Healthcare Management, LLC
WESTERVILLE, OH 43082, US
Point Zero Healthcare Management, LLC was recently formed by 3 long term care management professionals with over 80 years of combined health care management experience. This entity has entered in to a Purchase Agreement to acquire 100% of the stock in a 100 licensed bed, Ohio Skilled Nursing Facility located in Brunswick, Ohio, the existing facility is achieving over 95% stable occupancy over the past 3 years and actively participates in Medicare, managed care, private insurance, Medicaid, private pay and other payment programs for resident services. 2015 revenues are projected to be $9,960,869.00 producing a net operating income available for debt service and management fees of $2,304,453.00.
The total purchase price for this acquisition is $11,646,358.00 and the Point Zero Health Care Management, LLC management team needs $1,319,026.00 from equity investors (in addition to the $727,332.00 equity from the Buyer) to accomplish the acquisition as mortgage financing in the amount of $9,600,000.00 has been approved. Point Zero Healthcare Management is willing to provide the equity lenders with 13% interest rate on each loan of $10,000.00 or greater, 20 year amortization with a 3 year balloon payment (when all the financing will be re-financed with a HUD Loan). The collateral for each equity loan will be the Stock of the corporate entity being acquired. If an Equity Investor(s) would prefer a stock position in return for the investment of the $1,319,026.00 (in aggregate in the case of more than one investor), Point Zero Healthcare Management, LLC would issue 30% of the stock in the acquired entity in return for the subject investment as an alternative to the Loan Approach.
As of 4/23/2015, $600,000.00 of the needed investor equity has been secured.
Products / Services
Long term medical care
The 100 Bed Ohio Licensed Skilled Nursing Facility being acquired by Point Zero Healthcare Management, LLC, is located in Brunswick, Ohio, and has an established history of providing Medicare, Medicaid, Private Pay, Managed Care, Hospice and Veteran’s Administration residents with long term medical care. The physical structure was initially built in 1996 but continuously renovated since that date, and contains 77,000 square feet and sits on a total of 14.6 acres of ground, in a residential neighborhood. Comparable sales support the total acquisition cost and the architect who designed this specific building has estimated that the replacement cost would approximate $13,000,000.00 +. The facility has 63 private rooms (compared to the typical 15 to 20 in most 100 bed facilities) and routinely averages over 30% Medicare Part A occupancy, which is also much higher than most other 100 bed facilities. Appraisal of the existing business and physical assets is in process.
James M. Boyd, III
Executive Vice President