Resilience wins.
3G Healthcare Real Estate closes a 99-bed Ohio SNF transaction at ~$106,000 per operational bed, through two buyer fallouts, a mid-process Medicaid rate cut, and a closing-day zoning crisis.
“You guided us through every twist and brought it home.”
Seller praise
The challenge
A 99-bed Ohio SNF owner faced cascading obstacles that threatened to unwind the transaction at every stage. An initial buyer walked away after declining to convert from a lease-only structure. A second buyer signed a competing contract, then collapsed.
Mid-process, an Ohio Medicaid rate reset stripped the facility of quality points, dropping per-diem reimbursement by roughly $50 per day. Hospital discharge volume softened, pulling census from the high-80s into the low-80s. The seller’s senior lender pushed for an exit while disallowing any lease alternative. Indemnification scope, CHOW timing, and an eleventh-hour zoning report requirement at the closing table each threatened to derail the deal.
What 3G did
- Re-engaged a previously sidelined qualified buyer after a competing offer collapsed late in the process.
- Restructured deal economics from cash-plus-seller-note to all-cash $10.5M to eliminate financing friction and seller tax exposure.
- Quarterbacked simultaneous OTA, APA, and CHOW negotiations across rotating seller counsel and buyer counsel.
- Resolved a closing-day zoning report requirement that had paused bank funding.
The result
The deal closed all-cash at $10.5 million, approximately $106,000 per operational bed, after surviving two buyer fallouts, an Ohio Medicaid rate cut mid-process, a star-rating reset, and a closing-day zoning crisis.
By keeping multiple qualified buyers engaged, restructuring deal terms when financing conditions shifted, and quarterbacking simultaneous counsel negotiations through OTA, APA, and CHOW, 3G delivered a clean exit on the seller’s required timeline despite a deteriorating reimbursement and census backdrop.
Selling in Ohio? Read selling a skilled nursing facility in Ohio.