SHA Capital Partners pursues two distinct investment strategies:
SHA Capital buys second-generation senior housing communities in favorable locations with tired décor and complacent management. The firm looks to buy below replacement cost and then orchestrates a turnaround strategy, which consists of some or all of the following:
- Refresh and upgrade the common areas with high-impact modifications such as new furniture, carpet, and paint
- Change management to energize local staff and residents
- Implement a fresh marketing and advertising campaign
- Reconfigure the existing physical plant with better unit layouts, accessibility, bathroom features, and kitchenettes
- Add a care segment such as memory care
- Adjust rents to maximize overall revenue
- Improve the resident and family activity program
- Enhance the dining experience with more choices and seasonal entrees
- Build community awareness with special events
SHA Capital Partners works with regional operators with expertise in the market such as Encore Senior Living, Integracare, and Kisco Senior Living.
SHA Capital Partners identifies prime sites in undersupplied market areas with favorable demand characteristics. The firm looks for opportunities to fill a market need primarily in the mid-Atlantic region, especially in and around Washington, DC, where the entitlement process requires experience, skill, and patience. SHA Capital Partners creates joint ventures with strong operators to secure site approvals, design class A properties, finance and oversee construction and lease the communities.