Montana Living

The Zett Group is pleased to offer Montana Living, a value-add 66-Unit Independent Living and Assisted Living Community located in Central MT.

Montana Living features 66 units of Independent Living and Assisted Living. Originally built in 1999 and generating 70% Private-Pay revenue, this community benefits from a balanced senior housing market that is driven by an aging local population. With a total 75+ population of 7,020 and 791 beds to serve this population, the local senior housing market is poised to continue solid occupancy for years to come.

Montana Living has shown consistent NOI performance over the past 12 months, with an average monthly NOI of $45k and an average operating margin of 27%. Not only is this community attractive because of its stabilized nature and quality of the physical plant, but there’s also room to add value through increasing the Private Pay census and modestly increasing rates. Currently 40% of residents are Medicaid residents meanwhile Private Pay rates are lower than the existing Medicaid rates. With the average rate for a Private Pay resident at $3,391, future operators of Montana Living can significantly increase revenue with even modest rate increases while still staying below competitors' rates. Montana Living’s units are also significantly larger than market unit sizes, further justifying these modest rate increases.

Montana Living offers future operators and investors impressive cash flow from day one while providing significant potential revenue gains through reasonable rent increases that will resonate well with the market. This can be done with no expense increases, thereby giving operators a realistic value-add opportunity that quickly adds to overall value of the asset.