Finance

Naftali Zanziper Leads Major Healthcare Acquisition in Kentucky Market

In a significant development for the healthcare sector, 980 Investments, co-founded by Naftali Zanziper and Simcha Hyman, has secured another strategic acquisition in Monticello, Kentucky. The property, a 59-bed licensed healthcare facility, represents a calculated expansion of their growing healthcare portfolio.

The Monticello facility, with origins dating back to 1977 under the Hicks Family ownership, underwent strategic expansions in both 1985 and 1993. Situated at 1901 Kentucky Highway 90, this acquisition demonstrates the sophisticated investment approach that characterizes Zanziper’s business strategy.

The transaction structure highlights 980 Investments’ innovative methodology, featuring a two-phase acquisition where a third-party LLC initially acquires the property, followed by 980 Investments executing a stock purchase of the entity. This approach exemplifies the strategic thinking that has fueled their expansion in the healthcare sector.

Under the joint leadership of Naftali Zanziper and his partner, 980 Investments has established an impressive healthcare presence, managing more than 200 facilities and 22,500 beds across more than 13 states. Their operational framework includes 16 management companies, showcasing their comprehensive approach to healthcare facility administration. This particular transaction marks their fifth collaboration with Northland Networks, underlining the strength of their institutional relationships.

The financial structure reflects a balanced approach to growth and risk management. The loan amount of $3,678,887 represents a conservative 65% loan-to-value ratio based on the current valuation of $5,660,000, improving to 53.7% when considering the projected stabilized value of $6,850,000. The financing terms include a floating monthly interest rate of 1-Month SOFR + 2.75% (8.08% as of June 3rd), structured with a five-year maturity period and an initial 12-month interest-only phase.

The financial backing of this venture is particularly noteworthy. Zanziper and Hyman serve as personal guarantors, bringing exceptional financial resources with a combined net worth of $1.45 billion, liquid assets of $81.9 million, and total assets of $3.42 billion. These substantial figures underscore the robust foundation supporting their healthcare investment initiatives.

ClearView Healthcare, an integral component of the 980 Investments family, will oversee operational management. Their extensive experience managing 33 facilities and over 3,400 beds across Tennessee and Kentucky positions them ideally to optimize facility performance and ensure high-quality care delivery.

The involvement of Northland Networks, Inc., a subsidiary of First National of Nebraska, adds institutional credibility to the venture. This partnership facilitates connections between developers, lenders, and investors across thirty states, creating diverse opportunities within the healthcare investment sector.

The establishment of Monticello KY Propco LLC as the borrowing entity demonstrates the sophisticated approach to healthcare facility acquisition that has become a hallmark of 980 Investments’ strategy. This methodology has enabled them to build and maintain a substantial presence in the healthcare sector while ensuring operational excellence across their facilities.

The expansion of 980 Investments under Zanziper’s co-leadership represents a significant development in the healthcare investment landscape. Their ability to combine strategic acquisition practices with professional management expertise has created a model that benefits both investors and healthcare service recipients.

As the healthcare sector continues to evolve, this latest acquisition demonstrates 980 Investments’ commitment to strategic growth while maintaining sound investment principles. The combination of strong financial backing, experienced management, and strategic partnership with established financial institutions positions this venture for success.

The proven track record of Zanziper and 980 Investments in managing and growing healthcare facilities suggests that this latest addition will enhance their portfolio while contributing to the advancement of healthcare services in Kentucky. Their continued expansion and success in managing an extensive network of facilities underscores the effectiveness of their investment and operational strategies in meeting the growing demands of the healthcare sector.

This strategic acquisition further solidifies 980 Investments’ position as a leader in healthcare facility investment and management, while demonstrating their ongoing commitment to expanding quality healthcare services across multiple states.