The administators of troubled care home business Four Seasons Health Care are selling a portfolio of 111 freehold care homes in England, Scotland and Jersey, all trading under either the Four Seasons Health Care Group or brighterkind brands.

These homes comprise Four Seasons Health Care’s remaining freehold property portfolio and associated care home business, representing a key milestone in the group’s ongoing restructuring process. 

The sell-off comprises 6,054 bedrooms, with the majority of homes offering more than 40 spacious bedrooms, 80% of which have en suite provision. A significant proportion are purpose-built or have purpose-built extensions, with almost half offering scope for expansion, subject to planning. The company has appointed business property advisor Christie & Co to sell the properties.

The homes are orientated towards the local authority/clinical commissioning group funded market and have relationships with a wide pool of different funding authorities. Four Seasons Health Care Group stated that: “They demonstrate good income growth and recovery from Covid-19, with increasing occupancy levels and strong average fee uplifts.”

The portfolio comprises: eight homes in the Southeast, four homes in the Southwest, 11 homes in London, nine homes in the East of England, 15 homes in the East Midlands, six homes in the West Midlands, 12 homes in Yorkshire, 16 homes in the Northeast, 14 homes in the Northwest, 14 homes in Scotland, and two homes in the Channel Islands.

Christie & Co expects the portfolio to interest a range of buyers, including corporate buyers and investors, regional groups and SME operators looking for growth opportunities via acquisition. Christie & Co emphasised: “It is imperative to the vendor that the new owners of these homes have an ongoing commitment to the provision of high-quality care for residents, as continuity of care remains a priority for the group.”

Four Seasons Health Care interim chief executive Joe O’Connor said: “Our priority remains the continuity of care for all residents, and the group will work closely with Christie & Co, potential buyers and other counterparties, as well as all relevant regulators, to ensure that the sales process and the transition of care homes to new ownership is seamless.”

Martin Gould and Michael Hodges at Christie & Co commented: “We’re really proud to be part of this unique offering, one of the biggest of its kind, which comes at a time when there is significant investor and operator opportunity in the UK elderly care sector. The sale presents a chance for the new owner to work with the fantastic existing staff at Four Seasons Health Care Group and to invest and improve on these brilliant homes, all the while ensuring continuity of care. We are excited to be bringing this substantial group of assets to the market and anticipate strong interest from a wide range of prospective buyers.”

Four Seasons’ Northern Ireland properties are not included in the sale and are about to be sold to in a separate transaction in July, according to a Sky News report.

Alvarez & Marsal was appointed as administrator to Four Seasons in April 2019. Private equity firm Terra Firma Capital Partners had owned the company since 2012.