Harrison Street Acquires Six-Property Senior Housing Portfolio in CA for $200M

Investment management firm Harrison Street, which has more than $103 billion in assets under management, has formed a new joint venture to acquire a six-property senior housing portfolio in California for more than $200 million, according to a source with knowledge of the deal.

Harrison Street Asset Management (HSAM) partnered with senior living company Oakmont Senior Living and general contractor Blue Mountain Enterprises to acquire and develop the 669-unit portfolio, which includes five operational Class A senior living communities and one “shovel-ready” development site scheduled for completion in 2027, according to a Wednesday announcement from Harrison Street.

The portfolio, which is in “high-barrier California markets,” features amenities such as full-service hair salons, coffee and gelato bars, movie theaters, outdoor community areas and activity rooms, the announcement said. Oakmont will manage and operate the communities.

Spokespeople for Harrison Street would not disclose the locations or names of the senior living communities that are part of the sale.

Harrison Street — which already owns and operates 24 assets and approximately 2,500 units with Oakmont across California and Nevada — said it expects to grow its relationship with both Oakmont and Blue Mountain through “additional acquisitions and developments in selective West Coast markets.”

“This transaction exemplifies our senior housing investment strategy, which is the cross-section of quality assets, quality operators and quality ZIP code micro-markets,” Mike Gordon, global chief investment officer of real estate at HSAM, said in a statement. “This tri-party venture has already identified growth opportunities through both acquisition and development, and we share the belief that senior housing represents one of the most exciting real estate investment opportunities of the next decade.”

Since being founded in 2005, HSAM has invested approximately $14.7 million across 43,000 senior housing units, and has completed more than $5.6 billion in sales across 160 properties, according to the announcement.

“This venture presents an exciting opportunity to collaborate with Harrison Street, a leading investor in senior housing, and to further strengthen our relationship with Oakmont,” Blue Mountain CEO Stephanie MacLean said in a statement. “Together, we’re building a platform for long-term growth and innovation in senior housing.”

News of the deal comes after Harrison Street sold off a 14-property student housing portfolio to The Scion Group and an undisclosed buyer for $893 million in November 2024, as Commercial Observer previously reported. Before that, the investment firm bought a 19-asset self-storage portfolio across the Southeast U.S. for $200 million in August 2024.

Isabelle Durso can be reached at idurso@commercialobserver.com.