Morgan Stanley Real Estate Investing has acquired two Class A senior housing communities in Central Florida for a reported $93.1 million. The portfolio includes 299 units across Lake Mary and Clearwater, offering independent living, assisted living and memory care. AgeWell Senior Living will continue operating both properties after the ownership transition.
Key takeaways
The transaction expands Morgan Stanley’s growing senior housing platform and preserves operational continuity for residents and their families.
- The portfolio includes Sonata Lake Mary and The Preserve at Dunedin.
- The communities contain 193 and 106 units, respectively.
- The reported combined purchase price is $93.1 million.
- AgeWell Senior Living remains the operating partner.
- Morgan Stanley-backed funds now hold interests in 13 senior living communities nationwide.
Two Central Florida communities change ownership
The acquired portfolio consists of the 193-unit Sonata Lake Mary in Lake Mary and the 106-unit The Preserve at Dunedin in Clearwater. Together, the properties provide a range of housing and care options designed to accommodate residents as their needs change.
The Lake Mary property was reportedly sold for $60 million, while the Clearwater community changed hands for $31.1 million. The combined figure represents Morgan Stanley’s latest investment in Florida’s expanding senior housing market.
Continuum-of-care model supports investment strategy
Both communities offer independent living, assisted living and memory care. That combination gives residents the potential to remain within the same community while receiving additional support over time, a structure that can strengthen occupancy and create operational efficiencies.
For investors, senior housing performance depends on more than the physical real estate. Care quality, staffing, resident services and the operator’s ability to manage multiple care levels are also central to the asset’s performance.
AgeWell will continue operations
AgeWell Senior Living will retain responsibility for daily management and resident care at both properties. Keeping the existing operator in place is intended to limit disruption and maintain established relationships with residents, families and employees.
The arrangement also reflects Morgan Stanley’s broader approach of combining institutional real estate capital with specialized regional operating partners. AgeWell President and Chief Operating Officer David Mills said the company would continue building on the communities’ existing foundation while focusing on care and service.
Morgan Stanley expands national senior housing footprint
Funds managed by MSREI began investing in senior housing in 2022. With the Florida acquisition, those funds now have ownership interests in 13 senior living communities across the United States.
Morgan Stanley is positioning the strategy around long-term demographic demand, including population aging and the need for housing that can support varying levels of care. Florida’s population growth and large senior demographic make the state a particularly active market for age-oriented residential and healthcare real estate.
MSREI manages approximately $58 billion in gross real estate assets globally across value-add, opportunistic, core and core-plus strategies. The acquisition adds to that platform while increasing the firm’s exposure to the Orlando and Tampa metropolitan areas.
- Morgan Stanley Real Estate Investing Acquires 300-Unit Florida Senior Housing Portfolio, Pulse 2.0.
- Morgan Stanley Real Estate Investing Acquires 300-Unit Florida Seniors Housing Portfolio, citybiz.
- Morgan Stanley Real Estate Investing acquires Lake Mary, Dunedin properties, The Business Journals.
- Morgan Stanley Fund Pays $93.1M for Florida Senior Housing Portfolio, Connect CRE.