Sunrise Senior Living Has New Owners for Cool $1 Billion

If you know high-end hotel properties like The Boca Raton, Four Seasons Hualalai, and Auberge Collection properties, then you know the new majority owners of Sunrise Senior Living.

In a deal announced on Tuesday, Sunrise said the investment group BDT & MSD Partners is taking a majority stake in the fifth-largest senior housing operator in North America, buying out Canada’s Public Sector Pension Investment Board. The Wall Street Journal said terms were not made public, but “the buyer values the deal at more than $1 billion.”

Senior Sunrise leadership will own the stake not owned by BDT & MSD Partners.

Sunrise operates 230-plus communities across the U.S. and Canada and counts more than 22,000 residents with its niche being focused on wealthier customers able to afford charges of roughly $10,000 per month for assisted living, not include additional services.

Michael Dell Connection

The Journal said BDT & MSD “has roots in the family office of computer pioneer Michael Dell, and today it manages capital for his family, as well as other investors.”

The newspaper said the $1 billion price tag for the majority stake in Sunrise is indicative of the flourishing market for senior living as baby boomers hit the 80-year-old mark in dramatic numbers. The Journal also looked at the supply and demand factors in play, with sector data from NIC MAP showing the U.S. could face a shortage of more than 575,000 senior-housing units by 2030, as the population age 80 and older grows by about one-third.

In its announcement, Sunrise CEO Jack R. Callison, Jr., said "Sunrise is guided by a singular purpose: championing quality of life for older adults by creating environments that support longer, healthier, and happier lives.”

Sunrise said its senior leadership team will remain in place following the transaction and continue to manage its communities, investing significant personal capital alongside BDT & MSD's majority investment. The transaction is expected to close in 2027.

Comments or questions? Contact Patrick Connole at pconnole@parkplacelive.com.