Four local nursing homes sold to N.Y. buyer for $165M

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A new sign has been draped over that for Westport Rehabilitation & Nursing Center in Tuckahoe. (Mike Platania photo)

A group of local nursing homes, including an embattled center in the Tri-Cities, are under new management and new ownership after a sizable series of deals.

The facilities at 7300 Forest Ave. and 561 N. Airport Drive in Henrico, as well as 831 Ellerslie Ave. in Colonial Heights and 905 Cousins Ave. in Hopewell sold in recent weeks to the same buyer for a combined $165.2 million, local property records show. 

Prestige Healthcare Administrative Services, a New Jersey-based company that owns 20 nursing facilities throughout the Northeast and Mid-Atlantic, is now managing the facilities, but it’s unclear who exactly purchased the properties. 

Each site sold to a different LLC, all of which are tied to a David Katz of Brooklyn, New York. No further information was available for Katz, who couldn’t be reached. 

The largest of the four deals was for the Forest Avenue facility, which sold for $56.3 million. The 1970s-era property was formerly known as Westport Rehabilitation & Nursing Center and has been rebranded as Richmond Post Acute as part of the sale. 

The second-largest price tag was for the former Colonial Heights Rehabilitation and Nursing Center on Ellerslie Ave., which went for $49 million and is now under the name Magnolia Post Acute. After a patient died at the center due to inadequate care in 2024, more than a dozen staffers at the nursing home were arrested on charges of elder abuse and neglect. The scandal sparked an effort to expand Virginia Department of Health oversight of nursing homes, and the prosecution of the former staffers appears to be ongoing. 

In Hopewell, the former Wonder City Rehabilitation & Nursing Center on Cousins Avenue sold for $32.5 million and was rebranded to Creekside Post Acute. And the Henrico Health & Rehabilitation Center on Airport Drive in eastern Henrico, which has also made headlines in recent years due to its poor condition, sold for $27.4 million. 

The two deals in Henrico County closed on Sept. 3, while the Hopewell deal closed Aug. 13, and the Colonial Heights property sold on Aug. 6. 

The sellers of each deal were LLCs tied to Medical Facilities of America, a Roanoke-based firm that’s been around since 1972. It owned and operated the facilities prior to the sales. 

Neither Prestige nor MFA responded to requests for comment by press time. 

CBS 6 was the first to report the sale of the Colonial Heights facility. In that report, a representative for Prestige said the company has no affiliation with MFA and that Prestige is not the property owner. 

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