Kayne Anderson Real Estate Recapitalizes Five-Property Texas Senior Housing Portfolio With Tradition Senior Living
June 8, 2026 — Kayne Anderson Real Estate has entered into an agreement to recapitalize a five-property Class A senior housing portfolio in Texas through a newly formed joint venture with Tradition Senior Living, the firm announced Monday. The portfolio totals 1,546 units across some of the state's most affluent submarkets and is approximately 96% occupied, according to the announcement.
The transaction marks Kayne Anderson Real Estate's first investment alongside Tradition Senior Living, which will remain as the portfolio's operating partner and property manager under the terms of the joint venture. Financial terms of the recapitalization were not disclosed.
Portfolio Overview: Five Communities Across Dallas–Fort Worth and Houston
The portfolio consists of five Class A senior living communities operating under the Tradition brand. In the Dallas–Fort Worth market, the portfolio includes The Tradition-Clearfork in Fort Worth, and The Tradition-Lovers Lane and The Tradition-Prestonwood in Dallas. In Houston, the portfolio includes The Tradition-Woodway and The Tradition-Buffalo Speedway.
Collectively, the five communities comprise 1,047 independent living units, 348 assisted living units and 151 memory care units, providing what the firm described as a full continuum of care. The communities are positioned in submarkets the firm characterized as among the most desirable and economically dynamic in Texas.
The portfolio's approximately 96% occupancy rate reflects strong in-place demand at the asset level. All five communities are private-pay properties, according to the announcement.
Transaction Structure and Strategic Rationale
The deal is structured as a recapitalization, in which Kayne Anderson Real Estate establishes a new joint venture with Tradition Senior Living as the incumbent operator. Tradition Senior Living, described in the announcement as a leading owner, developer and operator of luxury senior living communities across Texas, will continue in its role as property manager under the new joint venture arrangement.
"We have spent more than a decade building one of the leading seniors housing investment platforms in the country, and this transaction reflects our continued conviction in this mission critical sector," said Al Rabil, CEO of Kayne Anderson and Co-Founder and CEO of Kayne Anderson Real Estate. "Today, we see a generational opportunity in seniors housing, supported by strong demographic tailwinds, limited new supply and growing demand for high-quality care environments. This transaction adds meaningful scale in top-tier markets and an experienced operating partner to our platform, positioning us to continue expanding our seniors portfolio and delivering risk-adjusted returns for our investors."
David Selznick, Chief Investment Officer of Kayne Anderson Real Estate, added that the transaction "highlights our ability to source and execute on a unique opportunity to recapitalize a scaled portfolio of premier senior housing assets alongside an experienced operator." Selznick said the firm looks forward to building on the foundation TSL has established as the two parties work to grow the seniors housing platform.
Kayne Anderson Real Estate's Senior Housing Platform
Kayne Anderson Real Estate entered the senior housing sector in 2013 and has since invested in more than 115 private-pay senior living communities across 25 states, totaling more than 16,000 units, according to the firm. The firm said it has developed expertise across independent living, assisted living and memory care through long-standing partnerships with operators, with a focus on assets in markets with favorable demographic trends.
As of May 2026, Kayne Anderson Real Estate manages approximately $22 billion in assets under management across opportunistic equity, core equity and real estate debt strategies. The firm's sector focus spans medical office, seniors housing, off-campus student housing, multifamily housing, self-storage and light industrial. Kayne Anderson Real Estate is the real estate private equity arm of Kayne Anderson, an alternative investment management firm with approximately $43 billion in assets under management and more than 41 years of operating history across real estate, infrastructure, energy and credit.
The firm stated that the Texas recapitalization further expands its footprint and is located within two of the nation's fastest-growing and economically dynamic metropolitan areas, citing favorable demographic trends as supportive of long-term demand for senior housing in those markets.
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