One core principle, is focusing on regional densification where we are able to benefit from our scale, implement our full suite of labor management tools, and thus grow our portfolio without costly recruiting and without meaningful changes to G&A. Market volatility continues with owners, operators, and capital providers reaching key decision points, and Sonida continues to engage in discussions, to identify potential near-term opportunities. With approximately $18 billion in senior living debt maturing in 2024 and 2025, based on the latest NIC data and capital availability remaining tight, Sonida is positioned to provide value as an operator, owner, and investor in the current market. As of today, we have clear visibility on transactions including more than 700 units with expected closing dates in the second quarter of 2024.
These potential transactions include outright purchase, joint venture ownership, and third-party management, all in key markets targeted for expansion. We look forward to sharing additional details, as the transactions are finalized in the coming weeks and months. The Sonida transformation driven by operational improvement and significant balance sheet restructuring and de-levering efforts, can best be summarized on Slide 10 of our supplemental investor information. The pro forma capitalization table reflects a debt structure, with attractive interest rates and minimal debt maturing until the end of 2026, combined with significant equity value in the business. In summarizing, our year-end 2023 performance and 2024 outlook, we remain optimistic about the industry as a whole and the Sonida platform.
The ongoing retention and development of our leadership teams and the effective rollout of new resident programming and technology, remain paramount to continuing the growth trends achieved in 2023. Our team is excited to continue building a best-in-class operating platform to achieve the full potential in each of our 71 communities while expanding our footprint through strategic and accretive growth opportunities. I’ll now turn it over to Kevin for discussion of the financial results.
Kevin Detz: Thanks, Brandon. Expanding the discussion around the company’s performance and balance sheet, let’s jump back to Slide 6 of the investor presentation. Before I dive into the numbers, I want to take a moment to recognize the incredible work and commitment, by the team over the last 18 months. In early ’22, the company was at a critical inflection point and having just recapitalized and still working out of the devastating impact from COVID-19. In less than two years, the company has carefully rebuilt its corporate support team and culture, with the injection of new contributors and leaders, to write the next chapter of the company. The company’s finance and accounting functions, have quickly evolved from a group of hired contractors, to best-in-class professionals serving as business partners, to our incredible operations team.
I am extremely proud of the collective success attained and look forward to continued evolution, as the company executes on its strategic growth plans. Finally, I would be remiss if I did not thank our business partners and lenders, particularly Fannie Mae and Ally Bank for all their support, creativity, and temporary flexibility, as the company is poised to soon realize all-in cash flow generation. Over the course of the last nine months, we have made incredible strides in addressing our debt and overall capitalization. To summarize, the company temporarily modified its liquidity covenants, under the Ally term loan to provide runway required, to execute a material restructuring of the economic terms in its Fannie Mae mortgages. During the fourth quarter, the company entered into a purchase and sale agreement, to acquire all remaining loans on its protective life portfolio.
The purchase price represented a 48% discount of the total indebtedness of $77.4 million. In February 2024, the company closed on this transaction and concurrently financed $24.8 million, of the loan purchase price as part of its existing term loan, with Ally Bank. As a result of the modifications made to 56 of the company’s 60 community loans, management has meaningfully improved cash flow, leverage ratios, and term across its debt portfolio. Specifically, the company extended its average remaining loan term to 3.7 years and de-levered the company by $55 million since January of 2023, including a $5 million paydown in connection with the Fannie Mae modification. The foundational work on the company’s debt, which is further highlighted on Slides 10 through 12, instilled confidence in Sonida’s largest investors, leading to the offensive private placement raise executed last month, which in large part has been earmarked for growth in 2024.
From a financial reporting perspective, the debt and equity transactions have allowed the company to address any risk associated with its end-of-year cash balance and its ability to continue as a going concern. As further – disclosed in today’s 10-K and accompanying auditor opinion on the financial statements. Despite continued macro inflationary pressures, management reduced G&A as a percentage of revenue and adjusted to include stock comp and one-time transaction costs from 11.8% to 10.5% on a year-over-year basis. Rounding out Slide 6 and addressing some of our performance highlights on Slide 8 and 9, I’m pleased to report continued occupancy and rate growth. Beyond the year-over-year occupancy increase of 160 basis points, and with an eye towards 2024, we are encouraged by achieving an average occupancy of nearly 86%, for the last quarter of the year.
On the rate side, we realize the benefit of aggressive, but responsible rate optimization. RevPOR increased 10% year-over-year and should further expand in 2024, with the company having successfully migrated, to a resident-wide March 1 rate renewal anniversary. Comparing year-over-year margins, the company expanded its NOI margin by 520 basis points, or 460 basis points on an adjusted NOI margin basis, which excludes the one-time impact from state grant receipts. For the fourth quarter of 2023, annualized NOI and margin were $66.8 million and 27.4% respectively. These figures include non-recurring credits recognized in connection, with one-time real estate tax settlements and workers comp true-ups as a result of the most recent actuarial reports.
