The nursing home closed last year, and the owner of the facility, Aviv REIT Inc., put it up for auction in January. Gragg surfaced as the leading bidder.
The purchase still isn't complete, he said Tuesday.
"We're still in negotiations," he said. "There are a lot of formalities."
Gragg and his wife, who also own PJ's Restaurant in Cathlamet, plan to re-open the facility for nursing home and assisted living residency. If it's financially feasible, they may also offer mental health residency.