National Health Investors completed the sale of eight independent living communities operated by Holiday Retirement for $115 million, or $126,500 per unit. The REIT expects to realize a gain on the sale of up to $2 million, and there is one more property to sell of the original nine that NHI had slated for divestment earlier this month. Rental income for these eight properties, excluding the impact of any straight-line rents, for the six months ended June 30, 2021 was $4.2 million. The purchase price for that property should be close to $15 million. The institutional buyer of the portfolio was not named.
There may be further action on NHI’s remaining 18 Holiday properties, whether another sale or swapping of operators. Of NHI’s three major tenants, Holiday had the lowest occupancy, averaging 74.9% in July 2021 compared with 79.6% for Bickford Senior Living and 79.9% for Senior Living Communities. In addition, NHI stated in its recent business update that it has yet to receive any payment for its Holiday portfolio in August. At the end of July, NHI continues to hold $8.8 million in Holiday security deposits, so there is that.
