Five Star Senior Living has completed its planned exit from the skilled nursing business by transitioning the operations of 107 properties owned by Diversified Healthcare Trust. Originally, there were 108 properties in the transition, but the parties decided to close one. Five Star will also work with Diversified to close one more property in Delaware. The RMR Group, an alternative asset management company, provides management services to both Diversified and Five Star.
The amended management arrangement with Diversified, first announced this April, will leave Five Star with 140 senior living communities (120 of which are owned by Diversified) and approximately 20,000 units under management. Independent living and assisted living comprise 91% of the units, with memory care making up the remaining 9%. Five Star will still keep 45 outpatient rehabilitation and wellness clinics locating in transitioning properties.
