Sabra Health Care REIT Sells 20 More Genesis SNFs
After already announcing that it has put on the market 35 of its properties leased to Genesis Healthcare, Sabra Health Care REIT has successfully sold 20 of them to an undisclosed buyer for $103 million. The memorandum of understanding with Genesis to market and sell these 35 properties followed Sabra’s merger with Care Capital Properties and was aimed, clearly, at reducing the Sabra’s lease exposure to Genesis. With this deal, which featured skilled nursing facilities in Kentucky, Ohio and Indiana, Sabra’s annual rent from Genesis is reduced by $9.3 million. Plus, the deal is on top of the sale of four other facilities under the memorandum of understanding in the second half of 2017.... Read More »Sabra Health Care REIT Buys Again
Fresh off the heels of its $3.0 billion merger with Care Capital Properties in August and its $430 million joint venture acquisition of most of Enlivant’s assisted living properties for an investment of $371 million, Sabra Health Care REIT announced a $430 million acquisition of 24 skilled nursing facilities with 2,216 beds, or a price of $194,000 per bed. That price will certainly help bolster what has been a mostly down year for SNF pricing, where we have seen more below-average facilities sold than in the previous two years. But this portfolio is certainly not average, with a 92% occupancy rate and a 59% skilled mix, which is huge for a portfolio of this size. In addition, 21 of the... Read More »Sabra Health Care REIT Invests In Enlivant
Sabra Health Care REIT has entered into an agreement to invest in a 49% interest in a joint venture that will own 183 senior living properties operated by Enlivant with the remaining 51% held by TPG Real Estate, which currently owns 100%. They have valued the transaction at $1.62 billion, or $195,600 per unit, with Sabra’s equity investment coming to $371 million. In 2013, TPG bought the former Assisted Living Concepts (ALC) for $458.5 million, or about $58,000 per owned unit, when occupancy had dropped to 60% after the company decided to get out of the Medicaid business. TPG changed the name to Enlivant, partly because there had been a few too many scandals associated with the previous... Read More »
Sabra and Care Capital Properties Merger Is Passed
After some dissidents tried to torpedo the deal, shareholders decided bigger was better. Well, the vote is in, and it looks like the merger of Sabra Health Care REIT and Care Capital Properties will go through as planned. It wasn’t easy, and Sabra’s CEO Rick Matros had to deal with two dissident shareholders who controlled only about 8% of the shares between them. They came into the stock late in the game and had no intention of staying around for long. But they caused enough of a ruckus to have shareholder advisory service firm, Institutional Shareholder Services, recommend a no vote against the merger. Let’s just say, we suspect ISS knows little about the skilled nursing business, and... Read More »Schedule a demo
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