Senior Care Soars
What happened on November 9 was a bit of a shock, but in a good way. Senior care and REIT stocks soared after a year of forgettable foibles. The reason? Pfizer’s announcement that its COVID-19 vaccine was more than 90% effective, and that it could be available very soon, combined with the apparent end of the presidential election with Joe Biden the victor. We believe it was the end of the uncertainty on both accounts that pushed the market up. For those not paying attention, the Dow Jones Industrial Average at one point during the day hit a record high of 29,933, up 5.68% from the previous close. It ended the day up 2.95%. But it was the senior care market and its related REITs... Read More »
National Health Investors Acquires Wisconsin Assisted Living Community
Ten months after refinancing a 43-unit assisted living/memory care community in Bellevue, Wisconsin, National Health Investors executed on a purchase option for the property. Opened in 2019, the community was operated by 41 Management through its affiliate Matthews Senior Living. Not long after the community opened, NHI provided a $3.87 million mortgage with a one-year term and two six-month renewal options. It also came with an interest rate of 13%. In addition, NHI obtained a purchase option, which it is executing at $12.3 million, or $286,000 per unit. The community was then leased back to 41 Management at an initial term of 15 years with two five-year renewal options. The... Read More »
National Health Investors Provides Occupancy and Rent Update
We appreciate any transparency from companies and how they are dealing with impact from COVID-19. As such, National Health Investors provided an update for its latest rent collection and occupancy results. The REIT collected 96.6% of contractual rent in September, which improved on the 95.3% success rate announced in August. In addition, 2.9% of rent was deferred, including 2.6% related to a previously disclosed deferral to Bickford Senior Living. The remaining balance reflected forecasted revenue that NHI had expected to receive from transitioned properties prior to the pandemic. Another tenant has also agreed to a deferral of approximately $560,000 in each in each the third and fourth... Read More »
National Health Investors Beats the Odds
Sometimes the regular, tried and true sale/leaseback arrangements that used to be the mainstay of REIT financing still work. Just ask National Health Investors (NHI). After reading some of the depressing second quarter earnings releases, some more than others, it was a bit refreshing to see that NHI reported an 8% increase in lease income, an 11% increase in net income, an 8% increase in net income per share and a 7% increase in FFO per share, all year over year. And you thought the sky was falling. The REIT collected about 100% of second quarter’s contracted rents, and approximately 96.9% of rents due in July (so far). Have they granted some concessions? Sure, for the... Read More »Schedule a demo
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