Ventas SNF spin-off gets in the game
Just a couple of weeks after Care Capital Properties officially was spun out from Ventas and began trading on the New York Stock Exchange, the newly formed post-acute/skilled nursing facility REIT announced its first acquisition, and it was a big one. With eight skilled nursing facilities and one assisted living community and 1,174 beds in the Shreveport, Louisiana market, the portfolio featured an average occupancy of 88% and a 47% quality mix. Also included in the portfolio was a rehab therapy company, four hospice agencies and an interest in an affiliated pharmacy provider. CCP will triple-net lease the portfolio to pursuant to a 15-year master lease containing annual rent escalations... Read More »Another Holiday portfolio sells to a REIT
So goes another large portfolio of Holiday Retirement properties, with NorthStar Realty Finance’s acquisition of 32 independent living communities from affiliates of Harvest Facility Holdings, itself an affiliate of Holiday. The acquisition marks another step towards Holiday’s owner Fortress Investment Group’s goal of transforming Holiday into an operating company. In fact, since October 2013, Holiday has sold over 200 properties totaling about $5.1 billion. In that time, nearly all of those assets were sold to REITs, such as New Senior Investment Group, Sabra Health Care REIT, National Health Investors and Ventas, and that is no different in the most-recent transaction. NorthStar Realty... Read More »The Ventas Spin-off Has People Talking
Here are differing opinions as to what motivated Ventas to spin out most of its skilled nursing portfolio. There has been a lot of talk about the recent announcement by Ventas to spin out most of its skilled nursing properties into a new publicly traded REIT. In our April newsletter issue, we stated that it was a smart move for Ventas, and a great move for Ray Lewis, who will become CEO of the new spin out. But tongues have been wagging in terms of whether this was a defensive move on the part of Ventas, meaning that management has decided that the skilled nursing business is not something they want to focus on, at least not with small operators in their portfolio. Or, was it an offensive... Read More »Ventas Closes ARC Deal
American Realty Capital Healthcare Trust shareholders trade their shares for Ventas shares. At the end of last week, Ventas closed on its acquisition of American Realty Capital Healthcare Trust. The deal was first announced last June 2 as a stock-for-stock transaction valued at about $2.6 billion, with up to 10% of the ARC shares redeemable for cash. At the time, Ventas was trading at about $66 per share, but its shares have increased by almost 17% to $77 since then. Fewer than one million shares of ARC took the cash option, with almost all shareholders taking the Ventas stock. And why not? The shares had appreciated, Ventas has a growing dividend, interest rates aren’t going anywhere... Read More »Schedule a demo
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