Publications

Ventas sells 22 skilled nursing facilities
Real Estate - SEPTEMBER 5, 2017

Ventas sells 22 skilled nursing facilities

by Released

Ventas has completed the initial phase of its sale of 36 skilled nursing facilities that are presently operated by Kindred Healthcare. The sale is part Kindred's exit from its skilled nursing facility business.

Specifically, Kindred recently completed the sale of 54 skilled nursing facilities—22 of which were owned by Ventas. The REIT received $488 million from Kindred upon closing.

Overall, Kindred on Thursday completed the sale of 54 skilled nursing facilities in 10 states.

The $519 million transaction involves the majority of the 89 total skilled nursing facilities and seven assisted living facilities that Kindred will sell to BM Eagle Holdings—a joint venture run by affiliates of alternative asset management company BlueMountain Capital Management—as part of the overall deal.

In all, the parties estimated that Kindred would net $700 million from the skilled nursing facilities sale, which it would then pay to Ventas for its real estate. The $210 million expected benefit for Kindred would largely come from cash benefits associated with net operating losses and lower working capital, according to analysts who weighed after the transaction was first announced.

Forgot your username or password?