National Health Acquires Asset - Analyst Blog

By
A A A
Share |

National Health Investors, Inc. ( NHI ) , a healthcare real estate investment trust (REIT), recently acquired a 181-unit senior living campus in Loma Linda, California for $12 million. The transaction was funded with available cash and borrowings on National Health's revolving credit facility.

The campus includes 98 independent living units and 83 skilled nursing beds. The existing lessee, Chancellor Health Care, LLC, will continue to manage the property for 15 years. The lease terms provide renewal options with annual fixed escalators and a lease rate of 9%.

With this deal, National Health has strengthened its relationship with Chancellor Health Care, a premium operator with expertise in senior living facilities and over 20 years of operating experience. This deal further enables National Health to fortify its presence in Southern California

Earlier in the second quarter of 2012, National Health entered into a $320 million unsecured credit facility to fund new healthcare real estate investments and pay down revolving borrowings. Additionally, the company acquired a new 125-bed skilled nursing facility in Texas for $13.5 million.

Based in Murfreesboro, Tennessee, National Health specializes in financing healthcare real estate through purchase and leaseback transactions and by mortgage loans. The company's investments involve skilled nursing facilities, assisted living facilities, independent living facilities, medical office buildings and hospitals.

National Health currently retains a Zacks #3 Rank, which translates into a short-term Hold rating. We have a long-term Neutral recommendation on the stock. One of its competitors, HCP, Inc ( HCP ) also holds a Zacks #2 Rank, which translates into a short term Buy rating.


 
HCP INC (HCP): Free Stock Analysis Report
 
NATL HEALTH INV (NHI): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Business , Stocks

Referenced Stocks: HCP , NHI

Zacks.com

Zacks.com

More from Zacks.com:

Related Videos

Stocks

Referenced

Most Active by Volume

89,970,926
  • $16.15 ▲ 0.12%
77,131,582
  • $58.94 ▼ 1.31%
67,336,935
  • $26.56 ▲ 1.68%
48,814,124
  • $86.20 ▲ 0.02%
47,526,126
  • $23.21 ▲ 0.78%
44,660,424
  • $23.91 ▲ 6.36%
38,799,699
  • $4.289 ▲ 4.36%
36,199,890
  • $40.01 ▼ 0.97%
As of 4/17/2014, 04:07 PM