A skilled nursing center in the metropolitan area of Dallas-Fort Worth in Texas was recently acquired by real estate investment trust, LTC Properties, Inc. for $16 million.
According to the press release of LTC Properties in Business Wire, the newly-constructed nursing center was opened in mid-2015 and now has 126 licensed beds. The property is the newest addition to the existing master lease of LTC Properties, Inc., with an affiliate of Fundamental Administrative Services, LLC. The incremental initial yield of the property is at 8.5 percent, while rents will have an annual increase of 2.5 percent every year.
"After a highly successful 2015, the acquisition of this skilled nursing center continues our forward momentum. We are delighted to expand our close relationship with Fundamental, who provided us with the opportunity to make our first stand-alone behavioral health care investment, late last year," said Wendy Simpson, LTC's Chairman and Chief Executive Officer. "LTC's attractive cost of capital and balance sheet strength position us to continue capitalizing on strategic opportunities as they arise."
LTC Properties, Inc. is a health care real estate investment trust (REIT) that invests in seniors housing and health care real estate, through triple-net lease transactions, mortgage loans and other investments. LTC is an active capital provider in the seniors housing and health care real estate industry with investments historically ranging from $10 million to $100 million, and the financial strength to fund larger transactions.
The LTC portfolio of seniors housing and health care properties include 102 assisted living properties, 89 skilled nursing properties, and 14 other senior housing properties. LTC's portfolio of properties and services are well diversified by geography, operator, and property type.
LTC completed its initial public offering of common stock on the New York Stock Exchange (NYSE) in 1992, and celebrated 20 years on the exchange by ringing the closing bell in August of 2012.
