CHICAGO, IL - Ventas, Inc. said today that it has completed its previously announced acquisition of the real estate interests in 58 high-quality, private pay senior living communities from affiliates of Sunrise Senior Living, Inc. for a total valuation of $186 million, including assumption of Sunrise's share of mortgage debt totaling $144 million. Ventas now owns 100 percent of all 79 of its senior living communities managed by Sunrise.
Prior to the acquisition, Sunrise was Ventas's partner in these 58 private pay senior living communities, with ownership interests ranging between 15 percent and 25 percent. Currently, occupancy in these 58 communities exceeds 89 percent.
Ventas and Sunrise have also completed the previously disclosed comprehensive modifications of the management agreements between the companies for all 79 Sunrise-managed senior living communities now wholly owned by Ventas. Among other things, the management fee for April 1 through December 31, 2010 is 3.5 percent of revenues, and the management fee for 2011 is 3.75 percent of revenues.
The positive financial impact of these completed transactions was included in the Company's previously announced normalized FFO per share guidance for 2010, which guidance is subject to numerous assumptions and qualifications.
Ventas, Inc., an S&P 500 company, is a leading healthcare real estate investment trust. Its diverse portfolio of nearly 600 assets in 44 states (including the District of Columbia) and two Canadian provinces consists of seniors housing communities, skilled nursing facilities, hospitals, medical office buildings and other properties. Through its Lillibridge subsidiary, Ventas provides management, leasing, marketing, facility development and advisory services to highly rated hospitals and health systems throughout the United States.
Source: Ventas, Inc.