Source: Ventas / #Senior #Housing
CHICAGO, IL - Ventas, Inc. announced that it has sold twelve seniors housing communities to Assisted Living Concepts, Inc. (NYSE: ALC) (“ALC”) for a total of $100 million in cash. Prior to the sale, ALC was the tenant of the communities. At closing, the leases were terminated, Ventas no longer owns any assets that ALC operates, and the parties agreed to dismiss their pending litigation in the U.S. District Court for the Northern District of Illinois.
“Ventas stands for excellence in seniors housing. This transaction allows ALC’s new chief executive officer and its Board of Directors to focus their attention and resources on providing quality care for its residents,” Ventas Chairman and Chief Executive Officer Debra A. Cafaro said.
Ventas’s total annual base rent under its leases with ALC approximated $7.2 million on a GAAP basis and $6.6 million on a cash basis. The twelve communities sold to ALC contain 696 units in five states. Under the terms of the transaction, ALC also paid Ventas’s expenses in connection with the litigation.
Ventas, Inc., an S&P 500 company, is a leading healthcare real estate investment trust. Its diverse portfolio of more than 1,400 assets in 47 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.