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Welltower Forges New JV to Acquire SNFs from Its Prior Partnership
Welltower, a Toledo, OH-based healthcare REIT, has reached definitive agreements for the sale and transition of 147 skilled nursing facilities currently operated by ProMedica.
ProMedica will surrender its 15% interest in the skilled nursing assets currently held within the existing 85/15 Welltower/ProMedica joint venture and provide significant working capital support for the new operators. Welltower released ProMedica from its skilled nursing lease obligation for these considerations, which total nearly $500 million.
The private-pay assisted living and memory care assets in the ProMedica JV will continue to be operated by ProMedica under a lease. Concurrently, Welltower entered into a definitive agreement to sell the 147 skilled nursing facilities to an 85/15 JV between Welltower and Integra Health.
Welltower and Integra will enter into a master lease agreement which will result in a combined cash rent increase of more than 4% to Welltower.
- ◦Lease
- ◦Sale/Acquisition