California + San Diego + Healthcare | September 6, 2023

CareTrust REIT Acquires Vista SNF Through Joint Venture

CareTrust REIT said Wednesday it had completed a joint venture investment to acquire La Fuente Post Acute, a 187-bed skilled nursing facility located in Vista, for an undislosed sum. Once regulatory approval is obtained, the facility will be operated by Bayshire Senior Communities, a current tenant of CareTrust, under a new 15-year lease with the JV landlord.

To acquire the facility, CareTrust and a third-party regional healthcare real estate investor entered into a JV. CareTrust’s combined common equity and preferred equity investments in the joint venture total $25.5 million.

The REIT’s initial contractual yield on its combined preferred and common equity investments in the JV is approximately 9.7%. The lease provides for 3% fixed annual rent escalators and two five-year extension options. CareTrust is the managing member of the JV entity.

Connect Orange County will take place Sept. 27, 2023 at VEA | Newport Beach Marriott in Newport Beach, concurrently with Connect Healthcare Real Estate on Sept. 27 and 28. Click here to register for Connect Orange County, and here to register for Connect Healthcare Real Estate.

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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