Sale-Leaseback Arrangement Nets Two Assets for LTC Properties

LTC Properties struck a deal with Koelsch Communities to acquire, then lease back, two memory care properties in North Texas. The California-based REIT paid $25.2 million for the 68-bed Riverside Inn at Fossil Creek in Fort Worth, and the 65-bed Saddle Brook, located in Frisco. Koelsch will continue operating the properties under a 10-year master lease that has a starting cash yield of 7.25%.

“We are excited to be working with Koelsch as our newest operating partner. Koelsch has been successfully operating seniors housing properties for 60 years,” said Wendy Simpson, LTC’s Chairman and CEO. “As a strong regional operator with a solid balance sheet, they represent exactly the type of strategic partner we want to work with to enhance our portfolio.”

Riverside Inn at Fossil Creek is at 6621 N. Riverside Dr., and has 42 units. The 46-unit Saddle Brook delivered in 2015 at 9966 Legacy Dr.

Pictured: Riverside Inn at Fossil Creek

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