MURFREESBORO, Tenn.--(BUSINESS WIRE)--
National Health Investors, Inc. (NYSE:NHI) announced today a purchase
and lease transaction involving four skilled nursing facilities located
in Texas for a purchase price of $49.8 million. The facilities have an
average age of two years with 498 beds that are operated by affiliates
of Legend Healthcare, LLC. The transaction was funded from available
cash and from borrowings on NHI’s revolving credit facility.
A current tenant of NHI and a specialist in the operation of
transitional care and skilled nursing facilities, Legend is eligible for
an additional payment of $5.5 million related to the transaction if they
attain certain performance metrics over the course of the next two
years. The four facilities are being leased to Legend over 15 years at
an initial lease rate of 9% on NHI’s invested amount plus annual
escalators. Lease service coverage is projected to cover in excess of
1.5x after a 5% management fee and an annual capital expenditure
requirement. Legend has the option to purchase the facilities after
seven years. NHI has an option to purchase and leaseback a fifth
facility with similar terms.
Justin Hutchens, NHI CEO and President, noted, “We are acquiring new,
well-located properties while expanding our relationship with Legend
Healthcare, an established and reputable private regional operator with
a very strong credit history with NHI. We continue to successfully
execute our selective growth plan resulting in investment volume of over
$100 million during the past year and over $300 million over the past
couple of years.”
National Health Investors, Inc. is a healthcare real estate investment
trust that specializes in the financing of healthcare real estate by
purchase and leaseback transactions and by mortgage loans. NHI’s
investments involve skilled nursing facilities, assisted living
facilities, independent living facilities, medical office buildings, and
hospitals based on acute and rehabilitative care. The common stock of
the company trades on the New York Stock Exchange with the symbol NHI.
Additional information about NHI, including its most recent press
releases, may be obtained on NHI's web site at www.nhireit.com.
Statements in this press release that are not historical facts are
forward-looking statements. NHI cautions investors that any
forward-looking statements may involve risks and uncertainties and are
not guarantees of future performance. All forward-looking statements
represent NHI's judgment as of the date of this release.Investors
are urged to carefully review and consider the various disclosures made
by NHI in its periodic reports filed with the Securities and Exchange
Commission, including the risk factors and other information disclosed
in NHI’s Annual Report on Form 10-K for the most recently ended fiscal
year. Copies of these filings are available at no cost on the SEC's web
site at http://www.sec.gov
or on NHI’s web site at http://www.nhinvestors.com.
National Health Investors, Inc.
Roger R. Hopkins, 615-890-9100
Chief
Accounting Officer
Source: National Health Investors, Inc.