-Closes $21 Million Sale to Major Customer-
MURFREESBORO, Tenn.--(BUSINESS WIRE)--
National Health Investors (NYSE: NHI) announced today the acquisition of
eight skilled nursing facilities, the resolution of a settlement
agreement and the sale of six skilled nursing facilities.
On August 30, 2013, NHI completed an acquisition of eight skilled
nursing facilities in Massachusetts and New Hampshire from ElderTrust of
Florida, Inc. for consideration consisting of $23.3 million in cash and
the cancellation of notes receivable from ElderTrust with a principal
balance of $13.7 million. Beginning September 1, 2013, the facilities
will be under a new triple-net lease to the current manager, National
Healthcare Corporation (NYSE: NHC), for an initial period of 15 years at
a lease amount of $350,000 for the remainder of 2013; beginning in 2014,
a base lease amount of $3.4 million; and, beginning in 2015, the base
lease amount plus an annual rent escalator calculated as 4% of the
increase in each facility's revenue over a 2014 base year.
Additionally, NHI previously agreed to full settlement of its notes
receivable from SeniorTrust of Florida, Inc., for $15 million in cash,
received by NHI on June 27, 2013.
As a result of the foregoing, NHI has now completed the settlement
agreement involving ElderTrust and SeniorTrust and believes it resolved,
in full, the previously disclosed investigation by the Office of the
Tennessee Attorney General, as well as the lawsuits regarding the two
nonprofit corporations which are to be dismissed pursuant to the terms
of the agreement.
As previously disclosed, NHI entered into an agreement with existing
tenant NHC to sell six skilled nursing facilities for $21 million in
cash. The sale closed on August 29, 2013. Further, NHI and NHC
previously agreed to extend the master lease of 32 skilled nursing
facilities and three independent living facilities to NHC through
December 2026.
About National Health Investors
National Health Investors, Inc. (NYSE: NHI) is a healthcare real estate
investment trust specializing in financing healthcare real estate by
purchase and leaseback transactions, RIDEA transactions and by mortgage
loans. NHI’s investments include assisted living, senior living
campuses, independent living, skilled nursing facilities, medical office
buildings, and hospitals. Find additional information about NHI at www.nhireit.com.
Safe Harbor Statement
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.nhireit.com.
National Health Investors, Inc.
Roger R. Hopkins, 615-890-9100
Chief
Accounting Officer
Source: National Health Investors, Inc.