Omega Healthcare Investors is poised to own nearly 875 skilled nursing properties across 41 states, following its merger with Aviv REIT in a $3 billion deal announced Friday. The combination of the powerhouse REITs is just the latest mega-deal in the long-term care sector, and it signals further consolidation is coming.
Aviv REIT has announced its ninth major deal of the year, a $6 million acquisition of a post-acute and long-term care skilled nursing facility in Kentucky.
Aviv REIT Inc. has bought a skilled nursing facility, assisted living facility, independent living facility in Minnesota and a skilled nursing facility in Texas in two transactions for $43.4 million.
Prominent real estate investment trusts are worried about the fiscal challenges facing skilled nursing homes, and some are looking to get out of the sector, according to the Wall Street Journal.
Aviv REIT Inc. netted nearly $279 million in an initial public offering of common stock. The Chicago-based company first tried to go public in 2008 but was stopped by the economic crisis, and a 2009 attempt was met with investor resistance.