Sabra acquires skilled nursing portfolio for $234M

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Sabra Health Care REIT Inc. agreed to purchase a portfolio of four transitional care facilities in Maryland for $234 million, the company announced Wednesday.

The four facilities have a total of 678 beds, and specialize in transitional care and medically complex post-surgical, ventilator and dialysis patients. Sabra and the current operator will enter into a triple-net master lease agreement for three facilities, and a triple-net lease agreement for the fourth through a HUD loan. The initial term for all four will be 15 years, with two 10-year renewal options.

In the NMS portfolio, the closing of three facilities, for $175.2 million, is expected to occur by June 30. The fourth facility will close upon the assumption of an existing $10.8 million HUD loan, with an interest rate of 5.6%. Sabra plans to fund the rest of the acquisition with proceeds from their revolving credit facility.

Sabra is a self-administered real estate investment trust in Maryland that owns and invests in real estate for the healthcare industry. As of March 31, Sabra had 104 skilled nursing facilities, 54 senior housing facilities and two acute care hospitals across 34 states. A map of their full portfolio prior to this acquisition can be found here.