Earlier this week, Emeritus Senior Living announced that it closed on the purchase of five communities from affiliates of Ventas, Inc. (NYSE: VTR). The five communities were formerly leased by the Company and were acquired for a purchase price of $62.5 million, plus transaction costs of approximately $3.3 million and are comprised of 432 units and are located in four states. The full press release discusses the terms of the financing for the facilities that were purchased.
Mr. Granger Cobb, the Company’s President and Co-CEO, stated, “We are pleased that, despite the current turmoil in the financial markets, this transaction closed on time and with favorable financing. We continue to further our long-term strategy of buying leased assets in transactions that are, at a minimum, cash flow neutral, and that create value over time by eliminating rent escalators and capturing the full future upside potential of these properties.”