National Health Investors, Inc. (NYSE:NHI) announced earlier this month the sale of two skilled nursing facilities in Texas and a $11.5 million purchase/leaseback transaction with Bickford Senior Living and its affiliates (“Bickford”) involving two assisted living facilities in Iowa and one in Indiana. The sale of the two skilled nursing facilities in Texas was to its current lessee Legend Healthcare and affiliates (“Legend”). These facilities were constructed in 1986 and 1990, total 182 beds, and were originally leased to Legend in March 2005 with a purchase option. NHI is deferring the recognition of the gain on the sale of these facilities by utilizing a 1031 exchange.
The purchase and lease back of the assisted living communities, two of which were built in 1998 and one in 2005, total 102 units and attract 100% private payment for services. The purchase price was funded from NHI’s revolving credit facility and the three facilities are being leased to Bickford over 15 years at an initial lease amount of $1,035,000 plus annual fixed escalators. The purchase of the three facilities brings the master lease with Bickford to a total of eight facilities.
Justin Hutchens, NHI President and COO, stated, “NHI is excited to add three more high-quality assisted living facilities to our portfolio while expanding our relationship with Bickford Senior Living."