Chartwell Seniors Housing Real Estate Investment Trust (TSX:CHS.UN) has agreed to sell its 100% ownership interest in six U.S. Properties to Harvest Facility Holdings LP for approximately $165.5 million (USD) in a transaction that is expected to close in the fourth quarter of 2012.
The properties have a total of 1,221 independent living units, and Chartwell cited their location outside of its “core states” of operation—Texas, Florida, and Colorado—as a reason for divesting itself of the portfolio.
“This transaction is fully in line with our stated strategy to concentrate our U.S. investments in our core states and to increasingly focus our resources and management on the strong, stable and growing Canadian market,” said Brent Binions, Chartwell’s President and CEO, in a statement.
The sale price will be partially settled by the assumption of existing mortgages with an aggregate outstanding balance, as of June 1, 2012, of approximately $106.8 million (USD).
Written by Alyssa Gerace