Brookdale to buy 30 Welltower-leased senior living communities for $290 million
WELL•Brookdale completed a $157 million purchase of 17 formerly leased communities and agreed to buy 30 Welltower-leased communities for $290 million. The second deal is expected to close in the fourth quarter of 2026 and would reduce 2027 cash rent by about $17.8 million.
1. Community purchases
Brookdale Senior Living completed the $157 million purchase of 17 formerly leased communities, eliminating about $11 million of 2027 cash rent. It also signed a definitive agreement to buy 30 Welltower-leased communities for $290 million, a deal expected to close in the fourth quarter of 2026 and reduce 2027 cash rent by about $17.8 million. Brookdale expects the transaction to increase adjusted EBITDA and free cash flow and lift its owned share of consolidated units to nearly 80%.
2. Lease terms
The Welltower lease on 39 communities would extend to June 2036 and include a fair market value purchase option exercisable at any time, with a 6.5% yield floor. The purchase would be funded with cash on hand and non-recourse mortgage debt.
