CareTrust REIT agrees to buy 45 new UK care homes from LNT for GBP 1.1 billion
CTRE•CareTrust REIT agreed to acquire 45 newly built UK care homes from LNT Care Developments for about GBP 1.1 billion. It closed on 24 homes for about GBP 576 million on Oct. 1, with 21 more targeted for acquisition for about GBP 504 million as they are completed.
1. Initial closing
CareTrust REIT agreed to acquire 45 newly built UK care homes from LNT Care Developments for about GBP 1.1 billion. The first closing, on Oct. 1, covered 24 homes for about GBP 576 million and was funded by forward equity settlements and a revolver draw.
2. Remaining homes
The remaining 21 homes are under development and targeted for acquisition for about GBP 504 million, with closings rolling through 2027.
3. Lease structure
The assets are leased to Crystal Care on triple-net terms during lease-up, with a planned shift to a RIDEA SHOP structure. The SHOP phase is expected to start two to four years after completion, with mid- to high-7% pre-tax year-one yield guidance.
