Welltower To Buy Portfolio Of Sunrise Assets - Quick Facts

(RTTNews) - Welltower Inc. (HCN) said it has agreed to acquire a portfolio of rental continuing care retirement communities or CCRCs. The portfolio is currently managed by McLean, Virginia-based Sunrise Senior Living under triple-net leases.

The transaction comprises four communities offering a full continuum of care including independent living, assisted living, memory care and post-acute care concentrated in attractive markets within the Washington D.C., Miami and Charlottesville MSAs.

Under the deal, Welltower will acquire the landlord's ownership interest for $368 million and will transition the communities to a RIDEA structure to deliver next generation care.

Welltower said it has closed on one of the communities with the remaining three to follow in the first quarter of 2018. The company expects the investment to generate a nominal year one cap rate of 7 percent.

Toledo, Ohio-based Welltower has over $6 billion of investments with Sunrise Senior Living.