Diversified Healthcare To Sell 18 Triple Net Leased Senior Living Communities To Brookdale

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Diversified Healthcare To Sell 18 Triple Net Leased Senior Living Communities To Brookdale

(RTTNews) - Diversified Healthcare Trust (DHC) announced Monday it has entered into a purchase and sale agreement with Brookdale Senior Living Inc. (BKD) to sell 18 triple net leased senior living communities that Brookdale currently leases from DHC for $135 million.

Brookdale has leased and operated these 18 communities since February 2003. The 18 communities include 876 units located across 10 states serving primarily assisted living residents as well as memory care residents.

Diversified Healthcare intends to use the proceeds from the transaction to pay down its $941 million of senior secured notes due January 2026.

The transaction is a further implementation of Diversified Healthcare's ongoing initiatives to optimize its portfolio and enhance its liquidity.

The sale opportunistically monetizes this NNN portfolio at a premium valuation of over $150,000 per unit. The transaction is expected to close in the fourth quarter of 2024, subject to customary closing conditions.

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