Owned Real Properties (Tables)
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3 Months Ended |
Mar. 31, 2026 |
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| Owned Real Properties |
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| Schedule of investments in owned real estate properties |
The following tables summarize our investments in owned properties at March 31, 2026 (dollar amounts in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | | NNN | | SHOP | | Total | | | | | Percentage | | Number | | | | Percentage | | Number | | | | Percentage | | Number | | | Gross | | of | | of | | Gross | | of | | of | | Gross | | of | | of | Type of Property | | Investment | | Investment | | Properties (1) | | Investment | | Investment | | Properties (1) | | Investment | | Investment | | Properties (1) | Seniors Housing | | $ | 479,641 | | 27.9 | % | | 52 | | $ | 701,612 | | 40.7 | % | | 30 | | $ | 1,181,253 | | 68.6 | % | | 82 | Skilled Nursing | | | 528,302 | | 30.7 | % | | 43 | | | — | | — | % | | — | | | 528,302 | | 30.7 | % | | 43 | Other (2) | | | 12,005 | | 0.7 | % | | 1 | | | — | | — | % | | — | | | 12,005 | | 0.7 | % | | 1 | Total | | $ | 1,019,948 | | 59.3 | % | | 96 | | $ | 701,612 | | 40.7 | % | | 30 | | $ | 1,721,560 | | 100.0 | % | | 126 |
| (1) | We own properties in 23 states. |
| (2) | Includes three parcels of land held-for-use, and one behavioral health care hospital. |
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| Summary of investments in owned properties |
| | | | | | | | | | | | | | | | | | | | | Average | | | | | | | Number of | | Investment | | | | Gross | | SNF | | SH | | per | | Type of Property | | Investment | | Beds | | Units | | Bed/Unit | | Seniors Housing-NNN | | $ | 479,641 | | — | | 3,130 | | $ | 153.24 | | Seniors Housing-SHOP | | | 701,612 | | — | | 2,555 | | $ | 274.60 | | Seniors Housing | | | 1,181,253 | | — | | 5,685 | | $ | 207.78 | | Skilled Nursing | | | 528,302 | | 5,217 | | 236 | | $ | 96.88 | | Other (2) | | | 12,005 | | 118 | | — | | | n/a | | Total | | $ | 1,721,560 | | 5,335 | | 5,921 | | | | |
| (2) | Includes three parcels of land held-for-use, and one behavioral health care hospital. |
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| Schedule of owned real estate properties by segment |
The following table presents information related to our SHOP segment as of March 31, 2026 (dollar amounts in thousands): | | | | | | | | | | | | | | | | | | | Average | | | | | Number | | Number | | Investment | | | | Gross | | of | | of | | per | State | | Investment | | Properties | | Beds/Units | | Unit | Wisconsin | | $ | 248,549 | | 7 | | 742 | | $ | 334.97 | Georgia | | | 131,630 | | 4 | | 482 | | $ | 273.09 | Illinois | | | 58,331 | | 4 | | 264 | | $ | 220.95 | California | | | 49,007 | | 2 | | 133 | | $ | 368.47 | Colorado | | | 41,847 | | 4 | | 228 | | $ | 183.54 | Kentucky | | | 39,778 | | 2 | | 158 | | $ | 251.76 | Oregon | | | 33,203 | | 1 | | 186 | | $ | 178.51 | Tennessee | | | 31,399 | | 1 | | 100 | | $ | 313.99 | Kansas | | | 26,439 | | 2 | | 114 | | $ | 231.92 | Texas | | | 26,285 | | 2 | | 88 | | $ | 298.69 | Ohio | | | 15,144 | | 1 | | 60 | | $ | 252.40 | Total | | $ | 701,612 | (1) | 30 | | 2,555 | | $ | 274.60 |
| (1) | Subsequent to March 31, 2026, we acquired a community within our SHOP segment for $9,205. The community is located in Illinois with a total of 61 units. In conjunction with the acquisition, we entered into a management agreement with an operator new to us. Additionally, we terminated a triple-net master lease and converted two seniors housing communities covered under the master lease to our SHOP segment. Upon conversion, we entered into a management agreement with another operator also new to us. The communities are located in Georgia and South Carolina with a total of 159 units and an aggregate gross book value of $32,361. |
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| Summary of acquisitions |
The following table summarizes acquisitions within our SHOP segment during the three months ended March 31, 2026: | | | | | | | | | | | | | | | | | | | | | | | | | | Total | | Number | | Number | | | | | | Purchase | | Transaction | | Acquisition | | of | | of | | State (1) | | Type of Property | | Price (1) | | Costs | | Costs (1) | | Properties (1) | | Beds/Units (1) | | Georgia (2) | | SH | | $ | 108,000 | | $ | 129 | | $ | 108,129 | (3) | 3 | | 394 | |
| (1) | Subsequent to March 31, 2026, we acquired a 61-unit seniors housing community within our SHOP segment in Illinois for $9,205. In conjunction with the acquisition, we entered into a management agreement with an operator new to us. |
| (2) | In conjunction with this acquisition, we entered into a management agreement with another operator new to us. |
| (3) | Excludes $100 of additional costs incurred related to 2025 acquisitions. Additionally, at acquisition, we received property tax proration credits of $76. |
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| Schedule of total acquisition costs allocated to assets acquired |
| | | | | | Amount | Land | | $ | 8,576 | Buildings and improvements | | | 99,553 | Total acquisition costs | | $ | 108,129 |
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| Schedule of triple-net lease extensions of real estate investments portfolio |
The following table provides information related to our triple-net lease extensions during the three months ended March 31, 2026 and 2025 (dollar amounts in thousands): | | | | | | | | | | | | | | | | | | | | | | | Number | | Number | | | | | | | | | | | | Gross | | of | | of | | | | Original | | Extended | Year | | Type of Property | | | Investment | | Properties | | Beds/Units | | State | | Maturity | | Maturity | 2026 | | SH | | $ | 9,052 | | 4 | | 155 | | OK | | October 31, 2026 | | October 31, 2030 | | | | | | | | | | | | | | | | | 2025 | | SNF | | $ | 5,275 | | 2 | | 141 | | TN | | December 31, 2025 | (1) | December 31, 2026 |
| (1) | During the third quarter of 2025, the operator provided an election notice to exercise its purchase option. See Purchase Options below for more information. |
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| Summary of components of our rental income |
The following table summarizes components of our rental income for the three months ended March 31, 2026 and 2025 (in thousands): | | | | | | | | | | | Three Months Ended | | | | | March 31, | | | Rental Income | | | 2026 | | | 2025 | | | Contractual cash rental income | | $ | 24,536 | (1) | $ | 29,623 | (1) | | Variable cash rental income (2) | | | 2,268 | | | 3,090 | | | Straight-line rent adjustment | | | (334) | | | (578) | | | Adjustment of lease incentives and rental income | | | — | | | (492) | (3) | | Amortization of lease incentives | | | (131) | | | (199) | | | Total | | $ | 26,339 | | $ | 31,444 | | |
| (1) | Decreased primarily due to the conversion of communities from NNN to the SHOP segment and lower rent from property sales, partially offset by rent increases from fair-market rent resets, escalations and capital improvements. |
| (2) | The variable cash rental income for the three months ended March 31, 2026 and 2025 includes reimbursement of real estate taxes by our lessees. Decreased due to the conversion of communities from NNN to SHOP and property sales. |
| (3) | In connection with the termination of two existing leases with the same operator, and combining them into a single master lease, we wrote-off a straight-line rent receivable of $243 and a lease incentive balance of $249. |
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| Summary of information about purchase options included in our lease agreements |
The following table summarizes information about purchase options included in our lease agreements as of March 31, 2026 (dollar amounts in thousands): | | | | | | | | | | | | | | | | | | Type | | Number | | | | | | | | Option | | | | of | | of | | | Gross | | | Net Book | | Window | | State | | Property | | Properties | | | Investments (1) | | | Value | | 2026 | | South Carolina | | SH | | 1 | | $ | 11,719 | | $ | 7,319 | | 2027-2029 | | Oklahoma | | SH | | 4 | | | 9,052 | | | 2,938 | | 2027-2029 | (2) | Texas | | SNF | | 4 | | | 52,726 | | | 47,220 | | 2029 | | Colorado/Kansas/Ohio/Texas | | SH | | 17 | | | 65,599 | | | 27,980 | | 2029 | | North Carolina | | SH | | 5 | | | 15,239 | | | 6,720 | | | | Total | | | | 31 | (3) | $ | 154,335 | (3) | $ | 92,177 | (3) |
| (1) | Gross investments include previously recorded impairment losses, if any. |
| (2) | The operator may elect to either receive an earn-out payment or exercise its purchase option. If neither option is elected within the timeframe defined in the lease, both elections are terminated. For more information regarding the earn-out see Note 14. Commitments and Contingencies. |
| (3) | Excludes a purchase option with an expiration date of December 31, 2025. The operator provided notice of the election to exercise the purchase option during the third quarter of 2025. Subsequent to March 31, 2026, we entered into a purchase and sale agreement with the operator. The purchase option relates to a master lease covering two SNFs in Tennessee with a total of 141 beds and an aggregate gross book value of $5,275. As of March 31, 2026, we do not believe these centers meet the criteria to be classified as held-for-sale. |
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| Schedule of Capital improvement projects |
During the three months ended March 31, 2026 and 2025, we invested in the following capital improvement projects within our Triple-Net Portfolio (dollar amounts in thousands): | | | | | | | | | | | Three Months Ended March 31, | | | Type of Property | | 2026 | | 2025 | | | Seniors Housing Communities | | $ | 273 | | $ | 966 | | | Skilled Nursing Centers | | | 380 | | | 360 | | | Total | | $ | 653 | | $ | 1,326 | | |
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| Schedule of property sold |
The following table summarizes property sales during the three months ended March 31, 2026 and 2025 (dollar amounts in thousands): | | | | | | | | | | | | | | | | | | | | | | | Type | | Number | | Number | | | | | | | | | | | | | | | of | | of | | of | | | Sales | | | Carrying | | | Net | | Year | | State | | Properties | | Properties | | Beds/Units | | | Price | | | Value | | | (Loss) Gain (1) | | 2026 | | n/a | | n/a | | — | | — | | $ | — | | $ | — | | $ | (10) | (2) | | | | | | | | | | | | | | | | | | | | 2025 | | Ohio | | SH | | 1 | | 39 | | | 1,000 | | | 670 | | | 267 | | | | Oklahoma | | SH | | 1 | | 29 | | | 670 | | | 670 | | | (96) | | Total | | | | | | 2 | | 68 | | $ | 1,670 | | $ | 1,340 | | $ | 171 | |
( | (1) | Calculation of net (loss) gain includes cost of sales and write-off of straight-line receivable and lease incentives, when applicable. |
| (2) | We recognized a loss due to additional costs incurred related to properties sold during 2025. |
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