Griffin-American Healthcare Expands MO Portfolio
The REIT added eight skilled nursing facilities in the St. Louis-area to the five assets it acquired last year. The cost of the acquisition was $88.2 million.
American Healthcare Investors and Griffin Capital Co., the co-sponsors of Griffin-American Healthcare REIT IV Inc., have acquired eight skilled nursing facilities in the state of Missouri from affiliates of Reliant Care Management Group. The portfolio comprises 1,112 beds totaling 385,000 square feet and cost the REIT $88.2 million. Part of the purchasing price was covered via credit lines opened with Bank of America and Keybank. Managing Directors Mitchell Stern and Paul Hoffman of Dresner Partners directed the transaction on behalf of the seller.
All eight assets are fully leased to an entity affiliated with Reliant Care Management Group. The agreement features a 15-year absolute net lease with two 10-year renewal options.
“The facilities enjoy high bed occupancy and 1.8 times year one rent coverage,” said Stefan Oh, executive vice president of acquisitions for the Griffin-American Healthcare REIT IV Inc., in prepared remarks.
Last year, Griffin-American Healthcare REIT IV closed its first purchase in the St. Louis area—a five-building, 229-unit senior housing portfolio which was previously owned by A&M Property Holding. Since 2016, it has acquired 3.4 million square-foot portfolio of 58 medical office buildings, senior housing facilities and skilled nursing facilities located in 20 states.