CareTrust REIT Picks Up Texas Skilled Nursing Portfolio
- Nov 20, 2020
CareTrust REIT has acquired four post-acute care centers in the Dallas-Fort Worth metropolitan area. The portfolio comprises 554 skilled nursing and 24 assisted living beds. The properties are leased to affiliates of The Ensign Group Inc.
The facilities include Beacon Harbor Healthcare & Rehabilitation at 6700 Heritage Parkway in Rockwall, Texas and the neighboring Rowlett Health & Rehabilitation Center at 9300 Lakeview Parkway in Rowlett, Texas. The properties are located within 1.5 miles of each other and roughly 22 miles northeast of central Dallas.
Crestwood Health & Rehabilitation at 1448 Houston St. in Wills Point, Texas is situated near Interstate 20 and some 50 miles east of downtown Dallas. Pleasant Manor Healthcare & Rehabilitation at 3650 S. Interstate 35 E. in Waxahachie, Texas sits 6 miles south of Baylor Scott & White Medical Center.
CareTrust assumed the seller’s two existing leases of a total of some $3.8 million annual cash rent with Consumer Price Escalator-based escalators. The some 14-year leases with three five-year renewal options offer the tenant the opportunity to buy the property. Acquisition financing consisted of cash on hand doubled with funding from the company’s revolving credit facility.
Earlier this year, another skilled nursing facility in the South received a $37.1 million refinancing loan. Maxwell Group Inc. is the owner of the 98-bed, luxury senior community in Charleston, S.C.