MURFREESBORO, Tenn. — National Health Investors Inc. (NYSE: NHI), a Murfreesboro-based REIT, has exercised a purchase option on five assisted living and memory care communities currently owned and operated by Bickford Senior Living, a Kansas-based operator. The purchase price was $87.5 million.
The five facilities are located in Crystal Lake, Iowa (56 units); St. Charles, Mo. (76 units); Oswego, Ill. (56 units); Omaha, Neb. (40 units); and West Des Moines, Iowa (49 units).
The facilities total 277 units with an average occupancy of 92 percent and average age of 12 years. NHI has earmarked $2.4 million for capital improvements and expansions to the five communities.
Bickford will continue to operate the communities under a 15-year lease with two five-year renewal options and a 3 percent annual lease escalator.
NHI funded the acquisition with available cash and borrowings on the company’s revolving credit facility.