LTC Properties (NYSE: LTC) today announced an acquisition of five communities managed by senior living operator Lifespark.
The Westlake Village, California-based real estate investment trust (REIT) acquired from Tukka Properties for $195 million five independent living, assisted living and memory care communities totaling 520 units in Wisconsin. St. Louis Park, Minnesota-based operator Lifespark operates the communities, which today average 97% occupancy.
LTC’s leaders said the deal reshapes the makeup of the company’s senior housing portfolio and demonstrates their commitment to growing SHOP in the months and years ahead. Outside of its new deal with Lifespark, LTC also has grown its SHOP segment this year by converting previous triple-net leases with operators like Anthem Memory Care and New Perspective into RIDEA structures.
“We are continuing to deliver on our commitment of strong external growth and portfolio diversification, while enhancing our ability to further transform our business through SHOP,” said LTC Co-CEO Clint Malin.
The acquisition marks Lifespark’s first REIT relationship, and the deal is a potential avenue for more expansion ahead, according to CEO Joel Theisen. “We’re just getting ready to look at other markets,” Thiesen told Senior Housing News.“So, this was a really good time for us to think about [LTC Properties] as a partner in other markets, as well as getting the REIT partnership figured out.”
