real-time news and commentary for investors
Friday, Sep 20
SNH cuts more exposure to government funded programs
- Senior Housing Properties Trust (SNH) agrees to sell two rehabilitation hospitals to a JV for $90M. SNH expects to realize of $30M gain once the sale is closed.
- Both hospitals - based in Massachusetts - acquire the majority of their revenue from Medicare, and the sale is consistent with SNH"s decade-long focus on cutting its exposure to government-funded programs. After the sale - which will cut SNH's rent roll by $9.5M per year - only 2% of SNH's total revenues will be from facilities where Medicare and Medicaid represent the majority of revenue.
- The sale is expected to close in mid-2014.
- Press release.