Sabra Health Care (SBRA +1.5%) invests $230M in acute care hospital investments in Fort Worth, Frisco, and Dallas, Texas, and a commitment of up to $66M in construction financing. 2 of the investments are structured as debt with an option to purchase the facilities.
The investments decrease Sabra's exposure to Genesis to 52.2% (from 60.8%), Skilled Nursing/Post Acute facilities to 70.6% (82.1%), and Medicare and Medicaid reimbursement to 58.3% (68.4%).
Health-care REITs are "squarely in the cross-hairs" of higher rates thanks to their long-term leases and high dividend yields, says Jefferies. Also, acquisitions have been "conspicuously missing" this year. If rising rates further temper deals over the next year, it's another negative as these have been an important source of earnings growth. Some of note: Ventas (VTR -3.5%), HCP (HCP -3%), Healthcare Trust (HTA -1.4%), Senior Housing (SNH -2.3%), Omega Healthcare (OHI -3.4%), Healthcare Realty (HR -0.5%), Medical Properties (MPW -3.4%), National Health (NHI -2.4%), Aviv (AVIV -1.7%), Sabra (SBRA -5.3%), and LTC (LTC -2.5%).
Sabra Health Care REIT (SBRA) declares $0.34/share quarterly dividend, 3% increase from prior dividend of $0.33. Forward yield 5.98%. For shareholders of record Feb. 15. Payable Feb. 28. Ex-div date Feb. 13. (PR)
Sabra Health Care REIT (SBRA) acquires four skilled nursing facilities, three in a sale-leaseback transaction with affiliates of Aurora Health Management for $21.8M, and a fourth 120-bed facility located in Virginia for $5.7M.