Cornerstone Core Properties Reit acquires portfolio of skilled nursing facilities
Cornerstone Core Properties Reit has funded an investment in a joint venture that acquired two skilled nursing facilities on 3 August 2012, collectively known as the Portland Properties, located in the greater Portland, Oregon metropolitan area in a USD8.6m transaction.
The Portland Properties have 102 beds in operation and are licensed for 114 beds. In addition to skilled nursing services, one of the properties also specialises in bariatric treatments for obesity.
The Portland Properties are leased to the current operator of the facilities under a 15-year triple net lease. The operator has over 20 years of experience operating skilled nursing facilities in the Pacific Northwest and has operated these properties since 2005. Including the Portland Properties, the operator manages four skilled nursing facilities in Oregon.
“We are pleased with the beginning of a long term relationship with a great regional operator that is poised for growth. The relationships with the local referral sources and the state that the operator enjoys make the current opportunity as well as future opportunities exciting,” says Kent Eikanas, president and chief operating officer of Cornerstone Core Properties Reit.
Cornerstone Core Properties Reit acquired a 95 per cent equity interest in Cornerstone Healthcare Partners, the joint venture entity, while joint venture partner Cornerstone Healthcare Real Estate Fund acquired the remaining five per cent equity interest.
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