Ventas Closes Acquisition of 58 Sunrise Communities
Real estate investment trust Ventas, Inc., announced this week that it has completed the acquisition of 58 private-pay senior living communities from affiliates of Sunrise Senior Living, Inc., for $186 million. The deal includes the assumption of Sunrise’s share of mortgage debt totaling $144 million.
Ventas now owns 100% of all 79 of its senior living communities managed by Sunrise.
Prior to the acquisition, Ventas had ownership interests ranging between 15% and 25% in these 58 communities, which have a current occupancy exceeding 89%.
Ventas and Sunrise have also completed modifications to the management agreements between the companies for all 79 Sunrise-managed senior living communities now wholly owned by Ventas. Among other things, the management fee for April 1 through December 31, 2010, is 3.5% of revenues, and the management fee for 2011 is 3.75% of revenues.