RECENT REAL ESTATE ACQUISITIONS (CONSOLIDATED)

6 Months Ended

Jun. 30, 2026

Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract]

RECENT REAL ESTATE ACQUISITIONS (CONSOLIDATED)

During the six months ended June 30, 2026, the Company acquired seven Senior Housing - Managed communities, two skilled nursing/transitional care facilities and exercised its option to acquire one skilled nursing/transitional care facility under its loan receivable investment which had a book value of $16.6 million at the time of acquisition. During the six months ended June 30, 2025, the Company acquired one Senior Housing - Managed community and exercised its option to acquire 24 units on the campus of one of its Senior Housing - Leased communities. The consideration was allocated as follows (in thousands):


	Six Months Ended June 30,
	2026		2025
Land	$	36,655	$	2,708
Building and improvements	224,139		55,981
Tenant origination and absorption costs intangible assets	26,350		2,418
Tenant relationship intangible assets	408		30
Total consideration	$	287,552	$	61,137

The tenant origination and absorption costs intangible assets and tenant relationship intangible assets had weighted-average amortization periods as of the respective dates of acquisition of two years and 21 years, respectively, for the acquisitions completed during the six months ended June 30, 2026. The tenant origination and absorption costs intangible assets had an amortization period as of the date of acquisition of 1 year for the acquisition completed during the six months ended June 30, 2025.

For the three and six months ended June 30, 2026, the Company recognized $13.3 million and $16.6 million of total revenues, respectively, and $0.8 million and $0.9 million of net income, respectively, from the facilities acquired during the six months ended June 30, 2026. For each of the three and six months ended June 30, 2025, the Company recognized $0.8 million of total revenues and $0.1 million of net income from the facility acquired during the six months ended June 30, 2025.

Additionally, during the six months ended June 30, 2026, the Company invested $8.2 million in the purchase of bed rights and land related to the development of one skilled nursing/transitional care facility.

During the six months ended June 30, 2026, the Company purchased the operations of one Senior Housing - Managed community previously leased under a triple-net operating lease for $16.3 million. Concurrent with the purchase of the operations, the triple-net operating lease was terminated and the Company entered into a property management agreement with the former tenant. The consideration was allocated as follows: (i) $12.4 million to tenant origination and absorption costs intangible assets, (ii) $1.0 million to furniture and equipment and (iii) $2.9 million to lease termination expense which is included in other (expense) income on the accompanying consolidated statements of (loss) income.

During the six months ended June 30, 2026, the Company, in accordance with the terms of the agreements pursuant to which it purchased the operations of four Senior Housing - Managed communities previously leased under triple-net operating leases, paid $1.2 million in additional consideration as certain conditions were satisfied. This amount is included in lease intangible assets, net on the accompanying consolidated balance sheets.