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REAL ESTATE INVESTMENTS, NET (Tables)
 12 Months Ended
Dec. 31, 2024
Real Estate [Abstract]  
Schedule of Investment in Owned Properties Held for Use
The following table summarizes the Company’s investment in owned properties, and properties held in consolidated joint ventures, held for use at December 31, 2024 and 2023 (dollars in thousands):
 
December 31, 2024December 31, 2023
Land$367,044 $279,276 
Buildings and improvements2,220,287 1,620,014 
Integral equipment, furniture and fixtures113,803 100,504 
Identified intangible assets4,388 5,283 
Real estate investments2,705,522 2,005,077 
Accumulated depreciation and amortization(478,782)(437,958)
Real estate investments, net$2,226,740 $1,567,119 
Schedule of Total Future Contractual Minimum Rental Income
As of December 31, 2024, the Company’s total future contractual minimum rental income for all of its tenants, excluding operating expense reimbursements, assets held for sale and non-operational assets, was as follows (dollars in thousands):
YearAmount
2025$273,728 
2026281,304 
2027283,468 
2028281,736 
2029277,286 
Thereafter1,588,781 
$2,986,303 
Schedule of Tenant Purchase Options
Certain of the Company’s operators hold purchase options allowing them to acquire properties they currently lease from the Company. A summary of these purchase options is presented below (dollars in thousands):
Asset TypePropertiesLease Expiration
Option Period Open Date(1)
Option Type(2)
Current Cash Rent(3)
SNF1March 202904/1/2022
(4)
A / B
(7)
$858 
SNF4November 203412/1/2024
(4)
A
(11)
4,079 
SNF / Campus2October 203211/1/2026
(5)
B3,367 
(9)
SNF / Campus1May 20346/1/2026
(8)
B1,293 
(10)
SNF / Campus1May 20346/1/2027
(8)
B1,293 
(10)
SNF1November 203412/1/2027
(4)
A1,100 
SNF2November 203912/1/2027
(6)
B3,460 
(12)
SNF2November 203912/1/2028
(6)
B3,460 
(12)
SNF1November 203912/1/2029
(6)
B1,615 
(13)
SNF1November 203912/1/2030
(6)
B1,615 
(13)
(1)The Company has not received notice of exercise for the option periods that are currently open, except as described in footnote (11) below.
(2)Option type includes:
A - Fixed base price.
B - Fixed capitalization rate on lease revenue.
(3)Based on annualized cash revenue for contracts in place as of December 31, 2024.
(4)Option window is open until the expiration of the lease term.
(5)Option window is open for six months from the option period open date.
(6)Option window is open for one year from the option period open date.
(7)Purchase option reflects two option types.
(8)Purchase option window is open for nine months from the option period open date.
(9)Purchase option provides for the purchase of two of three facilities. The current cash rent shown is an average of the range of $3.2 million to $3.5 million.
(10)Purchase option provides for the purchase of one of five facilities. The current cash rent shown is an average of the range of $1.0 million to $1.6 million. If the operator exercises its option to extend the term of the master lease, beginning on June 1, 2035 and ending nine months thereafter, the operator will have a purchase option for all facilities then remaining in the master lease.
(11)The operator notified the Company of their intent to exercise the purchase option of the four SNFs in December 2024. The Company classified the four facilities as held for sale as of December 31, 2024 and subsequently sold the facilities in January 2025. See Note 15, Subsequent Events, for additional information.
(12)Purchase option provides for the purchase of two of six facilities. The current cash rent shown is an average of the range of $2.4 million to $4.6 million.
(13)Purchase option provides for the purchase of one of six facilities. The current cash rent shown is an average of the range of $0.9 million to $2.3 million.
Schedule of Rental Income
The following table summarizes components of the Company’s rental income (dollars in thousands):
For the Year Ended December 31,
Rental Income202420232022
Contractual rent due(1)
$225,426 $198,244 $188,906 
Straight-line rent(28)(29)17 
Amortization of lease incentives(22)— — 
Amortization of below-market lease intangible2,885 384 — 
Adjustment for collectibility(2)
— — (1,417)
Total$228,261 $198,599 $187,506 
(1)Includes initial cash rent and tenant operating expense reimbursements, as adjusted for applicable rental escalators and rent increases due to capital expenditures funded by the Company. For tenants on a cash basis, this represents the lesser of the amount that would be recognized on a straight-line basis or cash that has been received. Tenant operating expense reimbursements for the years ended December 31, 2024, 2023 and 2022 were $6.7 million, $5.5 million, and $2.8 million, respectively.
(2)During the year ended December 31, 2022, and in accordance with ASC 842, the Company evaluated the collectibility of lease payments through maturity and determined that it was not probable that the Company would collect substantially all of the contractual obligations from five existing and former operators. As such, the Company reversed $0.7 million of operating expense reimbursements, $0.2 million of contractual rent and $0.5 million of straight-line rent during the year ended December 31, 2022. If lease payments are subsequently deemed probable of collection, the Company will reestablish the receivable which will result in an increase in rental income for such recoveries.
Schedule of Real Estate Acquisitions
The following table summarizes the Company’s acquisitions for the years ended December 31, 2024, 2023 and 2022 (dollars in thousands):
Type of Property
Purchase Price(1)
Initial Annual Cash Rent(2)
Number of Properties
Number of Beds/Units(3)
December 31, 2024
Skilled nursing(4)(6)
$712,471 $65,924 42 4,508 
Multi-service campuses(4)
90,639 7,467 5 683 
ALF / ILF(4)
12,749 1,022 2 102 
Total$815,859 $74,413 49 5,293 
December 31, 2023
Skilled nursing(4) (5)
$169,181 $13,764 10 1,256 
Multi-service campuses(5)
25,276 1,916 1 168 
ALF / ILF39,318 3,495 4 241 
Total$233,775 $19,175 15 1,665 
December 31, 2022
Skilled nursing$8,918 $815 1 135 
Multi-service campuses13,003 1,235 1 130 
Total$21,921 $2,050 2 265 
(1)Purchase price includes capitalized acquisition costs.
(2)Initial annual cash rent represents initial cash rent for the first twelve months.
(3)The number of beds/units includes operating beds at acquisition date.
(4)Includes facilities held in consolidated joint ventures. See Note 12, Variable Interest Entities, for additional information.
(5)One acquisition including three SNFs and one multi-service campus provides for annual fixed increases from $6.8 million in year one to $7.6 million in year two and $8.9 million in year three.
(6)Initial annual cash rent for 11 properties does not consider rent abatement of $0.3 million.