XML 23 R13.htm IDEA: XBRL DOCUMENT v3.25.2
IMPAIRMENT OF REAL ESTATE INVESTMENTS, ASSETS HELD FOR SALE AND ASSET SALES
 6 Months Ended
Jun. 30, 2025
Discontinued Operations and Disposal Groups [Abstract]  
IMPAIRMENT OF REAL ESTATE INVESTMENTS, ASSETS HELD FOR SALE AND ASSET SALES IMPAIRMENT OF REAL ESTATE INVESTMENTS, ASSETS HELD FOR SALE AND ASSET SALES
Impairment of Real Estate Investments Held for Sale
The Company did not recognize any impairment during the three and six months ended June 30, 2025. During the three and six months ended June 30, 2024, the Company recognized aggregate impairment charges of $25.7 million and $28.5 million, respectively, related to properties held for sale, which is reported in impairment of real estate investments in the condensed consolidated income statements.
As of June 30, 2025, there were 16 facilities classified as held for sale, all of which have been recorded at the lesser of their carrying value or fair value less estimated costs to sell.
The fair values of the assets held for sale were based on estimated sales prices, which are considered to be Level 3 (as defined below) measurements within the fair value hierarchy. Estimated sales prices were determined using a market approach (comparable sales model), which relies on certain assumptions by management, including: (i) comparable market transactions, (ii) estimated prices per unit, and (iii) binding agreements for sales and non-binding offers to purchase from unrelated third-parties. There are inherent uncertainties in making these assumptions. For the Company’s impairment calculations during the six months ended June 30, 2024, the Company’s fair value estimates primarily relied on a market approach and utilized prices per unit ranging from $11,000 to $46,000, with a weighted average price per unit of $24,000. One property, with no bed rights, was reclassified to held for sale during the three months ended March 31, 2024. The Company disposed of this facility during the three months ended June 30, 2024 and recorded a gain on sale of approximately $21,000.
Asset Sales and Held for Sale Reclassifications
The following table summarizes the Company’s dispositions for the three and six months ended June 30, 2025 and 2024 (dollars in thousands):
Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
Number of facilities(1)
— 1 53
Net sales proceeds(2)
$— $94 $44,401 $1,140 
Net carrying value— 73 40,525 1,108 
Net gain on sale$— $21 $3,876 $32 
(1) One non-operational previously impaired facility sold during the six months ended June 30, 2025 was not classified as held for sale as of December 31, 2024.
(2) Net sales proceeds for the six months ended June 30, 2024 includes $1.0 million of seller financing in connection with the sale of one ALF in January 2024.
The following table summarizes the Company’s assets held for sale activity for the six months ended June 30, 2025 and 2024 (dollars in thousands):
Net Carrying ValueNumber of Facilities
December 31, 2024$57,261 10
Additions to assets held for sale38,430 10 
Assets sold(40,525)(4)
June 30, 2025
$55,166 16 
December 31, 2023$15,011 14 
Additions to assets held for sale43,305 9 
Assets sold(1,108)(3)
Impairment of real estate held for sale(28,455)— 
June 30, 2024
$28,753 20