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RELATED PARTY TRANSACTIONS AND NET PARENT INVESTMENT
6 Months Ended
Jun. 30, 2020
Related Party Transactions [Abstract]  
RELATED PARTY TRANSACTIONS AND NET PARENT INVESTMENT RELATED PARTY TRANSACTIONS AND NET PARENT INVESTMENT
The Interim Financial Statements include a combination of stand-alone and combined business functions between Ensign and the Company’s subsidiaries prior to the Spin-Off. The Company leases 31 of its senior living communities from subsidiaries of Ensign, each of the leases have a term of between 14 and 16 years from the lease commencement date. The total amount of rent expense included in Rent - cost of services paid to subsidiaries of Ensign was $3,071 and $6,172 for the three and six months ended June 30, 2020, respectively, and $2,774 and $5,467, for the three and six months ended June 30, 2019, respectively.

The Company’s subsidiaries received services from Ensign’s subsidiaries. Services included in cost of services were $1,166 and $2,188, for the three and six months ended June 30, 2020 and $780 and $1,495, for the three and six months ended June 30, 2019, respectively.

Transactions that occurred, prior to the Spin-Off, between subsidiaries of the Company and subsidiaries of Ensign were considered to be effectively settled at the time the transaction was recorded. The net effect of these transactions, including the cash management, is included in the Condensed Consolidated and Combined Statements of Cash Flows as “Net investment from/(to) Parent”.

Other related party activity with Ensign
On October 1, 2019, in connection with the Spin-Off, Pennant entered into several agreements with Ensign that set forth the principal actions taken or to be taken in connection with the Spin-Off and govern the relationship of the parties following the Spin-Off. The Company has incurred $1,525 and $2,861 in costs, net of the Company’s payroll reimbursement, related primarily to administrative support under the Transitions Services Agreement for the three and six months ended June 30, 2020, respectively.