Welltower Completes Sale of Genesis Portfolio

Welltower CEO Thomas DeRosa

TOLEDO, OH—Welltower Inc. said Thursday afternoon it had completed the sale of 28 long-term/post-acute care facilities, master leased to Genesis Healthcare Inc., to a joint venture with Beijing-based Cindat Capital Management and Union Life Insurance Co. Ltd. First announced in early November, the deal will total $930 million when the sale of 11 seniors housing properties leased to Brookdale Senior Living Inc. is completed in the first quarter.

Cindat and Union Life will own a 75% interest in the JV, with Welltower retaining a 25% stake. Genesis will continue to operate the 28 properties under terms of a new master lease with the JV. Under the terms of the sale, Genesis has issued $23.7 million of notes payable to Welltower in exchange for reduced rent and lower annual lease escalators. For Genesis, this is expected to reduce its cumulative rent obligations by $143 million through January 2032.