TORONTO, April 4,
2022 /CNW/ - Invesque Inc. (TSX: IVQ.U)
(TSX: IVQ) (the "Company" or "Invesque") today announced the
closing of three separate sales transactions totaling approximately
US$75 million that occurred in late
March and early April.
On March 31, 2022, the Company
closed on the sale of a vacant community in Port Royal, South Carolina.
- The standalone memory care community was previously
managed by Phoenix Senior Living and will be repurposed for an
alternate use by its new owner.
- The gross sale price of US$3.5
million generated proceeds which were used entirely to pay
down debt.
On April 1, 2022, Invesque closed
on the sale of two seniors housing communities with 99 units in
New York.
- The assets were previously subject to an absolute
triple-net master lease with Premier Senior Living, which was
terminated in October 2021, and
subsequently managed by affiliates of Hearth Management.
- The gross sale price of US$19.2
million generated proceeds which were used entirely to pay
down the Company's corporate credit facility and further de-lever
the balance sheet.
On April 1, 2022, the Company also
closed on the sale of four transitional care skilled nursing
facilities comprised of 339 beds in Texas previously managed by Bridgemoor
Transitional Care ("Bridgemoor").
- The four facilities were operated by Bridgemoor pursuant
to an absolute triple-net master lease through the closing of the
sale.
- The Bridgemoor portfolio was owned in a joint venture in
which the Company holds an approximate 66% ownership interest.
- The gross sale price of approximately US$52 million generated proceeds which were used
to fully satisfy the debt secured by the four facilities and the
remaining proceeds will be distributed to the joint venture owners.
"This flurry of transaction activity is a continuation of our
established strategy of reducing our investment concentration in
skilled nursing and strengthening our balance sheet," said
Scott White, CEO of the Company.
"Invesque's proforma NOI consists of 58% from private-pay seniors
housing assets, which represents a dramatic change from where we
stood as a Company three years ago. The simplification of our
portfolio and reduced leverage will give us additional flexibility
over time which will provide various options to generate
shareholder value with our best in class portfolio of health care
real estate." Following the completion of these transactions, the
Company's portfolio consists of 96 properties with approximately
6,000 units, 8,000 beds, and 580,000 square feet of medical office
buildings across 18 states and two Canadian provinces.
About Invesque
Invesque is a North American health care real estate company
with an investment thesis focused on the premise that an aging
demographic in North America will
continue to utilize health care services in growing proportion to
the overall economy. Invesque currently capitalizes on this
opportunity by investing in a highly diversified portfolio of
income generating properties across the health care spectrum.
Invesque's portfolio includes investments in independent living,
assisted living, memory care, skilled nursing, transitional care,
and medical office properties, which are operated primarily under
long-term leases and joint venture arrangements with industry
leading operating partners. Invesque's portfolio also includes
investments in owner-occupied seniors housing properties in which
Invesque owns the real estate and provides management services
through its subsidiary management company, Commonwealth Senior
Living.
Forward-Looking
Information
Certain statements contained in this news release are
forward-looking statements and are provided for the purpose of
presenting information about management's current expectations and
plans relating to the future, including the allocation of capital
to create maximum value for shareholders. Readers are cautioned
that such statements may not be appropriate for other purposes. In
some cases, forward-looking information can be identified by such
terms as "will", "would", "anticipate", "anticipated", "expect",
"expected" and other similar expressions. The forward-looking
statements in this news release are based on certain assumptions.
Such statements are subject to significant known and unknown risks,
uncertainties and other factors that may cause actual results or
events to differ materially from those expressed or implied by such
statements and, accordingly, should not be read as guarantees of
future performance or results and will not necessarily be accurate
indications of whether or not such results will be achieved. Such
risks include but are not limited to the risks described in the
Corporation's current annual information form and management's
discussion and analysis, available on SEDAR at www.sedar.com, which
risks may be dependent on market factors and not entirely within
the Corporation's control. Although management believes that it has
a reasonable basis for the expectations reflected in these
forward-looking statements, actual results may differ from those
suggested by the forward-looking statements for various reasons.
These forward-looking statements reflect current expectations of
the Corporation as at the date of this news release and speak only
as at the date of this news release. The Corporation does not
undertake any obligation to publicly update or revise any
forward-looking statements except as may be required by applicable
law.
SOURCE Invesque Inc.