This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Newcastle Completes $1 Billion Acquisition Of 51 Senior Housing Properties From Holiday Retirement

Newcastle Investment Corp. (NYSE:NCT) announced today it has completed the previously announced acquisition of 51 independent living senior housing properties from an affiliate of Holiday Retirement (“Holiday”), for a purchase price, including transaction costs, of $1.04 billion.

The purchase price was funded with $720 million of non-recourse, fixed-rate mortgage debt and $320 million of equity. The debt has a weighted average coupon of 4.15%, and consists of a $357 million loan with a term of 7 years and a $363 million loan with a term of 10 years.

The properties will continue to be operated by Holiday pursuant to a 17-year master lease. The initial lease yield is 6.5%, with 4.5% increases in years 2 to 4 and increases based on the Consumer Price Index in years 5 to 17.

Newcastle has invested more than $500 million of equity throughout the past 18 months to acquire 84 senior housing properties with over 10,000 beds.

ABOUT NEWCASTLE

Newcastle focuses on investing in, and actively managing, real estate related assets and primarily invests in: (1) Senior Housing Assets and (2) Real Estate & Other Debt, in addition to other opportunistic investments. The Company conducts its operations to qualify as a real estate investment trust for federal income tax purposes. The Company is managed by an affiliate of Fortress Investment Group LLC, a global investment management firm.



Copyright Business Wire 2010

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs